Undergraduate Loan Information

Undergraduate Federal Student Loan Process 2009-2010

Effective for the 2009-2010 Academic Year, St. John’s University will be processing all Federal Stafford and Parent (PLUS) loans exclusively through the William D. Ford Federal Direct Loan Program in which borrowers obtain loan funds directly from the U.S. Department of Education.

Student/parent who wishes to borrow the federal loans indicated in their Financial Aid Award Offer, need to complete the following simple steps.

Federal Subsidized/Unsubsidized Loan Process

Step 1:  First time Federal Student Loan borrowers must complete a Federal Student loan Entrance Counseling Session in accordance with federal regulations.  Go to www.dl.ed.gov and click on Entrance Counseling.

When searching for the school during entrance counseling please spell the name out as ‘Saint John’s University’.

Note: If you have already completed your entrance interview at mappingyourfuture.org you do not have to complete another entrance interview.

Step 2:  Complete a Direct Loan Master Promissory Note (MPN) at www.dlenote.ed.gov.  Borrowers will need their FAFSA Personal Identification Number (PIN).  If you do not have a PIN or cannot recall it, you can request your PIN at www.pin.ed.gov.

Before completing your student Direct Loan MPN please note the following:

  • St. John’s will automatically be notified that the MPN has been signed and will send a school certification, to the U.S. Department of Education,  for the full value of your federal loans (subsidized/unsubsidized only) as they appear on your Financial Aid Award Letter.
  • If you do not want the full value of your subsidized/unsubsidized loans, please notify the Office of Student Financial Services in writing before you sign your MPN, by completing a Student Loan Change Form. 
  • For the Student Loan Change Formclick here.  Please fax the form to (718) 990-5742 or mail to:
                             Office of Student Financial Services
                             St. John’s University
                             8000 Utopia PKWY
                             Queens, New York, 11439
                             Att: Loan Department
     
  • If you are making a loan amount change, please do not sign your MPN until you confirm that a message has been placed on your personal St. John’s UIS financial aid account advising you that your loan change request has been processed and you should complete your MPN.

Please note:  In order for you to receive credit for your loans on your student bill, you must complete the loan process and complete verification if selected. Please log on to your personal account via the University Information System (UIS) to review any outstanding requirements. Go tohttps://apollo.stjohns.edu.

Parent Loan for Undergraduate Students (PLUS) Process

Step 1: Complete the Direct PLUS Request Form and return it to:

                         Office of Student Financial Services
                         St. John’s University
                         8000 Utopia PKWY
                         Queens, New York, 11439
                         Att: Loan Department

  • For our Direct PLUS Request Formclick here.
  • Upon receipt of the Direct PLUS Request Form, St. John’s will forward parent borrower’s information to the Department of Education servicer for a credit check.
  • Upon receipt of credit approval parent will receive an email letting them know that they have been approved for the PLUS and will be advised then to complete their Master Promissory Note.

Step 2: Complete the Direct PLUS Loan Master Promissory Note (MPN) at www.dlenote.ed.gov upon notification of credit approval.

It is important to remember the following:

  • When you sign a promissory note, you are agreeing to repay the loan according to the terms of the note only borrow what you need.
  • The interest rate for Federal Direct Subsidized Loans for undergraduate students disbursed on or after July 1st 2009 will be 5.6%.
  • The interest rate for Federal Direct Unsubsidized Loans for all students disbursed on or after July 1st 2009 will be 6.8%.
  • For the Federal Direct Subsidized Loans you will not be charged interest until you begin repayment. Repayment begins six months after you cease to be enrolled at least half-time (including leaves of absence).
  • For the Federal Direct Unsubsidized Loans the government will not pay interest while a student is in school as it does for the Subsidized Direct Loan. Interest accrues, and must be paid or capitalized, during periods of in-school enrollment and/or deferment.
  • For Federal Direct Subsidized and Unsubsidized loans, as of July 1,2009, an origination fee of 1.5% of the total loan will be assessed and an up-front rebate of 1.0% will automatically be applied: Federal Direct PLUS loans origination fee is 4% and the rebate is 1.5%. To keep this up-front rebate, you must make your first 12 payments on time once you go into repayment. The net disbursement will reflect these adjustments therefore; the amount credited will be less than the loan amount approved. These fees are determined by the U.S. Department of Education.
  • Your loan funds will be disbursed in two installments and applied to your student account.
  • Your repayment period varies from 10 to 25 years depending on which repayment plan you choose. You can prepay your student loans at any time without a penalty.
  • You have the right to cancel all or part of your loan up through 30 days after disbursement.
  • For more information on Direct Loans visit http://www.ed.gov/offices/OSFAP/DirectLoan.
  • The U.S. Department of Education's National Student Loan Data System (NSLDS) provides borrowers access to information on all student loans and/or federal grant amounts, including information on loan status, outstanding balances, and disbursements. Go to www.nslds.ed.gov.