Graduate Lender Selection
- Federal Direct Student Loan
- Graduate PLUS Loans
- Alternative Loans
- Private Loan Disclosures
- Declining or Changing a Loan
- Other Borrowing Options
- Glossary of Lending Terms
Beginning January 2010, Sarah Lawrence is a Direct Loan participant. You will borrow the federal subsidized, unsubsidized and PLUS loan funds directly from the federal government. To accept your loan, please download and complete the Student Loan Acknowledgement form. You may also use this form to decline loans or to reduce the amount. We will change your loan amounts as you direct on this form.
First-time borrowers must also complete Entrance Counseling and a Master Promissory Note (MPN). You may complete these requirements by visiting www.studentloans.gov. Students who have borrowed a federal loan in the past while at SLC need do only the MPN. If you will be taking a Grad Plus Loan, be sure to include the Grad Plus option in your Entrance Counseling.
For more information about the Stafford loan program, visit the William D. Ford Direct Student Loan Program.
If you wish to take out a Graduate Plus Loan complete a Plus Loan Authorization Form for Parents or Graduate Students. Then, go to www.studentloans.gov and complete the Master Promissory Note for a Plus Loan.
The maximum amount of PLUS loan eligibility is the total cost of tuition, room, board, and fees minus any financial aid you have already been awarded. You may wish to borrow less than you are eligible for, so maximum eligibility is not necessarily the same as the maximum amount of the loan. If you do not indicate an amount you wish to borrow, we will automatically apply for your maximum eligibility. You must complete a separate Master Promissory Note (MPN) at www.studentloans.gov. We will not process this loan until this step has been completed.
Sarah Lawrence College Code of Conduct Related to Student Loans
U.S. Citizens and Eligible Non-citizens:
Federal student loans maybe part of the financial aid package that meets that financial need. As related to Alternative/Private Education Loans the following points apply and are emphasized in our consumer information available to students:
- We strongly encourage students to discuss their financial situation with a financial aid professional prior to taking out any private education loan.
- Sarah Lawrence College has a policy of refraining from an exclusive partnership with a single lender; we do not endorse or recommend any particular lenders. The lenders listed on the financial aid section of this site appear there because we have processed applications from these lenders for families in the past year. This list is updated each year.
Sarah Lawrence College Conflict of Interest Policy
- Duty to avoid conflicts of interest
All employees and certain volunteers acting for or on behalf of Sarah Lawrence College have an obligation to conduct business for or on behalf of the College in a manner that avoids actual or potential conflicts of interest. Further, trustees, senior officers, and key administrators of the College, as well as non-trustee members of Finance Committee of the College’s Board of Trustees, are required to disclose relationships that create or appear to create such conflicts of interest.
- What is a conflict of interest?
An actual or potential conflict of interest may occur when an individual is in a position to influence the College’s business dealings so as to produce personal gain for that individual or for a relative, friend or business associate of that individual. Personal gain may result not only in cases where a person acting for or on behalf of the College (or a relative, friend or business associate of such a person) has significant ownership in a firm with which the College does business, but also when a substantial gift or special consideration is received as a result of any transaction or business dealing involving the College. For the purpose of this policy, a relative is a member of the individual’s immediate family.
- Relationships requiring disclosure
Trustees, non-trustee members of the Finance Committee of the Board of Trustees, senior officers, and key administrators who have significant business affiliations or official relationships with organizations with which the College does business are required to disclose those affiliations to the College. In this context, “official relationship” means serving as an officer, director, employee, partner, proprietor, or owner of 10% or more of the stock, of an entity that transacts business with the College. A conflict of interest is not always created by the mere existence of a relationship with outside organizations. However, if an individual has influence at the College on any commercial transactions, including but not limited to purchases, contracts, or leases, it is imperative that he or she disclose as soon as possible the existence of such relationships so that safeguards can be established that will prevent any conflict of interest from arising. Such safeguards may include, without limit, the recusal of such individual from decision-making on any matter under consideration by the College or before the Board of Trustees.
- Process for disclosure
Each year the Secretary of the Board will provide trustees, non-trustee members of the Finance Committee of the Board of Trustees, senior officers and key administrators with the policy statement, a disclosure form, and a current list of organizations with which the College does substantial business. All information provided in response to this request shall be held in confidence by the persons referred to in the next sentence unless the best interests of the College dictate otherwise and except as required by law. The Secretary of the Board will compile the results of the disclosure process, providing information to the Chairman of the Board, the President, the Chairman of the Audit Committee, and the Vice President for Finance and Administration.
