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Federal Financial Aid

The Financial Services Department supports students and their academic endeavors by offering student financial assistance programs that can help them achieve their educational goals. The following is a description of the federal student financial aid options available at Wade College: 

Federal Pell Grants (Non-repayable funds)

The Federal Pell Grant is a need-based grant available to students pursuing their first undergraduate degree.  Student eligibility is based upon a formula calculated by the federal government.   For the 2016-2017 award year (July 1, 2016 to June 30, 2017), the maximum Federal Pell Grant award is $5,815 per academic year for full-time, eligible students.  Part-time students who are eligible may receive smaller amounts.  Federal Pell Grants do not have to be repaid and, as of July 1, 2012, students can receive a Federal Pell Grant only for the equivalent of 12 full-time trimesters (6 academic years) or 600% of lifetime eligibility used.

The college receives the student’s Federal Pell Grant funds directly from the federal government. The respective student’s account is then credited within three days of receipt of such funds. The credit is automatic as long as all financial paperwork is complete, eligibility is maintained, and registration for classes is finished.  If has a student has a credit balance on his or her account due to receiving a Federal Pell Grant, the student will receive this credit balance within 14 days of the date the college receives the funds from the federal government and/or in accordance with the student’s written authorization to hold a federal student aid credit balance.

Notwithstanding when a student’s Federal Pell Grant funds are received from the federal government, once a valid ISIR is received by the college and all the required paperwork is accurately completed, submitted, and the student registers for classes, the student may receive his or her class schedule and all required books and supplies.

The William D. Ford Federal Direct Subsidized and Unsubsidized Stafford Loan (Repayable funds)

The direct loan program enables students to borrow funds directly from the U.S. Department of Education to assist with educational expenses. 

A Federal Direct Subsidized Loan is awarded on the basis of financial need.  If a student qualifies, he or she is eligible to borrow once per academic year. The 2016-2017 award year amounts (July 1, 2016 to June 30, 2017) a student may borrow per academic year are as follows:

Freshman$3,500 ($1,750 per trimester)
Sophomore   $4,500 ($2,250 per trimester)
Junior$5,500 ($2,750 per trimester)
Senior $5,500 ($2,750 per trimester) 

As of July 1, 2013, any first-time borrower, (which is defined as someone who has no outstanding balance on a FFELP or Direct Loan when receiving a Direct Loan on or after July 1, 2013), will only be able to obtain Federal Direct Subsidized Loans for a maximum of 150% of the published program length in which they are enrolled. Additionally, the Federal Direct Subsidized Loans that had been borrowed up to the 150% point will lose further government subsidy and interest will begin to become the student's responsibility if they do not graduate by the 150% point (and continue to be enrolled in the same program). From that point forward, these Federal Direct Subsidized Loans will become Federal Direct Unsubsidized Loans. Unlike other measures in determining continued federal student financial aid eligibility, this provision is not affected by the total dollar amount borrowed. Any and all periods of Federal Direct Subsidized Loan borrowing will count against the 150% time limit. This policy is in addition to, and not in place of, the lifetime aggregate loan limits that are currently in place.To learn more about these regulations, please visit: http://studentaid.ed.gov/types/loans/subsidized-unsubsidized.

Repayment on Federal Direct Subsidized Loans begins six months after the student leaves school or drops below half-time status. Generally, while the student is in school and maintains at least half-time enrollment status, the interest is subsidized by the federal government. See the Office of the Director of Financial Services to obtain a sample loan repayment schedule.

If a student does not qualify for the maximum Federal Direct Subsidized Loan amount shown above, he or she may borrow the difference through the Federal Direct Unsubsidized Loan program.

A Federal Direct Unsubsidized Loan is not awarded on the basis of need.  If a student qualifies, he or she is eligible to borrow once per academic year.  In addition to the Federal Direct Subsidized Loan amounts, the amounts a student with federal "independent" status or a student with federal “dependent” status whose parents did not qualify for a parent loan (see PLUS below) may borrow per academic year are as follows:

Freshman/Sophomore   $6,000 ($3,000 per trimester)
Junior/Senior$7,000 ($3,500 per trimester)


A student with federal “dependent” status whose parents qualified for a parent loan (see PLUS below) may also borrow per academic year the following amounts as Federal Direct Unsubsidized Loans:

Freshman/Sophomore/Junior/Senior   $2,000 ($1,000 per trimester) 

Repayment on Federal Direct Unsubsidized Loans begins six months after the student leaves school or drops below half-time status. Interest is charged from the time the loan is disbursed until it is paid in full. The student may choose to pay the interest quarterly while attending classes or allow it to accrue during the in-school and six-month grace.  If interest accrues, it is added to the principal of the loan. See the Office of the Director of Financial Services to obtain a sample loan repayment schedule.

