There are several options for investing in your education from lenders such as the federal government (Department of Education), private lenders, and parent loans. We encourage responsible borrowing and will be happy to offer you guidance in making wise decisions regarding loans.

What is a Direct Student Loan? It basically just means that it is guaranteed by the federal government. Anyone who is filing a Free Application for Federal Student Aid (FAFSA) will be eligible to receive one of these loans! These loans have fixed interest rates and are usually pretty well liked for our undergraduate and grad students. The Repayment of these loans will be deferred as long as the student is enrolled half-time. Once you finish your time with Hardin Simmons, you will have a 6 month grace period before you have to start paying on the loan. Unless you are graduating in December, all of these loans will be given to the student in two equal amounts, one for the fall and the other for the spring.

Students with financial needs, which is determined by your FAFSA, might qualify for a Subsidized Direct Loan. While you are in school, interest is paid by the federal government on these loans! Unsubsidized Direct Loans are available to all students regardless of financial need, but interest accrues during enrollment for students without financial needs. Accrued interest may be paid quarterly, or capitalized when repayment begins.

To receive Direct loan funds, every student needs to complete Entrance Counseling and a Master Promissory Note with the Department of Education. You only have to do this once, and then the years following, FAFSA will be awarded Direct Loans automatically and that’s it! Because of this, if you wish to cancel a loan, you have to let the Financial Aid Office know ahead of time.

Direct loan awards are subject to annual and aggregate limits. Additional information is available in the My Financial Aid Guide.

Click to complete Direct Loans Entrance Counseling or Direct Loan Promissory Note

Private Certified Loans require a credit approval. Most of the time, a co-signer is needed to help a student qualify for a private loan. Private loans are only for the amount that is left after subtracting qualified financial aid from your attendance cost, just like Plus Loans. But just like Direct Loans, you can defer payment until the student graduates or is enrolled in less than 6 hours.

Most of the lenders offer 6 months of grace period before payment begins. FAFSA is not required, and private loans can be adjusted to fit your needs! Of course, that is within the limits of the calculated Cost of Attendance. Click this link for more info.

So what are Direct Plus Loans? These are federal parent loans that require a credit approved application. The PLUS loan award is only the amount remaining when you subtract your financial aid from your attendance cost. Paying back this loan starts 60 days after the final disbursement in your academic year.

BUT, parents can apply for payments to wait until the student finishes their time at Hardin Simmons. Loan interest will accrue in this case. Parents can apply for a PLUS loan by completing a Master Promissory Note.  FAFSA is required, and regulations require that the loan be disbursed in two equal amounts, one for the fall and one for the spring, (unless you are a December graduate).

Click this link for more info.  When prompted to select your program, choose “parent loans”.

Direct Grad Plus Loans are federal loans available to grad students! These loans do require a credit approval. These loans can help you with educational costs that go beyond those covered by Direct Loans. Click to complete a Direct GradPLUS Loan application/Master Promissory Note. FAFSA is required, and regulations require that the loan be disbursed in two equal amounts, one for the fall and one for the spring, (unless you are a December graduate).

The C.I.O.S. Loan program is a private loan program. The loan is an interest free loan, if payments are made on time. If a scheduled payment is not received by HSU within sixty (60) days after the scheduled due date, six percent (6%) interest will be added to the unpaid balance. The interest will be added until the loan is paid in full and a revised payment schedule will be issued.

A Loan application packet must be completed by the recipient prior to funds being disbursed to the student’s account. Loan packets include the following documents:

  • Entrance Questionnaire
  • Promissory Note
  • Truth-In-Lending Disclosure
  • C.I.O.S. Pre-Approved Request Form
  • Thank You Card

Completion of these documents signifies the student’s acceptance of the C.I.O.S. Loan.

C.I.O.S. Loan Requirements

  • Minimum GPA of 2.5
  • Undergraduate student
  • Applied for and been denied a PLUS loan and a Private Loan
  • Loan pre-approval form is approved by Financial Aid Director and VP for Finance.
  • Maximum total loan amount is $8,000.00 during attendance at HSU
  • Must accept Direct loans
  • Unavailability of access to a credit balance refund from student account

C.I.O.S. Exit Interviews

The C.I.O.S. Loan program requires that all recipients complete an exit interview before graduating, leaving the University, or attending less than half-time for the semester enrolled. During the interview the student will be informed of their rights and responsibilities which include the following:

  • Grace Period
  • Late charges and/or interest
  • Prepayment
  • Default
  • Name and address change

Students are notified of exit interviews by mail and/or email. If a student fails to complete the exit interview process, a hold will be placed on the student’s transcript and/or diploma until we have received all the proper paperwork required.