Becker College Office of Financial Aid
47 Sever Street
Worcester, MA 01609
Direct loans are offered to students from the Department of Education. Below are the types of loans offered. For more information please view our 2014-2015 Direct Loan Guide.
Subsidized loans are based upon demonstrated financial need and the federal government subsidizes the interest. No interest is charged while the student maintains an enrollment status of at least half-time (six credits). Interest does begin to accrue from the start of the six month grace period and throughout the repayment period. The interest rate for Federal Subsidized Loans for the 2014-2015 academic year, first disbursed after July 1, 2014, is 4.66%.
Unsubsidized loans are not awarded on the basis of financial need. The loan accrues interest from the time it it is disbursed until it is paid in full. If you allow the interest to accrue while you are in school or during repayment periods, this interest will be capitalized. Interest that is capitalized will be added to the principal amount of your loan, and additional interest will be based on the higher amount. The interest rate for Federal Unsubsidized Loans, first disbursed after July 1, 2014, is 4.66%. Note: Students can pay the interest on their unsubsidized Stafford loan while in school. Students interested in making payments should contact their lender directly.
Federal Direct Loan Fee – The origination fee is held by the U.S. Department of Education as an expense of assuming a Direct Loan. Loans with a first disbursement date prior to October 1, 2014 will have a 1.072% fee deducted from each loan disbursement. Loans with a first disbursement date on or after October 1, 2014 will have a 1.073% fee deducted from each loan disbursement.
The Parent Loan for Undergraduate Students (PLUS) enables parents of dependent undergraduates to borrow an amount equal to cost of attendance, less other financial aid. Parent loans differ from student loans in that repayment of the loan begins 60 days after the loan is fully disbursed, however parents can defer these payments while their student is attending college at least half-time (6 credits). Currently the interest rate is fixed at 7.21%.
Federal Parent PLUS Loan Fee – The origination fee is held by the U.S. Department of Education as an expense of assuming a Direct Loan. Loans with a first disbursement date prior to October 1, 2014 will have a 4.288% fee deducted from each loan disbursement. Loans with a first disbursement date on or after October 1, 2014 will have a 4.292% fee deducted from each loan disbursement.
To apply for a parent plus loan go to www.studentloans.gov and click on Sign in. When signing in, use the information of the parent applying for the loan. Click on Apply for a Parent Plus Loan and follow the directions.
Becker College participates in alternative loan programs through a number of lenders. Becker supports the family’s right to obtain a private alternative student loan from any loan provider and will certify and process private alternative student loans from any lender.
To find a list of lenders in which the Office of Financial Aid has selected please go to ELM Select. We recommend these lenders based on the quality of products and services they provide to students and families. We have carefully considered our selections in order to provide you with the best possible list of suggested lenders. However, if you wish to use another lender that is not on this list, you have the right to do so.