Federal Financial Aid Programs

The following is a description of the financial aid programs available at Stanbridge University.  Additional information can be obtained through the Financial Aid Office.

Federal Pell Grant

The Federal Pell Grant program provides a foundation of assistance to which other forms of aid may be added.  Eligibility for the Federal Pell Grant program is determined by a standard formula that is revised and approved every year by the federal government.  Unlike loans, grants do not have to be paid back

Federal Direct Loan Program

Federal Direct Loan Programs are administered by the Department of Education.  Qualified students and their parents can borrow money for school through federally subsidized, low interest loans.  The Federal Direct Stafford, Federal Direct Unsubsidized Stafford, and Federal Direct PLUS loans are available through this program.

Federal Direct Subsidized Stafford Loan

Federal Direct Subsidized Stafford Loans are available to students with financial need.  Students may borrow up to $3,500 for their first academic year at a fixed interest rate of 5.05 percent, which is established annually by the Department of Education.  The interest is paid by the federal government while students are in school and for six months after students cease their enrollment.  Regular payments begin six months after students cease enrollment or fail to carry at least half the normal, full-time school workload.

Federal Direct Unsubsidized Stafford Loan

Unsubsidized Stafford Loan programs are available for students to borrow for additional education costs.  Students can borrow up to $6,000 for their first academic year as a combined total with the Federal Direct Subsidized Stafford Loan, at a fixed interest rate of 5.05 percent.  With the exception of demonstrating financial need, borrowers must meet all eligibility criteria of the regular Direct Federal Stafford Loan program.  Interest payments begin immediately after the loan is fully disbursed or may be added to the principal balance.  Regular payments begin six months after students cease enrollment or fail to carry at least half the normal, full-time school workload.

Time Limitation on Direct Subsidized Loan Eligibility for First-Time Borrowers On or After July 1, 2013

There is a limit on the maximum period of time (measured in academic years) that a student can receive Direct Subsidized Loans. In general, a student may not receive Direct Subsidized Loans for more than 150% of the published length of the program. This is called the “maximum eligibility period.”  The published length of any program of study is found in the Stanbridge University student catalog.

The maximum eligibility period is based on the published length of the current program in which a student is enrolled.  As a result, a change in program may affect maximum eligibility. If Direct Subsidized Loans were received for one program and then a program change occurs, the Direct Subsidized Loans received for the earlier program will generally count against the new maximum eligibility period.

Federal Direct Parent Loans for Undergraduate Students (PLUS)

Federal Direct Parent Loans for Undergraduate Students (PLUS) provide additional funds for creditworthy parents to help pay for students’ educational expenses.  The interest rate for these loans is 7.60 percent and the repayment schedule differs.

Federal Direct Student Loans 2018-2019 Interest Rates Effective for Loans First Disbursed on or after July 1, 2018 and prior to July 1, 2019   
Loan TypeBorrower TypeIndex 10-Year Treasury NoteAdd-OnFixed Interest Rate
Direct Subsidized LoansUndergraduate Students2.995%2.05%5.05%
Direct Unsubsidized LoansUndergraduate Students2.995%2.05%5.05%
Direct Unsubsidized LoansGraduate/Professional Students2.995%3.60%6.60%
Direct PLUS LoansParents of Dependent Undergraduate Students and Graduate/Professional Students2.995%4.60%7.60%

Calculating Pell Grant Lifetime Eligibility Used

The amount of Federal Pell Grant funds a student may receive over his or her lifetime is limited by a new federal law to be the equivalent of six years of Pell Grant funding. Since the maximum amount of Pell Grant funding a student can receive each year is equal to 100%, the six-year equivalent is 600%.

How is my Pell Grant Lifetime Eligibility Used calculated?

Scheduled Award: The maximum amount of Pell Grant funding you can receive is calculated for an “award year.” An award year is a period from July 1 of one calendar year to June 30 of the next calendar year. Your “scheduled award” is partially determined by using your expected family contribution (EFC) that is calculated from the information you (and your family) provided when you filed your FAFSA. Your scheduled award is the maximum amount you would be able to receive for the award year if you were enrolled full-time for the full school year. Your scheduled award represents 100% of your Pell Grant eligibility for that award year.

Percent Used: To determine how much of the maximum six years (600%) of Pell Grant you have used each year, the Department compares the actual amount you received for the award year with your scheduled award amount for that award year. If you receive the full amount of your scheduled award, you will have used 100%. Some students do not receive their entire scheduled award for an award year. There are a number of reasons for this, the most common of which are that the student was not enrolled for the full year or that the student was not enrolled full-time, or both.

If you did not receive the full amount of your scheduled award, we calculate the percentage of the scheduled award that you did receive. For example, if your scheduled award for an award year is $5,000, but because you were enrolled for only one semester you received only $2,500, you would have received 50% of the scheduled award for that award year. Or if you received only $3,750 for the award year because you were enrolled three-quarter-time and not full-time, you would have received 75% for that year.

Lifetime Eligibility Used (LEU): The Federal Department of Education keeps track of your LEU by adding together the percentages of your Pell Grant scheduled awards that you received for each award year. You can determine how much Pell you have used and what you have remaining at http://www.studentaid.ed.gov/

Supplemental Educational Opportunity Grant

The Supplemental Educational Opportunity Grant is one of the Campus Based Programs.  Stanbridge University determines which students receive this grant based on students with the lowest Expected Family Contribution (EFC), starting with students with a “$0” EFC.

The maximum award for a full academic year in the SEOG program is $4000.  The minimum amount is $200.  The amount of awards that Stanbridge may give depends in large part on the amount of money we receive from the Federal Government for this program. For the 2018-2018 Award Year, Stanbridge University has determined that it will award each student in the amount of $200 per Academic Year. The SEOG award is given in two disbursements per Academic Year, and Stanbridge University is required to provide a 25% non-federal share as a method to match each SEOG award.

Loss of Eligibility for Federal Financial Aid if Convicted of a Controlled Substance Offense

Students are advised that if they are convicted under federal or state law of an offense involving the possession or sale of a controlled substance while they are enrolled in an institution of higher education and while they are receiving federal financial aid, they may lose eligibility for such federal assistance.