Loans - Federal
Federal Direct Loan
$3,500 to $5,500 Undergraduate Students
This is a federally regulated undergraduate loan program with the U.S. Department of Education. Loans disbursed on or after July 1, 2012 carry a 3.86% fixed rate for undergraduate students. Undergraduate students may borrow up to $3,500 at the freshman level, $4,500 at the sophomore level, and $5,500 at the junior and senior levels, up to a maximum of $23,000. Repayment begins six months after the student is no longer enrolled on at least a half-time basis.
Unsubsidized Federal Direct Loan
$2,000 to $7,000 Undergraduate students
$12,000 Graduate students
Students who have limited or no eligibility for the Federal Direct Loan may apply for the Unsubsidized Federal Direct Loan. In addition to the Federal Direct loan limits, dependent undergraduate students may borrow $2,000 each year. In combination with the Direct Loan maximums, undergraduate independent students may borrow $9,500 at the freshman level, $10,500 at the sophomore level, and $12,500 at the junior and senior levels with an aggregate limit of $57,500. Interest for this loan program is 3.86% for undergraduate students. Interest payments can be made during the in school period or will be capitalized.
Graduate students may borrow up to $20,500 per year with an aggregate limit of $138,500. Interest for graduate students is 5.41%.
Federal Direct PLUS Loan
$ Up to the Cost of attendance
Parents of dependent students may borrow under this loan program. A parent may borrow up to the cost of attendance minus any other aid the student is receiving. Repayment begins on the date of the last disbursement for that loan period. Interest is 6.41%.
Federal Student Aid
See Studentaid.ed.gov for more information about loans.
Loans - Texas
B-On Time Loan
The Texas B-On-Time Loan (BOT) is a zero-interest loan that is forgiven if recipients graduate "on time" with a 3.0 or higher GPA. The availability of BOT loans is dependent upon funding by the Texas Legislature. Eligibility requirements are as follows:
1. Texas resident
2. Graduated 2002-2003 academic year or later, under the recommended high school program from a public or accredited private high school in Texas or received an associate's degree from an eligible institution no earlier than May 1, 2005
3. Has not earned a bachelor's degree
4. Enrolled full time in an undergraduate degree program, and
5. Has completed a FAFSA and is eligible to receive federal financial aid.
Texas “College Access Loan” (CAL)
The College Access Loan program provides alternative educational loans to Texas students who are unable to meet the cost of attendance. A student must be a Texas resident, be enrolled at least half-time in a course of study leading to an associate's, bachelor's, or graduate degree, meet satisfactory academic progress requirements, and have good credit standing or provide a cosigner who has good credit standing and meets other requirements. Students may borrow an amount up to the cost of attendance less other financial aid. A 3% or 5% origination fee will be deducted from the proceeds of each loan. A student borrower may choose either a fixed interest rate of 5.25% or a variable rate that is reset annually and will never be higher than 4 points above the rate at which the loan is made. Apply at www.HHloans.com. Interest rates and disclosures can be accessed here.
Loans - Private
Southwestern Adventist University encourages all students to file the Free Application for Federal Student Aid (FAFSA) and be considered for all available aid programs. After exhausting the opportunities available from the federal aid programs, many students will consider private loan programs as a source of funding. As always, taking on debt for any reason should be done with considerable thought and only for the amounts needed. Additional information regarding the availability of federal student aid can be viewed at www.studentaid.ed.gov.
Federal Aid First
The terms and conditions of credit-based private loan programs vary, and as such, students are encouraged to review the details of the programs before selecting a private loan program. Private loans are not eligible for loan consolidation programs made available for federal student loans. Interest rates, fees (both at the time of borrowing and at repayment), credit checks, and annual and aggregate loan limits require careful evaluation by the student as a consumer.
As part of the application process, students will be required to complete the Private Education Loan Applicant Self-Certification Form available through their lender's website. Students may also obtain a Self-Certification Form from the office of Student Financial Services. Information needed to complete this form, such as cost of attendance, may be obtained from the link below while estimated financial assistance may be obtained from the student’s Award Notification or via portal.swau.edu.
Students can find a list of lenders who have made loans to Southwestern Adventist University students in the past at https://www.elmselect.com. There is also an option to search for additional lenders. Southwestern will process loan applications from any legitimate lender. Students and families DO NOT have to select one of the lenders listed on Southwestern's ELM website.
Borrowers may compare lender discounts and other borrower benefits with the following loan comparison tool:
Southwestern Adventist University adheres to the Financial Aid Code of Conduct based on the Higher Education Opportunity Act of 2008 and the amended TILA.