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Student Loans at Ventura College

FEDERAL DIRECT LOAN INFORMATION
Ventura College participates in the William D. Ford Federal Direct Loan Program. The U.S. Department of Education is the lender for the William D. Ford Federal Direct Loan Program. The Federal Direct Loan program offers loans at a low interest rate with repayment terms designed with students in mind. In most cases, you will not have to start repaying your loans until six months after you graduate and/or enroll less than half time. Direct Loans include Subsidized and Unsubsidized Student Loans and Parent Loans for Undergraduate Students (PLUS). Loans must be repaid with interest so it is important to understand your rights and responsibilities as a borrower. All borrowers are required to complete Loan Entrance Counseling before we may certify a loan. There are two types of Direct Loans: Subsidized Loans are available to students who meet certain financial need criteria. Direct Subsidized loans will no longer be eligible for an interest subsidy during the six-month grace period. You will be responsible for the interest that accrues while your loan is in the grace period. You do not have to make payments during the grace period (unless you choose to) but the interest will be added (capitalized) to the principal amount of your loan when the grace period ends. Unsubsidized Loans are available to students regardless of financial need. You are responsible for the interest that accumulates on an unsubsidized loan while you attend school, during the grace period and during any periods when you are authorized to defer your loan payments. You have the option to pay the interest during school or postpone payment. If you postpone payment, the interest will be added to your principal balance. This addition of interest to your principal balance is known as capitalization. Annual Maximum Loan Limits Federal law specifies annual loan limits on Federal Direct Stafford Loans based on your year in college and your dependency status. At Ventura College, you must have completed 30 college level units toward your program of study to be considered a second year student. If you don’t have 30 units at Ventura College but had units elsewhere and you want to be considered a second year student, outside transcripts must be submitted and evaluated.

FEDERAL DIRECT LOAN INFORMATION

Ventura College participates in the William D. Ford Federal Direct Loan Program. The U.S. Department of Education is the lender for the William D. Ford Federal Direct Loan Program.

The Federal Direct Loan program offers loans at a low interest rate with repayment terms designed with students in mind. In most cases, you will not have to start repaying your loans until six months after you graduate and/or enroll less than half time. Direct Loans include Subsidized and Unsubsidized Student Loans and Parent Loans for Undergraduate Students (PLUS).

Loans must be repaid with interest so it is important to understand your rights and responsibilities as a borrower. All borrowers are required to complete Loan Entrance Counseling before we may certify a loan.

There are two types of Direct Loans:

Subsidized Loans are available to students who meet certain financial need criteria. Direct Subsidized loans will no longer be eligible for an interest subsidy during the six-month grace period. You will be responsible for the interest that accrues while your loan is in the grace period. You do not have to make payments during the grace period (unless you choose to) but the interest will be added (capitalized) to the principal amount of your loan when the grace period ends.

Unsubsidized Loans are available to students regardless of financial need. You are responsible for the interest that accumulates on an unsubsidized loan while you attend school, during the grace period and during any periods when you are authorized to defer your loan payments. You have the option to pay the interest during school or postpone payment. If you postpone payment, the interest will be added to your principal balance. This addition of interest to your principal balance is known as capitalization.

Annual Maximum Loan Limits

Federal law specifies annual loan limits on Federal Direct Stafford Loans based on your year in college and your dependency status. At Ventura College, you must have completed 30 college level units toward your program of study to be considered a second year student. If you don’t have 30 units at Ventura College but had units elsewhere and you want to be considered a second year student, outside transcripts must be submitted and evaluated.

2012-2013 Dependent Student
Grade Level	Base Amount	Additional Unsubsidized	Total
1^st Year	$3,500	$2,000	$5,500
2^nd Year	$4,500	$2,000	$6,500
Undergraduate Aggregate Loan Limit $31,000 (no more than $23,000 may be subsidized)

2012-2013 Independent Student
Grade Level	Base Amount	Additional Unsubsidized	Total
1^st Year	$3,500	$6,000	$9,500
2^nd Year	$4,500	$6,000	$10,500
Undergraduate Aggregate Loan Limit $57,500 (no more than $23,000 may be subsidized)

