Educational Loan Opportunities Page

Types of Educational Loan Opportunities

FEDERAL PERKINS:
A Federal Perkins Loan is administered by the College and is awarded to students with exceptional financial need. This loan, which is a 5% simple interest loan, is typically awarded in amounts ranging from $500 to $2,000 annually, most often to first or second year students to supplement lower Federal Stafford Loan eligibility. Repayment begins nine months after the student graduates, reduces his/her program to less than half time, or withdraws from NEC. Students are normally allowed up to 10 years to repay the Federal Perkins Loan.

FEDERAL STAFFORD LOANS (subsidized and/or unsubsidized):
A Federal Stafford Loan is a low interest, federal loan awarded on the basis of need. The interest rate will be fixed at 6.8% for Federal Stafford Loans beginning on July 1, 2007. Repayment begins after the six month grace period expires. Depending on need, first-year students may borrow up to $3,500, sophomores up to $4,500, and juniors and seniors may borrow up to $5,500 each year. In order to be eligible for the supplemental unsubsidized Stafford loan, a student must be either independent by federal standards or for dependent students, parents must receive a credit denial for the PLUS loan. 

PARENT PLUS LOAN:
The Parent Loan for Undergraduate Students (PLUS) must be borrowed by a parent. The parent(s) can borrow up to the cost of education less financial assistance awarded and accepted by the student. The interest rate is fixed at 8.5% as of July 1, 2007. Origination fees for this loan may be as high as 4% depending on the lender. Repayment for the PLUS will begin 30-45 days after the first disbursement has been released.