- Gifts policy
The acceptance of gifts from persons or entities doing business or seeking to do business with the College can create, or appear to create, a conflict of interest. Trustees, non-trustee members of the Finance Committee of the Board of Trustees, and College employees are therefore prohibited from soliciting or accepting from any person or entity doing business with or seeking to do business with the College any remuneration, gift, gratuity, services, loans, travel, entertainment, or other item, of more than nominal value. “Nominal value” as used in this policy, shall mean a value of $75.00.
Choosing an Alternative Loan
Still need money? After considering all the resources available through the Office of Financial Aid, some families need further assistance and choose an alternative loan product. Be sure to take the maximum federal loans available to you before turning to a private loan. Please apply to one alternative loan program only.
- The lenders listed at ELM Select have been used by Sarah Lawrence families recently. It is a good place for you to start comparing loans and lenders.
The Office of Financial Aid has established processing protocols with our most frequently used lenders for private or alternative loan products. These lenders offer competitive borrower benefits and flexible repayment options.
By selecting one of the lenders on ELM Select, you can fill out an online loan application, which allows the lender to prepare your file in advance of receiving our certification of your loan, thus expediting the approval process. Lenders are added or removed based upon feedback from prior borrowers and the annual review of lender attributes by Sarah Lawrence staff, faculty, and students. Click here for further information about the selection process.
- You may choose any lender that participates in educational lending. Just e-mail us the name, lender code, and address of any lender not listed on ELM Select.
Union Federal Private Student Loan
Simply e-mail firstname.lastname@example.org let us know the changes.
Sarah Lawrence offers a monthly tuition payment plan. For more information, click: http://www.afford.com/slc
Below is an abbreviated glossary of terms used by lenders.
- Subsidized/Unsubsidized - Students who show need derived from the Free Application for Federal Student Aid (FAFSA), may borrow from the subsidized portion of the Stafford/Direct educational loan programs. Those who do not have need as determined by the FAFSA may borrow these amounts from the unsubsidized portion of the Stafford/Direct loan program. A subsidized loan means that the federal government pays the interest rate that accrues while the student is enrolled in school. An unsubsidized loan means that the student borrower must make interest payments on the amount of the loan in use while the student is enrolled in school.
- APR - annual percentage rate calculates the cost of borrowing money. It includes the annual interest rate, insurance and origination fees associated with lending money.
- Loan fees – fees added to or subtracted from the amount borrowed to cover the expenses for lending.
- Minimum monthly payment – the lowest amount you are required to pay each month during the repayment period.
- Grace period – the time between the end of enrollment (graduation, leave of absence, less than half time enrollment, or withdrawal) and when repayment begins. No payments are required during the grace period.
- Total repayment amount – the amount you borrowed plus the accrued interest.
- Repayment date – the day following the end of the grace period.
- Disbursement dates – the date the lender expects to send your loan amount to the college.
- Borrower benefits – special interest rates, incentives, or terms offered by an individual lender. These benefits may lower your payments or reduce your cost of alternative borrowing.
- Consolidation – combining all your loans into one new loan. You will make one payment to one lender. A consolidation loan has its own terms and conditions. Loan consolidation makes repayment easier if you have federal loans from more than one source. It combines all your eligible loan obligations into a one new loan with one monthly payment. It may also lower your monthly payment. If you choose to do so, you may be able to extend your repayment schedule beyond the 10 year standard. The interest rate on a consolidation loan is fixed and the rate cannot exceed 8.25 percent.
- Capitalization – adding unpaid accrued interest charges to the principal balance of a loan.
- Interest Rate – the rate at which interest accrues on a loan or cost of borrowing money.
- Servicer – some lenders “sell” educational loans to a servicer. This third party company becomes responsible for collecting and processing payments for that lender.
- Deferment – you may qualify to defer making payments for a specified period of time. For a subsidized loan, the interest does not accrue because the government pays it on behalf of the borrower. Typical deferments are:
- Forbearance – is granted by the individual lender. This allows the borrower to not make payments during the forbearance period however interest does accrue. Borrowers should apply for a deferment before considering a forbearance.
- Delinquency – if you do not make the required payment by the due date. It also includes the period of time before a loan goes into default. It indicates that the borrower has failed to make payments or contact the lender for a deferment.
- Default – the borrower fails to begin repayment (delinquency) or arrange a deferment or forbearance 270 days after repayment is scheduled to begin.
- Grad PLUS – A federal loan that allows students to borrow the difference between the total cost of the college and any other financial aid offered.
- Private or Alternative Educational loans are offered by individual lenders to meet the gap between the cost of college and any financial aid offered. They are not subject to any government regulations (at least at the time of this writing).
- Deferments are available for
- Enrollment in undergraduate or graduate school
- Person with a disability enrolled in a qualifying rehabilitation program
- Economic hardship
- Military service