The primary source of financial aid obtained by National University students is federal student loans. NUHS participates in the Federal Direct Loan Program whereby students borrow these federal loans through the U.S. Treasury.
Amount You Can Borrow: $20,500 per year of Stafford loans; limit of $138,500 (includes any Stafford loans that you borrowed as an undergraduate). These are fixed rate Direct unsubsidized loans. Each year, Congress sets the interest rate on federal student loans with an effective date of July 1.
Fees: The Federal Government charges a fee of 1.069% of the disbursed loan amount. The fee amount is deducted from the amount that you borrow. This means that the amount of money you receive for your loan will be lower than what you actually borrowed, but you are still responsible for repaying the full amount back.
Repayment: Student loan repayment begins six months after you graduate or become enrolled less than half time.
Graduate PLUS Loans
To qualify for a Graduate PLUS Loan, you must not have an adverse credit history. You have to complete a Free Application For Federal Student Aid (FAFSA®) and can request a Direct PLUS Loan at StudentLoans.gov. Keep in mind that this is also a fixed rate loan, but has a slightly higher interest rate than the Stafford Loan.
Amount You Can Borrow: You can borrow up to the cost of attendance as determined by your school, unless any financial aid is received. Unlike Stafford loans, there is no limit.
Fees: You will pay a fee of 4.076% of the disbursed loan amount, which is deducted from your loan principal before your student loan is disbursed and sent to your school.
Repayment: Like the Stafford Loan, repayment begins six months after you graduate or become enrolled less than half time.
Credit-Based Private Loans
Private loans are exactly what they sound like: non-government loans that are issued by banks, credit unions, or other financial companies. Unlike federal loans, private lenders offer both fixed and variable interest rate loans. The catch is that you typically have to begin paying these loans back while you’re still in school, although the payments are lower than those you pay after graduation. These loans are best for those who have a strong credit history.