The loan amounts shown above are reduced by the lender's processing fee.  Maximum loan amounts may be reduced for loan periods less than an academic year and if the student has previous loans. Please contact the Office of the Director of Financial Services for details.

There is a lifetime maximum amount of Federal Direct Loan funds that students may borrow. These maximums include funds borrowed at all colleges for all programs. If a student has previously attended another institution and borrowed federal funds, he or she should be aware of his or her cumulative amount borrowed to date, and these federal lifetime loan limits: (1) $31,000 (up to $23,000 of which may be subsidized loans) for dependent students; and (2) $57,500 (up to $23,000 of which may be subsidized loans) for independent students and for dependent students whose parents did not qualify for Federal Direct PLUS.

For more details, please refer to the federal information located at:
https://studentaid.ed.gov/sa or http://studentaid.ed.gov/resources.

The William D. Ford Direct Parent Loan for Undergraduate Students (PLUS) (Repayable funds)

The Direct Parent Loan for Undergraduate Students (PLUS) loan program enables credit-worthy parents and step-parents of dependent undergraduate students to borrow funds for educational purposes.  A parent may borrow an amount equal to the difference between a student's educational costs and the total amount of other financial assistance a student receives for each academic year.

PLUS loans are collateral free, low interest rate loans with at least a ten-year repayment term and several repayment options.  Monthly repayment begins 60 days after the last disbursement for the academic year. There is no grace period for these loans.  Interest begins to accumulate at the time the first disbursement is made.  The approved loan is disbursed in substantially equal amounts between the number of terms in the loan period. Regulations allow the net proceeds, after the lender's processing fee is deducted, to be applied directly to the student's account no earlier than ten days before the first day of the term.

In order to apply for a PLUS loan, the parent must complete a Consent to Obtain Credit Form; please see the Office of the Director of Financial Services for details.

The William D. Ford Direct Consolidation Loans

Eligible federal student loans can be combined into one Direct Consolidation Loan.  Please see the Office of the Director of Financial Services for details, or go to: https://studentaid.ed.gov/sa/repay-loans/consolidation for more information.

Federal Publications 

Students and parents can learn about the direct loan program through online publications at http://www.studentaid.ed.gov/pubs. These publications include:

  • Direct Loan Basics for Students: This brochure covers Direct Subsidized and Unsubsidized loans for students.
  • Direct Loan Basics for Parents: This brochure covers Direct PLUS Loans for parents.
  • Entrance Counseling Guide for Direct Loan Borrowers: Before receiving a student loan, first time borrowers must complete an entrance counseling session.  The counseling is completed on-campus.
  • Exit Counseling Guide for Direct Loan Borrowers: Prior to graduation, all candidates for graduation must complete exit counseling that explains the rights and responsibilities as a Direct Loan borrower.  The counseling is completed on-campus.  

William D. Ford Direct Loan Disbursement

Under the Federal Direct Loan Programs, the U.S. Department of Education electronically transmits loan amounts to the college. The loan proceeds are credited to the respective student’s account within three days of receipt of such funds.  Loan proceeds may be disbursed in accordance with federal regulations, as follows:

  • The Office of the Director of Financial Services is in receipt of a signed and accepted financial aid award notification (Wade College Student Financial Plan).
  • The Office of the Director of Financial Services is in receipt of an Award Letter from the college’s third-party servicer.
  • The Direct Loan Service Center has received, accepted, and guaranteed the student and parent signed promissory note(s).
  • For parents applying for the PLUS loan, the credit check must be approved by the Direct Loan Service Center and the college must receive notification of the approval. 

Direct Loan Interest Rates

For information on direct loan interest rates and calculators, please visit http://www2.ed.gov/offices/OSFAP/DirectLoan/calc.html.

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