Loan Information
Loan Information
The federal government has a variety of federal loan options available for students and parents, and we encourage you to review the following information carefully before making any decisions about your loans.
Federal Direct Loan (Student)
To help students cover the cost of higher education, the U.S. Department of Education offers eligible students Federal Direct Subsidized Loans and Direct Unsubsidized Loans.
If you are a first-time borrower of Direct Loans you will need to complete a Direct Loan Master Promissory Note (MPN) and Entrance Counseling using your (student) FSA ID at https://studentaid.gov/
STUDENTS:
Wartburg College uses the William D. Ford Federal Direct Loan Program. There are two easy steps for you to complete the process. Both steps are completed on the same website so read through the directions prior to following the links.
Step 1: Financial Aid will originate your Federal Direct Loan once you have registered for classes and have completed an electronic Master Promissory Note (eMPN). This eMPN will be used for all subsidized and unsubsidized Federal Direct loans. This form needs to be completed ONCE at Wartburg. Subsequent Federal Direct Loans accepted by you will be automatically processed under the same eMPN in future academic years. Complete Federal Direct Loan eMPN.
Step 2: In order to receive Federal Direct Loan funds on your student account you will need to complete an Entrance Counseling session. You will need to SIGN IN and select the Entrance Counseling option to begin the process. You will complete this process only ONCE at Wartburg. Upon completion of the eMPN and Entrance Counseling loan funds will be disbursed through an electronic funds transfer (EFT) to your student account at the beginning of each term.
Loan Regulations
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. Student borrowers of the William D. Ford Federal Direct Loan Program who are graduating, leaving school, or dropping below half-time enrollment are required to complete an Exit Counseling session.
Federal Direct PLUS Loan (Parent)
Parents of dependent students may apply for a Direct PLUS Loan to help pay for their student’s education if certain eligibility requirements are met. To be eligible for a Direct PLUS Loan for parents:
Parents may borrow up to the cost of attendance minus other financial aid received. The interest rate is fixed and is charged from the date of the first disbursement until the loan is paid in full. Interest rates will be determined on an annual basis; however, rates for the specific academic year borrowed will be fixed for the life of the loan. An origination fee is deducted proportionately each time a disbursement is made.
Complete the Federal Direct PLUS Application (annually to determine credit eligibility)
FOR FIRST TIME WARTBURG BORROWERS ONLY
Complete the Federal Direct PLUS Master Promissory Note (MPN) at: https://studentaid.gov/
PARENTS:
Parents: Wartburg College participates in the William D. Ford Federal Direct Loan Program. If you wish to borrow on behalf of your son or daughter in the federal Parent Loan for Undergraduate Students (PLUS) program please complete the following steps.
Step 1: All NEW and PREVIOUS parent borrowers will need to complete a PLUS loan application. The application process determines credit eligibility. You will be required to use your FSA ID . Complete the federal PLUS application.
FOR NEW BORROWERS ONLY: Step 2: All NEW Parent borrowers need to complete an eMPN. You will be required to use your federal FSA ID to complete the eMPN.
Loan Regulations
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. Student borrowers of the William D. Ford Federal Direct Loan Program who are graduating, leaving school, or dropping below half-time enrollment are required to complete an Exit Counseling session.
Frequently Asked Questions
If you are one of the many students that utilize federal student loans to finance their educational expenses, you likely have questions about your loans. Below are the answers to some frequently asked questions.
Call the Department of Education at 800-433-3243.
Contact your federal loan servicer. If you don’t know who your federal student loan servicer is, call 800-433-3243.
The interest rate varies depending on the loan type and the first disbursement of the loan. For more information regarding federal student loan interest rates, go to https://studentaid.gov/understand-aid/types/loans/interest-rates.
For most federal student loan types, after you graduate, leave school, or drop below half-time enrollment, you have a six-month grace period before you begin making payments. Not all federal student loans have a grace period. Note that for most loans, interest accrues during your grace period.
Contact your federal student loan servicer. If you don’t know who your federal student loan servicer is, call 800-433-3243.
For all graduating senior Federal and private loan borrowers:
A benefit of Federal Direct loans is that the repayment plans are designed to provide flexibility for any budget. Once you complete school and enter repayment, you will have the option to pick from a number of helpful plans:
For more information on repayment plans: http://studentaid.ed.gov/repay-loans/understand/plans#direct-and-ffel
Free Loan Repayment Guidance
You’re not alone when it comes to student loans. Wartburg College has partnered with Inceptia, a division of National Student Loan Program (NSLP), to provide you with FREE assistance on your Federal student loan obligations to ensure successful, and comfortable, loan repayment. Inceptia’s friendly customer representatives may reach out to you during your grace period to answer questions you have about your loan obligation and/or repayment options. Inceptia is not a collection agency. We’ve partnered with them to inform you of a wide variety of possibilities such as alternative repayment plans, deferment, consolidation, discharge, forgiveness, and forbearance options. Inceptia will stay in touch with you via phone calls, letters, and/or emails to help you understand your repayment timing and options. For additional resources including information on repayment options, please visit Inceptia’s Federal Student Loan Overview website at Inceptia.org/FAQ.
Private Education Loans
Private education loans can be used as a source of additional funding when federal aid options have been exhausted. A private education loan is a nonfederal loan issued by a private lender such as a bank or credit union. Private education loans often have variable and fixed interest rates, require a credit check, have varied repayment options, and do not provide the same benefits as federal student loans. Students and parents may borrow up to the cost of attendance minus other financial aid received. Federal regulations require the Office of Financial Aid & Scholarships to be notified of any private education loans received. Students and parents should always exhaust federal loan options first before considering a private loan. If you determine that you need a private education loan to help pay for your educational expenses, you should carefully research and compare the options available.
Private Student Loan Options
By clicking on the following link, you will be directed away from the Wartburg College website: FASTChoice. Select the appropriate loan option. View and compare private loan products that are a part of Wartburg College’s preferred lender list. Students may borrow from any lender they choose and are not required to use a lender on Wartburg’s preferred lender list. Wartburg College will process loans from any eligible lender you select. Loans will be disbursed in two equal payments at the beginning of the fall and winter terms or summer terms if applicable.
Preferred Lender List Disclosures
In an effort to provide better counseling services to our students, Wartburg College has entered a preferred lender arrangement (PLA). Federal and state law mandates that we must provide the following disclosures in association with this process:
Lender Selection: To determine which lenders and loan options to present, Wartburg College evaluated, and selected lenders based on information requested from each financial institution. We feel the lenders on our list will provide you with exceptional customer service, excellent incentives such as low interest rates, low or no origination fees, and loan principal reductions. We are also interested in lenders who provide timely processing, electronic funds transfer capabilities, as well as counseling both before and after you complete the loan process.
Affiliation: Lenders chosen for this list are not affiliated with one another.