Invest in a Christian liberal arts education

Tuition and Aid

Loans

By choosing a Christian liberal arts education like the one offered at Trinity and only borrowing what you need, student loans can become a wise investment in your future rather than a burden. Read on to learn more about loans available to you and your parents for your college education.

William D. Ford Direct Student Loan Program

This is a low-interest loan taken out by the student. The FAFSA must be completed in order to be eligible. Interest rate for both the Subsidized and Unsubsidized Loans: 4.99%. Repayment begins six months after graduation or if the student drops below half-time status. The Subsidized Loan is based on need, and interest is paid by the government while the student is in school; interest on the Unsubsidized Loan begins to accrue upon disbursement of funds.

The Federal Government requires all new, first-time borrowers to complete Loan Entrance Counseling and a Master Promissory Note. Please click below for more information and to complete these two loan steps.

Direct PLUS Loan

The Direct PLUS (Parental Loan to Undergraduate Students) loan is a low-interest loan that parents take out on the student’s behalf. The FAFSA must be completed in order to be eligible. The interest rate is fixed at 7.54%. Repayment begins within sixty days after the loan is disbursed or may be deferred until six months after the student graduates or drops below half-time status.

Private Loans

This is a variable rate loan that students take out on their own behalf. This loan requires a credit check and generally, a cosigner. Interest rates vary depending on the lender. Please note that an alternative loan should be considered a loan of last resort. You may qualify for Title IV loans (Perkins loans, William D. Ford Direct or Direct Plus) and should first explore these options before seeking an alternative/private education loan.

What You Should Know About Private Loans

Private or alternative student loans are credit-based loans available from participating private lenders that help students to cover gaps in the financing of their education.

Who Might Apply For A Private Loan?

Private Student Loans may be a viable option for students who:

Are ineligible for federal student loans (Direct Loans, Perkins Loans, Direct PLUS),
Require additional funding beyond the financial aid that has been offered, or
Owe a balance to the TIU Student Accounting Office for prior year attendance. (Federal legislation prohibits an institution from using federal financial aid funds from a current academic year to pay a prior balance in excess of $200. If you are unable to pay for a prior balance using your own funds, you may wish to explore the option of a private student loan.)

Private Student Loans Are A Last Resort

Private student loans should be considered an option of last resort, after all other resources, including federal student aid, have been exhausted. Educational debt should be very carefully considered and limited to amounts needed to fill a gap between cost and other sources of finances.

Terms & Conditions Of Private Student Loans

Terms and conditions of private student loans vary according to the loan providers. Look for differences in interest rates, fees, credit checks, co-signer requirements, loan limits and terms of repayment. Students are encouraged to engage in smart consumerism practices and evaluate each loan product closely prior to choosing a lender. For additional help in knowing how to evaluate lenders, visit Mapping Your Future’s Private Loan Guide.

Finding A Private Loan Provider

Many, but not all, lenders participate in private student loan programs. TIU maintains a historical list of lenders who have provided loans to TIU students within the last 3-5 years. This list, with links to lender websites, is provided for your convenience and is in no way intended as an endorsement of a particular lender(s). Please be aware that you are not obligated to apply for a private student loan, nor are you obligated to choose a lender included on this list. We urge you to consider carefully your decision to take out a private student loan and your choice of a private student loan provider.

Applying For A Private Student Loan

Be sure to first complete the Free Application for Federal Student Aid (FAFSA) in order to determine your eligibility for federal loans.
Each private student loan provider may have its own process for completing a private loan application. However, in each case, you must first complete a Private Education Loan Applicant Self-Certification Form and return it to your lender. This form can also be obtained directly from a lender’s website. Your private student loan application cannot be processed without this form. This form will ask the applicant to provide various kinds of information, including the cost of attendance and other forms/amounts of financial aid received. Cost of attendance information is available online, or may be obtained by contacting the TIU Financial Aid Office.
Consider applying with a credit worthy co-signer. While a co-signer is not always required, doing so may increase the likelihood of loan approval, and of receiving a more favorable interest rate.
The lender will conduct a pre-approval credit investigation and notify the applicant (and co-signer) of approval or denial. If approved, the student (and co-signer) will need to review the Master Promissory Note, sign and return it to the lender.
TIU is required to certify the loan, and will be notified by the lender of a pending certification request.
Under the Private Loan Regulations (Title X), private lenders must provide disclosures to students at three different times about the terms and conditions of the loan:

At time of application;
After initial approval by the lender;
Upon consummation of the loan. This last disclosure mandates a three-day ‘right-to-cancel’ period before the loan may be disbursed to the school.

Once approved, the proceeds of the student loan will be deposited into your TIU student account and applied against any remaining charges. Any credit balance is available for withdrawal.