Student Loans

Types of Student Loans

• Federal Direct Unsubsidized Loan:  Direct unsubsidized loans offered to graduate students at a fixed interest rate. This loan can provide up to $20,500 per academic year.
• Federal Direct Graduate PLUS Loan: Grad PLUS loans are offered to graduate students at a fixed interest rate that is higher than that of the Unsubsidized Loan. This loan can provide up the student’s cost of attendance minus other aid offered.
• Private Loans and Bar Loans: These types of loans generally have higher fees and interest rates, and are less flexible than federal loans. Private loans may provide funds for students who do not qualify for federal loans. Students can not borrow beyond the cost of attendance limit. Private loan eligibility is based on the cost of attendance minus any other financial aid offered.
• Emergency Assistance: Emergency loans and an emergency relief grant.
• Federal Consolidation Loan: After graduation, students may choose to combine all federal loans or move all loans into the Direct Loan Program. Consolidation loans can reduce a graduate’s monthly payment.  

Student Loan Process 

1. Once the federal processor completes processing of your FAFSA or Renewal FAFSA, a report of the information they received will be mailed to you in the form of a Student Aid Report (SAR). This information will also be electronically sent to all the schools you indicated on your FAFSA.
2. We use the information we receive from your FAFSA along with your California Western Financial Aid Application to determine your eligibility for aid. We will then send you an Award Notification to you, indicating that you should return to the Online Aid System to approve, decline, or reduce each of your awards.
3. Based on the amounts you approved, we will then electronically certify to the Direct Loan Servicer your eligibility for loans. If you apply for a Graduate PLUS Loan, the servicer will check your credit to confirm that you meet the required credit criteria. You will be notified if your loan is not approved, or if additional information is needed.
4. All federal student loans require you to sign a loan agreement called a Master Promissory Note (MPN). First-time graduate-level borrowers must also complete an online entrance counseling session for each federal loan program prior to receiving funds through that program.After your loan is approved, the Direct Loan Servicer will mail disclosure statements to you, which will inform you of the type of loan(s) approved, the amount(s) approved, and the scheduled disbursement date(s).
   • The Direct Federal Stafford Loan and Direct Federal PLUS Loan Master Promissory Notes can be completed at Student Loans government website.
   • Once you complete an MPN for a given program, you generally will not need to complete another MPN for the same program while you attend California Western.
   • Students who need endorsers to receive Graduate PLUS loans and students who borrow through private loan programs will need to complete a new promissory note for each loan.
5. After your federal student loan is approved, funds will be credited to your student account on or near the scheduled disbursement dates.
6. If the total of your aid is greater than the charges you owe, a direct deposit or paper check will be issued to you according to Business Office policies. Checks will be sent out and direct deposits initiated approximately 1-2 business days prior to the start of classes.
7. If your eligibility has changed or your financial aid file is incomplete, we may have to place your funds on hold until your file is in order. Be aware that clearing a hold on your account does not necessarily mean that you will immediately receive funds; it may be a few days from the time you clear your hold to the time you receive funds. For this reason, it is vital that your file be completed and your schedule be finalized well in advance of the start of classes.
8. The Financial Aid Office, Business Office, and the Direct Loan Servicer all make every attempt to process your aid as quickly as possible. Even so, it may take several days from the disbursement date before you receive your overpayment check. Your patience is greatly appreciated.