Annual Interest Rates What are the current interest rates? Direct Subsidized Loans: Undergraduate students—On June 29, 2012, both houses of Congress passed a bill that will continue the 3.4% fixed interest rate for Direct subsidized loans made to undergraduate students through June 30, 2013. This 3.4% interest rate will apply from the date the loan is made. The President is expected to sign the bill sometime during the week of July 1, 2012. Graduate and professional degree students—As of July 1, 2012, subsidized loans are no longer available to graduate and professional degree students. Direct Unsubsidized Loans—The interest rate is fixed at 6.8% for all borrowers (undergraduate and graduate). Prior Federal Loans and Financial Aid History—If you currently have a Stafford Loan and would like to check the interest rate, servicer information, and other financial aid history, go to the National Student Loan Data System. Interest rate cap for military members—If you qualify under the Service Members Civil Relief Act, the interest rate on loans you obtained before entering military service may be capped at 6% during your military service. You must contact your loan servicer to request this benefit. In addition, we do not charge interest (for a period of no more than 60 months) on Direct Loans first disbursed on or after October 1, 2008, while a borrower is serving on active duty or performing qualifying National Guard duty during a war or other military operation or other emergency, and serving in an area of hostilities qualifying for special pay. Other than interest, is there a charge for this loan? There is a loan fee on all Direct Subsidized and Unsubsidized Loans. The loan fee is a percentage of the amount of each loan you receive. For loans first disbursed on or after July 1, 2010, the loan origination fee is 1.0%. We will deduct the loan origination fee proportionately from each loan disbursement. The specific loan origination fee that you are charged will be reflected in a disclosure statement that we send to you. Loan Disbursements Direct Stafford Loans are issued to students in multiple disbursements. Stafford borrowers will be charged loan fees which are deducted from the loan proceeds and are used to cover the costs of loan defaults and other administrative costs of the Direct Loan Program. After your loan has been certified, you will receive a Loan Disclosure Statement with pertinent information regarding your loan, including disbursement dates, deducted fees, and net disbursement amounts. Half-time enrollment (6 to 8 ½ units) must be maintained and is verified before each loan disbursement. If you are a first-year, first-time loan borrower there will be a 30 day delay in your first loan disbursement.
2012-13 FEDERAL DIRECT LOAN APPLICATION CHECKSHEET
ALL STUDENTS MUST: Step 1: Complete the 2012-2013 FAFSA Step 2: Submit all requested forms for your 2012-2013 financial aid file and complete all necessary on-line items (Title 4 CY, Title 4 PY and SAP Policy) Step 3: Complete the Direct Loan Entrance Counseling online at studentloans.gov. You must have your FAFSA PIN number to access this site (available at www.pin.ed.gov). Once you have successfully completed Loan Entrance Counseling, print a copy of your confirmation page. Step 4: Complete your Master Promissory Note (MPN) electronically at studentloans.gov. You must have your FAFSA PIN number to access this site (available at www.pin.ed.gov). Loan funds cannot be disbursed until you have signed your Master Promissory Note. If you borrowed last year, it is not necessary to complete a new Master Promissory Note (MPN). Step 5: After you receive a 2012-2013 Financial Aid Award Notification Email from the Financial Aid Office and have completed Direct Loan Entrance Counseling. Complete the 2012-2013 Federal Direct Loan Request Form Submit the completed Request Form to the Financial Aid Office in person (NO fax, mail in, scan forms will be accepted) Submit a copy of your Loan Entrance Counseling confirmation page Provide your original state/federal issued Identification (a copy will be made for our records.) IMPORTANT: If you indicated that you are receiving any benefits/resources from an outside agency or organization, you will be required to submit a Benefit/Resource Form for each resource checked on your Loan Request Form. LOAN REQUEST FORMS WILL NOT BE PROCESSED AND WILL BE RETURNED IF BENEFIT/RESOURCE FORM IS NOT SUBMITTED OR IS NOT COMPLETELY FILLED OUT. NO EXCEPTIONS! Once you have completed Steps 1- 5, you will receive a Loan Disclosure Statement that will provide specific information about your scheduled loan disbursements. Loan Request Deadlines Fall Only: November 21, 2012* Spring Only: April 18, 2013* Summer Only: May 16, 2013* *Loan requests received after the application deadline will not be processed Click here to download Loan Request PDF Version Loan Exit Counseling: Federal regulations require that all student borrowers who graduate, withdraw, or drop below half time enrollment complete loan exit counseling. Always notify your lender of your current address, phone number and contact information in a timely manner. The National Student Loan Data System (NSLDS) website has the most current contact information for the Holder/Servicer of your loan(s).
