Federal Loan System
Direct Federal PARENT Loan for Undergraduate Students (PLUS) -This is a Parent loan for dependent students. Parents may borrow the difference between the student’s cost of education and all other financial assistance. Origination fee is 4.0%. Interest is fixed at 7.9%. Repayment begins 60 days after the loan is fully disbursed (March). Not based on financial need. Interest accrues beginning on the date of the loan’s first disbursement. A parent may elect to defer payments until student graduates through forbearance options. Click here to begin the application process.
William D. Ford Direct Federal Subsidized Stafford Loan - Eligibility determined by grade level and need. Must submit a Free Application for Federal Student Aid. If approved, lifetime aggregate amount up to $23,000 for all undergraduate study. Interest is subsidized as long as the student is enrolled at least half-time. Repayment and interest accumulation begin six months after graduation on a monthly basis. Repayment extendable to 10 years with minimum monthly payments of $50. Must complete a Master Promissory Note (MPN). Click here to begin the application process.
William D. Ford Direct Federal Unsubsidized Stafford Loan - Same as subsidized Stafford, except not based on financial need. Students are responsible for quarterly interest on the loan while in attendance at college. Interest accumulates immediately at a fixed rate of 6.8%. Students may or may not choose to pay interest on the loan while in attendance at college. Click here to begin the application process.
Additional Private Student Loans- Several financial institutions provide low-interest loans for students who might need additional assistance after federal loan options are used. The various loans differ by interest rate, interest capitalization, guarantee fees, and co-signer options. There are very few that will allow a student to borrow on their own credit. Students have found that applying with a co-signer results in a lower interest rate. Interest begins accruing at disbursement but in most cases no payment is required until six months after graduation or a student drops below half-time enrollment. We recommend that students compare several lenders before selecting a private loan. For your convenience, click here to access a list of alternative loans available from private lenders.
Wartburg College is required by federal regulations to comply with individual lender terms and cannot certify a loan for more than your eligibility as determined by the student cost of attendance minus any other available financial aid. Wartburg College does not participate in revenue-sharing practices, referral fee arrangements, or private loan application fee payments.