• The student must: 
• Meet general eligibility requirements
• Enroll at least half-time each semester
• File the current year’s FAFSA (Free Application for Federal Student Aid)

First-time loan borrowers at Eastern must complete a Federal Direct Loan Master Promissory Note (MPN) and Entrance Counseling questionnaire online at StudentAid.ed.gov.  You will need your FSA ID to access the website (the student’s FSA ID). 

Subsidized:  The Federal Government will pay the interest on this loan while the student is enrolled at least half-time.  Effective July 1, 2013, there is a time limitation on Direct Subsidized Loan Eligibility for First-Time Borrowers.
Unsubsidized:   Interest accrues on the loan while the student is in school.  The student may choose to pay the interest monthly (which saves money in the long run!)

A student’s eligibility for Subsidized & Unsubsidized is determined by filing the FAFSA.

*Dependent Students must receive a Federal Direct Parent PLUS Loan denial before becoming eligible for the Additional Unsubsidized.  Independent Students automatically become eligible for the Additional Unsubsidized.

Aggregate Loan Limits (the maximum amount a student can borrow in their lifetime)
Undergraduate:

• Dependent Students = $31,000 (no more than $23,000 of which can be Subsidized)
• Independent Students = $57,500 (no more than $23,000 of which can be Subsidized)

Graduate and Professional Students:

• Maximum = $138,500 (no more than $65,500 of which can be Subsidized)

Students who have enrolled in a CERTIFICATION program are not considered to be enrolled in a graduate level program – for financial aid purposes only.  Your loan eligibility will be determined as a 5th year Undergraduate.  You will be held to the Undergraduate Borrowing Limits and Aggregate Limits.

Entrance and Exit Counseling are both required in order to participate in the Federal Direct Loan Program.  They ensure that you fully understand your rights and obligations as a student loan borrower. Financial aid for a higher education is often the key to a successful future, but it is also a serious obligation with specific responsibilities. Both the Entrance and Exit Counseling sessions will help prepare you for your new responsibilities, while ensuring that you make the most of your higher education and enjoy a worry free repayment process.

Entrance Counseling is typically completed at the same time as the Master Promissory Note (MPN). You can complete the Entrance Counseling questionnaire online at StudentAid.ed.gov. Please note: Your Federal Direct Loan will not be approved and the funds will not be sent to Eastern until both the Entrance Counseling and MPN are completed.

Exit Counseling is typically completed at the completion of school.  If you have graduated, dropped below half-time, or withdrawn from Eastern, you must complete your Exit Counseling at StudentAid.ed.gov.  For Undergraduate students who will be graduating sometime other than May, your loans will be reviewed and pro-rated based on the number of credits you are taking in your last semester.

Under certain conditions you can receive a deferment on your loan as long as your loan is not in default. This allows you to temporarily postpone payments. Students enrolled at least half-time can be considered for an in-school deferment. 

If your prior loan is a Federal Direct Loan, you must contact the Direct Loan Servicing Center to request a deferment. (StudentAid.ed.gov or 1-800-848-0979)  

If your loan is NOT a Federal Direct Loan, then you must contact the lender or guaranty agency that holds your loan. 

You must continue making scheduled payments until you are notified that the deferment has been granted, otherwise your loan could enter into default. All Deferment Forms should be submitted to Eastern’s Registrar’s Office for completion. The Office of the Registrar can be reached at (610) 341-5853 / registrar@eastern.edu .