2012-2013 FEDERAL DIRECT PLUS LOAN INFORMATION
Ventura College participates in the William D. Ford Federal Direct Loan Program. The U.S. Department of Education is the lender for the William D. Ford Federal Direct Parent Loan for Undergraduate Students (PLUS) Loan Program. To borrow a PLUS loan for a student, the parent must be the student’s biological or adoptive mother or father. A stepparent is also eligible to borrow a PLUS loan if his or her income and assets would be taken into account when calculating the dependent student’s EFC. A legal guardian is not considered a parent for Federal Student Aid purposes. Your child must be a dependent student who is enrolled at least half-time at Ventura College.For financial aid purposes, a student is considered "dependent" if he or she is under 24, unmarried, and has no legal dependents at the time the Free Application for Federal Student Aid is submitted. If a student is considered dependent, then the income and the assets of the parent have to be reported on the FAFSA. Parent PLUS loan borrowers cannot have an adverse credit history (credits check will be done). In addition, parents and their dependent child must be U.S. citizens or eligible noncitizens, must not be in default on any federal education loans or owe an overpayment on a federal education grant, and must meet other general eligibility requirements for the Federal Student Aid programs. You can find more information about these requirements in Funding Education Beyond High School: The Guide to Federal Student Aid available at: www.studentaid.ed.gov. The maximum annual award for PLUS is the student's Cost of Attendance minus any resources the student has been awarded. The interest rate for Direct PLUS Loans is a fixed rate of 7.9%. Interest is charged on Direct PLUS Loans during all periods, beginning on the date of your loan's first disbursement. In addition to interest, PLUS borrowers pay a loan origination fee that is a percentage of the principal amount of each Direct PLUS Loan that you receive. This fee helps reduce the cost of making these low-interest loans. We deduct the fee before you receive any loan money, so the loan amount you actually receive will be less than the amount you have to repay. Dependent students whose parents have applied for but were unable to get a PLUS Loan are eligible to receive additional Direct Unsubsidized Loan funds.
2012-13 FEDERAL DIRECT PLUS LOAN APPLICATION CHECKSHEET
Step 1: Student must complete all required documentation a. Complete the 2012-2013 FAFSA b. Submit all requested forms for his/her 2012-2013 Ventura College financial aid file Step 2: After your son/daughter receives a 2012-2013 Financial Aid E-mail Award Letter from Ventura College Complete the 2012-2013 Federal Direct PLUS Loan Request and Authorization to Check Credit Form Submit in person the completed Federal Direct PLUS Loan Request and Authorization to Check Credit Form to the Ventura College Financial Aid Office. You will need to provide your original state/federal issued identification (a copy will be made for our records.) If you are unable to submit the Federal Direct PLUS Loan Request and Authorization to Check Credit Form in person, we will only accept a mailed original form (NO fax, mail in, scan forms will be accepted). You will also need to submit a notarized copy of your original state/federal issued identification. Step 3: If you are approved for a PLUS Loan Your loan will be certified by Ventura College Financial Aid Office You will receive an e-mail instructing you to complete your Master Promissory Note (MPN) electronically. You must have your FAFSA PIN number to access this site (available at www.pin.ed.gov). You will receive a Loan Disclosure Statement with pertinent information regarding your loan, including disbursement dates, deducted fees, and net disbursement amounts. Federal Direct PLUS Loans are issued in multiple disbursements. In addition to interest, PLUS borrowers pay a loan origination fee that is a percentage of the principal amount of each Direct PLUS Loan that you receive. This fee helps reduce the cost of making these low-interest loans. We deduct the fee before you receive any loan money, so the loan amount you actually receive will be less than the amount you have to repay. Students must maintain half-time enrollment status throughout the loan period. This will be verified before each loan disbursement. Click here to download the PDF Version
Alternative Loans
