Calculate what your monthly payments would be when you go into repayment under various repayment plans with this loan calculator

Forms

All students borrowing to attend KVCC for the first time are required to complete entrance counseling.

Subsidized Willaim D. Ford Federal Direct (Stafford) Student Loan:

Based on financial need. The principal and interest are both deferred until six months after you graduate or drop below 6 credits. The interest rate, a fixed 4.50% in 2010-2011, is set by federal law. Check with the Financial Aid Office for more information.

Unsubsidized William D. Ford Direct (Stafford) Student Loan:

Non-need-based. The interest is either paid while you are in school or capitalized over the life of the loan. (The principal is deferred until six months after you graduate or drop below 6 credits.) The interest rate, currently a fixed 6.80%, is set by federal law. Check with the Financial Aid Office for interest rate information.

To monitor all of your federal student loan debt, you may access the National Student Loan Data System (NSLDS) online at www.nslds.gov or call toll-free 1-800-999-8219. You will need your federal PIN number to view your loan history. Please note that this website does not list your alternative or private student loans.

Information on any Stafford loan taken out by a student or parent will be submitted to the National Student Loan Data System (NSLDS), and will be accessible by guaranty agencies, lenders, and institutions determined to be authorized users of the data system.

30-Day Delay in Disbursement for First-time, First-Year Borrowers

If you're a first-year undergraduate student and a first-time borrower, KVCC cannot disburse your first payment until 30 days after the first day of your enrollment period. This practice ensures you won't have a loan to repay if you don't begin classes or if you withdraw during the first 30 days of classes.

Direct Plus Loans
(Parent Loan for Undergraduate Students):

This loan is available to parents of a dependent student (parents must have a good credit history to qualify). The interest rate, currently a fixed 7.9%, is set by federal law. For more information, contact the Financial Aid Office.

Alternative Loans:

These loans are not federal loans and not federally guaranteed. Borrowers are subject to a credit check, and interest rates vary. For more information, check with the Financial Aid Office.

Origination and Default Fees:

For Federal Direct Stafford Loans, the gross fee in 2010-11 is 1.0%, but a .5% rebate is applied, making the net fee .5%. The upfront rebate reduces the fee paid at origination. Students who don’t make their first twelve monthly payments on-time will have the rebate amount added to their principal balance. For Direct PLUS loans, the gross fee is 4%, but a 1.5% rebate is applied at origination, making the net fee 2.5%. Parents who don’t make their first twelve monthly payments on-time will have the rebate amount added to their principal balance. The fees are automatically subtracted from each loan disbursement.

Federal Loan Limits and Refusal to Certify a Stafford Loan:

Through debt management and loan counseling, students are discouraged from borrowing more than the “recommended” eight percent of projected first-year earnings. Annual loan limits for subsidized and unsubsidized loans are: $3,500 for first year undergraduates and $4,500 for second year undergraduates. Dependent students may be eligible to borrow an additional unsubsidized loan of up to $2,000 per academic year. Independent students and dependent students whose parents cannot borrow a PLUS loan may be eligible to borrow an additional unsubsidized Stafford Loan of up to $6,000 per academic year. Individual, comprehensive counseling by KVCC’s Loan Counselor is recommended for any student wishing to borrow. (Borrowers are encouraged to limit borrowing requests to a combination of subsidized and unsubsidized Federal Stafford loans that does not exceed the College’s average 2009-2010 graduating student’s indebtedness of $11,186 for the 37% of graduating students who had loans.) KVCC reserves the right, as granted by the U.S. Dept. of Education, to refuse to certify a student’s Stafford loan or to certify the loan for an amount less than the established federal limits. In that instance, KVCC must document the reason and provide that written explanation to the student. KVCC’s decision is final and cannot be appealed to the Dept. of Education.

KVCC does not have a “preferred lender list” for alternative loans. The following lenders have issued alternative loans to KVCC borrowers in the last five years:

Should KVCC provide information regarding a private education loan from a lender to a prospective borrower, KVCC will provide information to the prospective borrower, including:
• Information required under Sec. 128(e) of the Truth in Lending Act (15 U.S.C. 1638(e) (see http://www.law.cornell.edu/uscode/15/usc_sec_15_00001638----000-.html)
• That the prospective borrower may qualify for loans or other assistance under Title IV, HEA programs; and
• That the terms and conditions of Title IV, HEA program loans may be more favorable than the provisions of private education loans.

Maine Educational Loan Authority (MELA):

MELA makes low interest loans to credit worthy Maine residents (both students and parents) who are certified as eligible by the College's Financial Aid Department. Up to the full cost of education (minus other financial aid) may be borrowed. Borrowers must demonstrate the ability to repay the loan and are offered longer than typical repayment periods (up to 20 years depending on the amount borrowed).