LOAN FUNDS

EMERGENCY LOAN FUND

The University administers a small loan fund for students who have emergency situations and who need small amounts of money quickly. This program is administered by the Student Financial Aid Office.

FEDERAL PERKINS STUDENT LOAN

This program provides long-term, low-interest loans to students who need financial assistance. Awards for undergraduates generally range up to $3,000 annually, and not to exceed $15,000 for all undergraduate work. General provisions of the Federal Perkins Student Loan are repayment begins ten months after the student leaves the University and continues monthly thereafter until the entire loan is repaid; interest begins accruing at a rate of five percent nine months after the borrower ceases to be enrolled on at least a half-time basis; minimum payments are $40.00 per month, including interest on the unpaid balance. Loan repayments may be deferred for periods during which a borrower: (1) is at least a half-time student; (2) is pursuing a course of study in an approved graduate fellowship program or approved rehabilitation training program for disabled individual excluding a medical internship or residency program; (3) is unable to find full-time employment, but not in excess of three years; (4) may be suffering an economic hardship, but not in excess of three years; or, (5) is engaged in service described under the cancellation provisions.

FEDERAL STAFFORD STUDENT LOAN

These loans (formerly called the Guaranteed Student Loan) are made by local banks and are guaranteed by the federal Government. No payments are due on the loan while the student is enrolled on at least a half-time basis, and the government will pay the interest while the student is enrolled. The maximum loan for undergraduate students is $2,625 for freshmen, $3,500 for sophomore status, and $5,500 for junior and senior status annually to a total of $23,000. This total amount is subject to the student's actual financial need and federal regulations.

The agency responsible for this program in Tennessee is the Tennessee Student Assistance Corporation (TSAC). Applications are available in hometown banks or other lending institutions or the Student Financial Aid Office. The student must complete the free application for federal student aid form and submit the student aid reports to the Student Financial Aid Office. In addition, the student must complete a separate application for the loan and submit it to the Student Financial Aid Office for certification. The application is then submitted to the lending institution (bank) by the student for processing. Approximately two weeks should be allowed for processing in the Student Financial Aid Office. Students who are unable to obtain a loan from their hometown banks should contact the Student Financial Aid Office for additional information on possible lenders. Loan repayments may be deferred for periods during which a borrower: (1) is at least a half-time student; (2) is pursuing a course of study in an approved graduate fellowship program or approved rehabilitation training program for disabled individual excluding a medical internship or residency program; (3) is unable to find full-time employment, but not in excess of three years; (4) may be suffering an economic hardship, but not in excess of three years; or, (5) is engaged in service described under the cancellation provisions.

FEDERAL UNSUBSIDIZED STAFFORD LOAN

These loans have the same application procedures, interest rates and repayment process as the Federal Subsidized Stafford Student Loan. The student may pay the interest while enrolled or choose to let the interest accrue and capitalize. Repayment of principal begins after the student ceases to be enrolled at least half-time. Loan amounts are restricted by the cost of education, resources available, state and federal regulations.

FEDERAL PARENT LOAN FOR UNDERGRADUATE STUDENTS (PLUS)

This loan may be made by the parent(s) of dependent students. APSU requires that a Federal Application be completed and SARS submitted to our office. A separate PLUS loan application is also required.

Repayment begins immediately upon funds being disbursed. Interest rates are variable. Parents may borrow up to the cost of education minus any resources available to the student.

DISBURSEMENT OF FUNDS

It is the policy of the University to disburse one-half of an academic-year award (excluding FWP) at the time of each registration period. A 30 day delayed delivery of a loan is required of first-time borrowers. The exception to this policy is that students who are enrolled at Fort Campbell Center will have their awards disbursed in fourths to coincide with the four sessions of the academic year at the center. Summer assistance is managed in a different manner. For additional information on availability and disbursement of summer funds, contact the Financial Aid Office.