How do I apply for an Alternative Loan? Many banks offer Alternative Loans; please visit their website for further instructions and applications. Many allow you to apply online, but you may also request the alternative loan paperwork be sent to you by mail. Complete all required paperwork and return it directly to the lender. Please be aware that you may need a co-signer as these loans are credit based. You must be a U.S. citizen or permanent resident to apply. Does Ventura College require that I file a FAFSA? Yes, Ventura College requires that you file a FAFSA application and complete your financial aid file. Alternative Loans will NOT be processed without a completed financial aid file. FAFSA applications can be filed electronically at www.fafsa.gov. Ventura College’s Federal School Code is 001334. How much can I borrow? Generally, the minimum alternative loan amount you can request is $1,000. The maximum you can borrow is your Cost of Attendance (COA) minus any financial aid, which includes Direct Loans. The amount borrowed cannot exceed the student’s budget, or cost of attendance, as determined by the school. Is there a deadline to apply? Yes, you must apply by the following deadlines: Fall Loans- November 21, 2012 Spring Loans- April 18, 2013 Summer Loans- May 16, 2013 Can I be denied for an alternative loan? Yes, as alternative loans are credit-based loans. If denied, contact your lender for information concerning any resolution options available to you. What is the enrollment requirement for an alternative loan? Enrollment requirements vary according to the lender, but most lenders require a minimum half-time (6.0 units) enrollment. Please refer to your lender's website for additional information. How will I receive my Alternative Loan Funds? At Ventura College, Alternative Loans are processed via paper check. You will receive an email when your check is ready to be picked up at the Student Business Office.
Deferment or Forbearance
A Deferment or Forbearance allows you to temporarily postpone making your federal student loan payments or to temporarily reduce the amount you pay. Under certain circumstances, you can receive a deferment or forbearance that allows you to temporarily postpone or reduce your federal student loan payments. Postponing or reducing your payments may help you avoid default. You’ll need to work with your loan servicer to apply for deferment or forbearance; and be sure to keep making payments on your loan until the deferment or forbearance is in place. How do I request a deferment? Most deferments are not automatic, and you will likely need to submit a request to your loan servicer, the organization that handles your loan account. If you are enrolled in school at least half-time and you would like to request an in-school deferment, you’ll need to contact your loan servicer. Your deferment request should be submitted to the organization to which you make your loan payments. How do I request a forbearance? Receiving loan forbearance is not automatic. You must apply by making a request to your loan servicer. In some cases, you must provide documentation to support your request. DEFAULT - Don’t ignore your student loan payments. Loans must be repaid. If you don’t make your loan payments, you risk going into default. Defaulting on your loan has serious consequences. Your school, the financial institution that made or owns your loan, your loan guarantor, and the federal government all can take action to recover the money you owe. There are steps you can take to repay your federal student loan successfully and avoid going into default. Understanding your loan agreement, staying on top of your loan information, and making sure to contact your loan servicer if you are having trouble making payments can help you avoid default. When placed in default, any William D. Ford Federal Direct Loan (Direct Loan) Program loan or Federal Family Education Loan (FFEL) Program loan that is owned by the U.S. Department of Education (ED) is assigned to ED’s Default Resolution Group for collection. Defaulted FFEL Program loans that are not owned by ED will be assigned to a guaranty agency for collection. If you are unsure which type(s) of loan(s) you have, check your original loan documents or use the National Student Loan Data System (NSLDS®). Note that information about any private student loan you may have received will not be included in NSLDS. Don’t get discouraged if you are in default on your federal student loan. You have several options for getting your loan out of default. These include loan repayment, loan rehabilitation, and loan consolidation. Loan consolidation allows you to pay off the outstanding combined balance(s) for one or more federal student loans to create a new single loan with a fixed interest rate. Work with your loan servicer to choose a federal student loan repayment plan that’s best for you. To make your payments more affordable, repayment plans can give you more time to repay your loans or be based on your income. Use the Repayment Calculator at www.studentloans.gov, Managing Repayment Tab >>Repaying Your Loans. For additional information on these subjects, please go to www.studentloans.gov

