These funds are made available by participating lenders to any student regardless of family income.
The University of Dayton Office of Financial Aid will determine
eligibility after a careful review of the FAFSA. Unlike the
subsidized Stafford loan, interest will begin accruing on the unsubsidized
loan at the time the first disbursement is sent to the university. For more information
about the Federal Stafford Loan program, please see the links below.
The student is the borrower and a co-signer is required only if the borrower is under 18 years of age.
The maximum annual amount that you may borrow under the Federal Stafford Loan program (subsidized and/or unsubsidized) depends on your degree program, class level (for undergraduate students)
and dependency status (as described below).
Interest on an unsubsidized Federal Stafford Loan will begin to accrue following the first disbursement of loan funds. Interest accrues at a
fixed rate.
Students have the option to make interest only payments while they are in school to prevent their indebtedness from growing. Interest only payments are paid directly to the lender on a
quarterly basis (every three months). Students who are interested in arranging interest only payments should contact their lender.
For students who make no interest payments while enrolled, the interest
that accrues will be capitalized, or added to the amount borrowed when
the student begins repayment six months after they are enrolled less
than half time.
Repayment begins six (6) months after the student graduates, leaves school, or drops below half-time status. The amount of each payment depends on the size of your debt and on the length of
your repayment period. Usually, you must pay at least $50 per month and your payments can be spread over a ten-year period.
Generally, the total combined debt you can have outstanding from all Federal Stafford Loans is:
$31,000 as a dependent, undergraduate student
$57,500 as an independent, undergraduate student or certification
student
(only $23,000 of this amount may be in subsidized Stafford Loans)
$138,500 as a graduate, doctoral or law student
(only $65,500 of this amount may be in subsidized Stafford Loans)
The graduate debt limit includes any Stafford Loans received for undergraduate study.
The University of Dayton uses the Master Promissory
Note (MPN) to process Stafford Loans. The MPN is completed only once, eliminates the need for an
annual promissory note and is lender specific . Therefore, should you
choose to change lenders, a new promissory note would be required.
First-time borrowers:
The Stafford Loan(s) listed on your award notification will be automatically processed for the amount indicated unless you notify us of your decision to reduce or cancel. You may
reduce or cancel your loan(s) by making the appropriate changes to your award notification,
by using the revision option on the electronic award notification or by
calling the office.
Loans for the new academic year, which begins with
Fall Term, are typically certified in mid-July. At that time,
first-time borrowers will be contacted by SallieMae via
email (or postal mail if no email address provided) to complete the
required 'paperwork' on-line. At that time the student will
complete the federally mandated student loan entrance counseling, select
a lender (see below) and complete the MPN. Once these items are
complete the lender will disburse the funds directly to the university
at at start of each term.
Current borrowers:
The Stafford Loan(s) listed on your award notification will be automatically processed for the amount indicated unless you notify us of your decision to reduce or cancel. You may
reduce or cancel your loan(s) by using the revision option on the
electronic award notification or by calling the office. Loans for
the new academic year, which begins with Fall Term, are typically
certified in mid-July. Since entrance counseling and MPN
requirements have been fulfilled, you should not be required to do
anything more to secure the loan. Funds will be sent to the
university at the start of each term.
Suggested lenders:
The University of Dayton has chosen the following
lenders for the Federal Stafford Loan program (subsidized and unsubsidized) based upon their benefit programs, customer service and
responsiveness. The suggested lenders are:
When you sign a promissory note, you are agreeing to repay the loan
according to the terms of the note. The note is a binding legal document
and states that (except in cases of discharge), you must repay the loan
— even if you do not complete your education, aren’t able to get a job
after you complete the program, or are dissatisfied with, or don’t
receive, the education for which you paid.
If you apply for deferment or forbearance, you still must continue to make payments until you are notified that the request has been granted. If you do not, you may end up in default. You
should keep a copy of any request form you submit, and you should document all contacts with the organization that holds your loan.
You must notify the appropriate representative (school, agency, lender)
that manages your loan when you graduate, withdraw from school, or drop
below half-time status; change your name, address, or social security
number; or transfer to another school.
Regardless of the type of loan you borrow, you must participate in an
entrance counseling session before you are given your first disbursement
if you are a new student at the University of Dayton. Students attending the
University of Dayton may complete the entrance counseling session
online. Instructions for completing your entrance counseling
session will be mailed to you upon our determination of your eligibility
for the Federal Stafford Loan program (typically, beginning in late
July).
Additionally, you must complete exit counseling before you leave the
school. These counseling sessions will be completed online and
provide you with important information about your loan and repayment
responsibilities.
At least half-time student at a postsecondary school
YES
YES
Study in an approved graduate or postgraduate fellowship supported program or in an approved rehabilitation training program for the disabled
YES
YES
Unable to find full-time employment
up to 3 years
up to 3 years
Economic Hardship
up to 3 years
up to 3 years
Engaged in service listed under discharge or cancellation provisions (see promissory note for details)
NO
YES
notes to remember:
For unsubsidized Stafford Loans, only payments to the principal are deferred, interest will continue to accrue.
For all Stafford Loan borrowers, deferments listed above apply only to new borrowers on or after July 1, 1993. Prior borrowers are encouraged to consult with
their lender to determine the deferment options available to them.
We've personalized the options below based on the degree program you've selected. Each of the links below will provide you with important information about the financial aid
options available to you. For questions not answered below, please contact our office to speak to a Financial Aid Counselor. To view the options for another degree
program, click here.
