Student Financial Services
The William D. Ford Direct Loan Program
Edmonds Community college offers Direct Stafford Loan funds through the federal Direct Lending Program. The William D. Ford Direct Loan website provides detailed information about taking out a student loan as well as useful tools to help you manage your student loan, determine how much you can/should borrow, repayment information, and up to date interest rates.
How Do I Apply For A Direct Loan?
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For 2011-12: indicate on the Data Sheet you wish to receive a student loan.
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For 2011-12: if you want a loan AFTER your financial aid file has been processed and awarded, submit an Information Change form.
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You will be asked how much you want to borrow for the school year – please review the chart below.
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Complete the online Entrance Loan Counseling session – this only needs to be done once while you are enrolled at Edmonds Community College. Please Note: you will be asked to complete an online Exit Counseling session at the end of each school year or when you stop
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Sign the Master Promissory Note (MPN) online using your Federal PIN. This only needs to be done once under the Direct Loan Program. If you previously signed a MPN with a lender under the Family Education Loan Program, you will need to sign another one under the Direct Loan program.
How Much Can I Borrow?
Year in School |
Subsidized Loan* |
Unsubsidized Loan** |
Dependent – parent included on FAFSA 1st Year – less than 45 college level credits |
$3500 |
$2000 – $5500 (combined max $5500) |
Dependent – parent included on FAFSA 2nd year – 45 or more college level credits |
$4500 |
$2000 – $6500 (combined max $6500) |
Independent 1st year – less than 45 college level credits |
$3500 |
$6000 – $9500 (combined max $9500) |
Independent 2nd year – 45 or more college level credits |
$4500 |
$6000 – $10,500 (combined max $10,500) |
Other Notes and Reminders
- *Subsidized Loans are interest free while you are attending school at least half-time (6 credits). Six months after you graduate, or stop attending school at least half-time, interest will begin to accrue on your loan. To be eligible for a subsidized loan, you must have “need” as calculated by the Financial Aid Services Office. We determine your eligibility for subsidized loans first. It is possible to be only partly eligible for a subsidized loan. If you are not fully eligible for a subsidized loan, the remaining amount of subsidized loan indicated in the chart above can be added to your unsubsidized loan eligibility.
- **Unsubsidized Loans begin to accrue interest at the time funds are disbursed to you, and continue to accrue interest until the loan has been repaid. Unsubsidized loans are not based on your calculated “need.” Students who are ineligible for subsidized loans may receive their requested loan amount entirely out of unsubsidized loan funds (up to the amount indicated in the chart above).
- You must be enrolled for at least 6 credits to be eligible for a loan.
- To be eligible for loans you must make Satisfactory Academic Progress each quarter. Be careful when dropping classes after the start of the quarter; even if you don't drop below 6 credits, you may be risking probation or termination of your aid.
- If you skip a quarter, you will need to reapply for your loan.
- You are required to have at least two disbursements of your loan funds. If your loan is approved for one quarter only, you will receive the second half of your loan midway through the quarter.
- If you are a first time borrower who is in the first year of your degree program, you are required to wait 30 days before we can disburse your loan funds to you.
- You are not required to apply for a loan and you may cancel your loan funds at any time prior to receiving your loan or using your loan to pay college expenses.
- You can apply for a loan at any time during the school year as long as you are enrolled. If a quarter ends and you are not enrolled for an upcoming quarter, we cannot process a loan for you.
- We cannot process a loan for a school year that has ended and we typically stop processing loans for the current school year two weeks prior to the end of spring quarter.
- We receive loan funds by electronic transfer from the Department of Education. Once we receive your loan funds we will pay any tuition, fees, and campus housing you may owe. If there is a balance it will be sent to you in the form of a check.
- Once a loan has been certified for you, it typically takes two additional weeks for us to receive your funds, providing you have completed the Online Entrance Loan Counseling session and signed your Master Promissory Note if required.