Annual Interest Rates

What are the current interest rates?

Direct Subsidized Loans:

Undergraduate students—On June 29, 2012, both houses of Congress passed a bill that will continue the 3.4% fixed interest rate for Direct subsidized loans made to undergraduate students through June 30, 2013. This 3.4% interest rate will apply from the date the loan is made. The President is expected to sign the bill sometime during the week of July 1, 2012.

Graduate and professional degree students—As of July 1, 2012, subsidized loans are no longer available to graduate and professional degree students.

Direct Unsubsidized Loans—The interest rate is fixed at 6.8% for all borrowers (undergraduate and graduate).

Prior Federal Loans and Financial Aid History—If you currently have a Stafford Loan and would like to check the interest rate, servicer information, and other financial aid history, go to the National Student Loan Data System.

Interest rate cap for military members—If you qualify under the Service Members Civil Relief Act, the interest rate on loans you obtained before entering military service may be capped at 6% during your military service. You must contact your loan servicer to request this benefit.

In addition, we do not charge interest (for a period of no more than 60 months) on Direct Loans first disbursed on or after October 1, 2008, while a borrower is serving on active duty or performing qualifying National Guard duty during a war or other military operation or other emergency, and serving in an area of hostilities qualifying for special pay.

Other than interest, is there a charge for this loan?

There is a loan fee on all Direct Subsidized and Unsubsidized Loans. The loan fee is a percentage of the amount of each loan you receive. For loans first disbursed on or after July 1, 2010, the loan origination fee is 1.0%. We will deduct the loan origination fee proportionately from each loan disbursement. The specific loan origination fee that you are charged will be reflected in a disclosure statement that we send to you.

Loan Disbursements

Direct Stafford Loans are issued to students in multiple disbursements. Stafford borrowers will be charged loan fees which are deducted from the loan proceeds and are used to cover the costs of loan defaults and other administrative costs of the Direct Loan Program. After your loan has been certified, you will receive a Loan Disclosure Statement with pertinent information regarding your loan, including disbursement dates, deducted fees, and net disbursement amounts.

Half-time enrollment (6 to 8 ½ units) must be maintained and is verified before each loan disbursement.

If you are a first-year, first-time loan borrower there will be a 30 day delay in your first loan disbursement.

2012-13 FEDERAL DIRECT LOAN APPLICATION CHECKSHEET

ALL STUDENTS MUST:

Step 1: Complete the 2012-2013 FAFSA
Step 2: Submit all requested forms for your 2012-2013 financial aid file and complete all necessary on-line items (Title 4 CY, Title 4 PY and SAP Policy)
Step 3: Complete the Direct Loan Entrance Counseling online at studentloans.gov. You must have your FAFSA PIN number to access this site (available at www.pin.ed.gov). Once you have successfully completed Loan Entrance Counseling, print a copy of your confirmation page.
Step 4: Complete your Master Promissory Note (MPN) electronically at studentloans.gov. You must have your FAFSA PIN number to access this site (available at www.pin.ed.gov). Loan funds cannot be disbursed until you have signed your Master Promissory Note.

If you borrowed last year, it is not necessary to complete a new Master Promissory Note (MPN).

Step 5: After you receive a 2012-2013 Financial Aid Award Notification Email from the Financial Aid Office and have completed Direct Loan Entrance Counseling.
- Complete the 2012-2013 Federal Direct Loan Request Form
- Submit the completed Request Form to the Financial Aid Office in person (NO fax, mail in, scan forms will be accepted)
- Submit a copy of your Loan Entrance Counseling confirmation page
- Provide your original state/federal issued Identification (a copy will be made for our records.)
  
  IMPORTANT: If you indicated that you are receiving any benefits/resources from an outside agency or organization, you will be required to submit a Benefit/Resource Form for each resource checked on your Loan Request Form. LOAN REQUEST FORMS WILL NOT BE PROCESSED AND WILL BE RETURNED IF BENEFIT/RESOURCE FORM IS NOT SUBMITTED OR IS NOT COMPLETELY FILLED OUT. NO EXCEPTIONS!

Once you have completed Steps 1- 5, you will receive a Loan Disclosure Statement that will provide specific information about your scheduled loan disbursements.

