Information about relief options for federal loan borrowers during the coronavirus (COVID-19) outbreak is available on Federal Student Aid’s coronavirus website.
- Federal Direct Loan
- Federal Direct Parent PLUS Loan
- Nurse Education Assistance Loan Program (NEALP)
- C.E. Schell Foundation Loan
- Alternative Loans
- Resources for Borrowers
All education loans must be repaid even if you experience difficult financial circumstances or do not complete your education. Before accepting any loans, you should create a plan to repay them.
Each loan has certain eligibility requirements, in addition to the general Eligibility Requirements for aid.
The federal government provides educational loans under the Federal Direct Loan program. Repayment of the Federal Direct Loan begins six months after you graduate or six months after you drop below half-time status.
There are two types of Federal Direct Loans:
Federal Direct Subsidized Loan: This is a need-based loan for which the interest is paid by the government while you are in school at least half-time. Interest will begin to accumulate at the start of your 6 month grace period (the period of time before repayment, which occurs after you are no longer in school at least half time).
Federal Direct Unsubsidized Loan: There is no financial need requirement to be eligible for an Unsubsidized Loan. However, total financial aid, which includes the Unsubsidized Loan, cannot exceed the cost of attendance. Unlike the Subsidized Loan, interest accumulates while you are attending school and can be paid monthly or capitalized (added to the total loan balance) until you leave school.
Enrollment required: You must be enrolled in, attend and maintain a minimum of 6 credit hours.
Application: Free Application for Federal Student Aid (FAFSA®).
Click here for more information about the Federal Direct Loan, including award amounts, eligibility criteria, fees, interest rates, and repayment information.
Parents can borrow funds to cover educational costs for their dependent students. Students must be enrolled in and attend a minimum of 6 credit hours and meet the eligibility criteria outlined in the Federal Direct Parent PLUS Loan information. Parents can begin repayment when the loan is fully disbursed, with the first payment generally due within 60 days, or can choose to begin repayment six months after the student is no longer enrolled at least half time or graduates. There is no financial need required to be eligible; however, total financial aid cannot exceed cost of attendance. The applicant’s credit history will be evaluated in determining loan eligibility.
Maximum award amount: Student’s costs not covered by other financial aid, subject to credit approval
Enrollment required: Students must be enrolled in, attend and maintain a minimum of 6 credit hours.
- Free Application for Federal Student Aid (FAFSA®)
- Federal Direct Parent PLUS Loan Request and Master Promissory Note. Please refer to the Federal Direct Parent PLUS Loan Application Instructions.
Click here for more information about the Federal Direct Parent PLUS Loan, including eligibility criteria, fees, interest rates, and repayment information.
The Nurse Education Assistance Loan Program (NEALP) is a state program for nursing students who plan to practice nursing in the State of Ohio upon completion of their education. The loan is based on financial need. After graduation, you may be eligible for loan forgiveness at the rate of 20 percent per year and a maximum loan cancellation of 100 percent.
You must meet the following criteria to be considered:
- be admitted to the nursing program
- be an Ohio resident
- be a U.S. citizen or eligible non-citizen
- meet Satisfactory Academic Progress requirements
- do not owe a grant overpayment or have a federal or state loan in default status
For more information, refer to the NEALP website or call the Ohio Department of Higher Education’s State Grants & Scholarships Office at 1-888-833-1133.
Award amount: Varies based on availability of funds; may be renewed for a maximum of four years.
Enrollment required: A minimum of 6 credit hours
- NEALP application forms are available on the Ohio Department of Higher Education’s website. Applications are available beginning January 1 and must be submitted by July 15 preceding the fall semester.
- Free Application for Federal Student Aid
The C.E. Schell Foundation Loan is a no-interest loan provided through funds from the C.E. Schell Foundation. You may be offered up to $500 per semester, for up to a cumulative maximum of $2,000 per student. Funding is highly limited. Students are offered the loan at the discretion of the Office of Financial Aid, with priority to students who, due to highly extenuating circumstances, are unable to cover their educational expenses with other financial aid programs. Students must also complete the Free Application for Federal Student Aid.
The C.E. Schell Foundation requires students to meet the following criteria:
- Students must be between the ages of 15 and 25.
- Students must be citizens of Ohio, Kentucky, West Virginia, Michigan, Indiana, or Pennsylvania.
- Students must have a cumulative 2.0 GPA or higher.
- Students must “appear to be honest, upright, intelligent, of practical appearance; who are of unmistakable loyalty to our country and its institutions — including the Army, Navy and Air Force.” Therefore, students in default on federal loans do not qualify.
- Students must have “respectable parents of moderate means” who are U.S. citizens born in the U.S.
Some lenders offer private “alternative” loans to students to help cover educational costs. These loans generally require that you have good credit or a credit-worthy cosigner. Eligibility requirements, application procedures, fees, interest rates, and repayment terms vary. Families are encouraged to utilize the Federal Direct and Federal Direct PLUS Loan programs before considering an alternative loan. Students must also complete the Free Application for Federal Student Aid.
- Federal Student Aid Loan Information
- Federal Student Aid Loan Default Information
- StudentAid.gov: View your federal student loans
- Student Debt Repayment Assistant (Consumer Financial Protection Bureau)
FAFSA® is a registered trademark of the U.S. Department of Education.