If an offer of financial assistance includes employment under the provisions of the Federal Work-Study Program (FWP), it must be understood that the amount of money awarded is the amount of money a student may expect to earn during the award period as a result to work performed and hours necessary to perform such work. FWP recipients must report to the Financial Aid Office upon arrival on campus for job assignment and clearance. This must be done each academic year.

SATISFACTORY ACADEMIC PROGRESS REQUIRED TO RECEIVE AND RENEW AID

All students receiving Title IV aid are required to maintain satisfactory progress each semester as outlined:

  1. Guidelines A student is said to be maintaining Satisfactory Academic Progress for financial aid purposes if he/she is not on academic probation and meets the following academic standards: Cumulative GPA of 1.50 for 0-29.99 hours attempted Cumulative GPA of 1.80 for 30-47.99 hours attempted
    Cumulative GPA of 1.90 for 48-65.99 hours attempted
    Cumulative GPA of 2.00 for over 65.99 hours attempted

    and

    Have attempted less than 36 hours if classified as Freshman
    Have attempted less than 90 hours if classified as Sophomore
    Have attempted less than 145 hours if classified as Junior
    Have attempted less than 193 hours if classified as Senior
    For receipt of financial aid, the maximum time frame for completion of a bachelor's degree will normally be six academic years. The maximum time will be increased in proportion for students who enroll part-time.

    Graduate students must maintain a minimum 3.00 cumulative GPA.

    Any student receiving a 0.00 GPA for any academic term automatically loses financial aid for the next academic term.

  2. Reinstatement

    To be reinstated, each student must provide the Student Financial Aid Office with proof of compliance with the appropriate requirement(s) above.

  3. Appeals

    Appeals should be made to the Student Financial Aid Office. Decisions made by the Satisfactory Progress Appeal Committee may be appealed to the Director of Student Financial Aid. The following circumstances may be considered appropriate reasons for appeal:

    1. Serious illness or accident on the part of the student.
    2. Death or serious illness in the immediate family.
    3. Discontinuance of a course by the University.
    4. Personal complications.

POLICY ON ALLOCATION OF REFUNDS AND REPAYMENT TO TITLE IV FEDERAL (PELL GRANT, FSEOG, FEDERAL PERKINS, FEDERAL STAFFORD)

Any student who withdraws from all classes, and would normally be due a refund under the current policy but received State or Federal Title IV Financial Aid in the form of grant, loan, or scholarship will have that refund repaid to the accounts from which financial aid was received. Any first-time student receiving Federal Title IV financial aid who withdraws from all classes is entitled to a pro-rata refund through 60 percent of the enrollment period.

  1. Distribution Among the Title IV Programs The University will allocate the Title IV portion of the refund to the various Title IV program(s) from which the student received aid. The allocation will take place in the following order:
    1. FFEL programs (the Part B loans)
    2. Federal Direct Loans
    3. Federal Perkins
    4. Federal Pell
    5. Federal SEOG
    6. Other Title IV assistance
    7. Tennessee Student Assistance Award
    8. Scholarships
  2. Distribution of Repayments of Cash Disbursements Made Directly to the Student
    1. If a student officially or unofficially withdraws from or is dismissed by the University on or after the first day of classes of a semester, and the student received a cash disbursement for non-instructional costs under any Title IV program (except Federal Work-Study Program) for that semester, the University will determine whether a portion of that cash disbursement will have to be repaid by the student.
    2. In determining whether a student will have to repay a cash disbursement, the University will subtract from the cash disbursement received by the student the educational costs incurred by him/her for non-instructional charges for that term up to the date of withdrawal or expulsion.
      1. No repayment will be expected after 30 days from the first day of classes.
      2. If the expected repayment will total less than $50.00, no repayment will be required.
    3. The University will apply these policies in a consistent manner to all students receiving Title IV aid. 1.The University will not allocate any part of the refund to a Title IV program if the student did not receive aid under the program. 2.The amount allocated to a program may not exceed the amount the student received from that program.

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