Loan Request Deadlines

Fall Only: November 21, 2012*

Spring Only: April 18, 2013*

Summer Only: May 16, 2013*

*Loan requests received after the application deadline will not be processed

Click here to download Loan Request PDF Version

Loan Exit Counseling:

Federal regulations require that all student borrowers who graduate, withdraw, or drop below half time enrollment complete loan exit counseling. Always notify your lender of your current address, phone number and contact information in a timely manner. The National Student Loan Data System (NSLDS) website has the most current contact information for the Holder/Servicer of your loan(s).

2012-2013 FEDERAL DIRECT PLUS LOAN INFORMATION

Ventura College participates in the William D. Ford Federal Direct Loan Program. The U.S. Department of Education is the lender for the William D. Ford Federal Direct Parent Loan for Undergraduate Students (PLUS) Loan Program.

To borrow a PLUS loan for a student, the parent must be the student’s biological or adoptive mother or father. A stepparent is also eligible to borrow a PLUS loan if his or her income and assets would be taken into account when calculating the dependent student’s EFC. A legal guardian is not considered a parent for Federal Student Aid purposes. Your child must be a dependent student who is enrolled at least half-time at Ventura College.For financial aid purposes, a student is considered "dependent" if he or she is under 24, unmarried, and has no legal dependents at the time the Free Application for Federal Student Aid is submitted. If a student is considered dependent, then the income and the assets of the parent have to be reported on the FAFSA.

Parent PLUS loan borrowers cannot have an adverse credit history (credits check will be done). In addition, parents and their dependent child must be U.S. citizens or eligible noncitizens, must not be in default on any federal education loans or owe an overpayment on a federal education grant, and must meet other general eligibility requirements for the Federal Student Aid programs. You can find more information about these requirements in Funding Education Beyond High School: The Guide to Federal Student Aid available at: www.studentaid.ed.gov.

The maximum annual award for PLUS is the student's Cost of Attendance minus any resources the student has been awarded. The interest rate for Direct PLUS Loans is a fixed rate of 7.9%. Interest is charged on Direct PLUS Loans during all periods, beginning on the date of your loan's first disbursement.

In addition to interest, PLUS borrowers pay a loan origination fee that is a percentage of the principal amount of each Direct PLUS Loan that you receive. This fee helps reduce the cost of making these low-interest loans. We deduct the fee before you receive any loan money, so the loan amount you actually receive will be less than the amount you have to repay.

Dependent students whose parents have applied for but were unable to get a PLUS Loan are eligible to receive additional Direct Unsubsidized Loan funds.

2012-13 FEDERAL DIRECT PLUS LOAN APPLICATION CHECKSHEET

Step 1: Student must complete all required documentation
- a. Complete the 2012-2013 FAFSA
- b. Submit all requested forms for his/her 2012-2013 Ventura College financial aid file
Step 2: After your son/daughter receives a 2012-2013 Financial Aid E-mail Award Letter from Ventura College

1. Complete the 2012-2013 Federal Direct PLUS Loan Request and Authorization to Check Credit Form
2. Submit in person the completed Federal Direct PLUS Loan Request and Authorization to Check Credit Form to the Ventura College Financial Aid Office. You will need to provide your original state/federal issued identification (a copy will be made for our records.)
3. If you are unable to submit the Federal Direct PLUS Loan Request and Authorization to Check Credit Form in person, we will only accept a mailed original form (NO fax, mail in, scan forms will be accepted). You will also need to submit a notarized copy of your original state/federal issued identification.

Step 3: If you are approved for a PLUS Loan

1. Your loan will be certified by Ventura College Financial Aid Office
2. You will receive an e-mail instructing you to complete your Master Promissory Note (MPN) electronically. You must have your FAFSA PIN number to access this site (available at www.pin.ed.gov).
3. You will receive a Loan Disclosure Statement with pertinent information regarding your loan, including disbursement dates, deducted fees, and net disbursement amounts.

Federal Direct PLUS Loans are issued in multiple disbursements. In addition to interest, PLUS borrowers pay a loan origination fee that is a percentage of the principal amount of each Direct PLUS Loan that you receive. This fee helps reduce the cost of making these low-interest loans. We deduct the fee before you receive any loan money, so the loan amount you actually receive will be less than the amount you have to repay.

Students must maintain half-time enrollment status throughout the loan period. This will be verified before each loan disbursement.

