BC participates in the Direct Stafford Loan program which is a low-interest, federal loan program and offers you the best benefits as a borrower. This page outlines in detail what your rights and responsibilities are if you pursue this type of aid, and other terms and conditions. If you have questions not answered on this page, you can also visit the federal government’s website for more information, or contact the BC Financial Aid office.
|Student Level||Maximum Stafford (subsidized and unsubsidized)||Maximum
|**For students who pursue bachelor’s programs.|
|Third or Fourth year**||$7,500||$5,500|
|Third or Fourth year**||$12,500||$5,500|
& Dependency Status
(subsidized and unsubsidized)
Terms and Conditions
When you sign the Master Promissory Note (MPN) for your federal student loan, you’re certifying that you’ve read and agree to the terms of the MPN including the borrower’s rights and responsibilities statement.
In order to be eligible for Federal Direct Student Loans you must ensure that you:
- are not currently in default on Stafford, Direct, or Perkins loan
- have not reached the maximum borrowing limits
- are not in repayment on a federal grant
Review the following documents which provide highlights of terms you should be informed about which are included on the MPN statement.
New Time Limitation on Direct Subsidized Loan Eligibility
Due to a federal law enacted on July 6, 2012, first-time borrowers who take out Direct Subsidized Loans on or after July 1, 2013 now have a maximum number of academic years that they may borrow or be eligible for the interest subsidy of these loans. More information on this time limitation.
You may prepay your loan in whole or in part at any time without penalty. You also have the right to request a forbearance or deferment during your repayment period. Forbearance is granted at the lender’s discretion, however lenders are required to grant deferments to eligible borrowers.
- You must make on-time, monthly loan payments.
- You must repay the total amount of your loan, in addition to accrued interest, even if you don’t complete your education, don’t find a job in your field or you’re dissatisfied with your education.
- You must notify your school’s financial aid office immediately if you reduce your enrollment status to less than half-time (less than 6 credits), withdraw or fail to re-enroll at the end of a term. You must also let them know if you change your local or permanent address during enrollment.
- Federal law also requires you to notify your lender if any of the following events occur before your loan is repaid:
- Change in your address or phone number
- Change in your name or Social Security number
- Drop to below half-time enrollment, withdraw from school or stop attending class
- Transfer to another school
- Graduate or change your expected date of graduation
The articles and resources listed below provide useful information about the impact of loan debt you acquire while going to college and how that debt may impact your your future standard of living.
College students: Don’t limit dreams with debt
By Kathleen Connell from the Christian Science Monitor, September 15, 2008
- National Student Loan Data System (NSLDS) for Students (www.nslds.ed.gov)
Last Updated October 26, 2015