Click here to download the PDF Version

Alternative Loans

How do I apply for an Alternative Loan?

Many banks offer Alternative Loans; please visit their website for further instructions and applications. Many allow you to apply online, but you may also request the alternative loan paperwork be sent to you by mail. Complete all required paperwork and return it directly to the lender. Please be aware that you may need a co-signer as these loans are credit based.

You must be a U.S. citizen or permanent resident to apply.

Does Ventura College require that I file a FAFSA?

Yes, Ventura College requires that you file a FAFSA application and complete your financial aid file. Alternative Loans will NOT be processed without a completed financial aid file. FAFSA applications can be filed electronically at www.fafsa.gov.

Ventura College’s Federal School Code is 001334.

How much can I borrow?

Generally, the minimum alternative loan amount you can request is $1,000. The maximum you can borrow is your Cost of Attendance (COA) minus any financial aid, which includes Direct Loans. The amount borrowed cannot exceed the student’s budget, or cost of attendance, as determined by the school.

Is there a deadline to apply?

Yes, you must apply by the following deadlines:

Fall Loans- November 21, 2012

Spring Loans- April 18, 2013

Summer Loans- May 16, 2013

Can I be denied for an alternative loan?

Yes, as alternative loans are credit-based loans. If denied, contact your lender for information concerning any resolution options available to you.

What is the enrollment requirement for an alternative loan?
Enrollment requirements vary according to the lender, but most lenders require a minimum half-time (6.0 units) enrollment. Please refer to your lender's website for additional information.

How will I receive my Alternative Loan Funds?

At Ventura College, Alternative Loans are processed via paper check. You will receive an email when your check is ready to be picked up at the Student Business Office.

Deferment or Forbearance

A Deferment or Forbearance allows you to temporarily postpone making your federal student loan payments or to temporarily reduce the amount you pay.

Under certain circumstances, you can receive a deferment or forbearance that allows you to temporarily postpone or reduce your federal student loan payments. Postponing or reducing your payments may help you avoid default. You’ll need to work with your loan servicer to apply for deferment or forbearance; and be sure to keep making payments on your loan until the deferment or forbearance is in place.

How do I request a deferment?

Most deferments are not automatic, and you will likely need to submit a request to your loan servicer, the organization that handles your loan account. If you are enrolled in school at least half-time and you would like to request an in-school deferment, you’ll need to contact your loan servicer. Your deferment request should be submitted to the organization to which you make your loan payments.

How do I request a forbearance?

Receiving loan forbearance is not automatic. You must apply by making a request to your loan servicer. In some cases, you must provide documentation to support your request.

DEFAULT - Don’t ignore your student loan payments. Loans must be repaid.

If you don’t make your loan payments, you risk going into default. Defaulting on your loan has serious consequences. Your school, the financial institution that made or owns your loan, your loan guarantor, and the federal government all can take action to recover the money you owe.

There are steps you can take to repay your federal student loan successfully and avoid going into default. Understanding your loan agreement, staying on top of your loan information, and making sure to contact your loan servicer if you are having trouble making payments can help you avoid default.

When placed in default, any William D. Ford Federal Direct Loan (Direct Loan) Program loan or Federal Family Education Loan (FFEL) Program loan that is owned by the U.S. Department of Education (ED) is assigned to ED’s Default Resolution Group for collection. Defaulted FFEL Program loans that are not owned by ED will be assigned to a guaranty agency for collection.

If you are unsure which type(s) of loan(s) you have, check your original loan documents or use the National Student Loan Data System (NSLDS®). Note that information about any private student loan you may have received will not be included in NSLDS.

Don’t get discouraged if you are in default on your federal student loan. You have several options for getting your loan out of default. These include

Loan consolidation allows you to pay off the outstanding combined balance(s) for one or more federal student loans to create a new single loan with a fixed interest rate.

Work with your loan servicer to choose a federal student loan repayment plan that’s best for you.

To make your payments more affordable, repayment plans can give you more time to repay your loans or be based on your income. Use the Repayment Calculator at www.studentloans.gov, Managing Repayment Tab >>Repaying Your Loans.

For additional information on these subjects, please go to www.studentloans.gov

Last Updated 4/25/13