The Center for Graduate Studies & Continuing Education
Financial Aid: MBA
Funding Your Education
Federal Student Loans
LIM College is approved by the U.S. Department of Education to award Federal Direct Stafford loan funds at the graduate level. To determine your eligibility, please complete the Free Application for Federal Student Aid (FAFSA) online by our priority deadline of June 1 for the academic year starting in September. LIM College's federal school code is 007466. Be sure to read the application instructions thoroughly before completing the application.
Accepted matriculated graduate students enrolled at least half-time (6 credits per term) are eligible for loans under this program. Applicants with financial need are eligible for a Subsidized student loan, while those without financial need are eligible for an Unsubsidized loan. The federal government pays the interest on Subsidized loans while in school, while borrowers are responsible for interest payments under the Unsubsidized loan program. Please note that interest on Unsubsidized Stafford loans accrues while the student is in school.
These funds are borrowed directly from the federal government, not through private lenders. For the 2011-2012 academic year the fixed-interest rate on the Subsidized Stafford Loan is 3.4% and the Unsubsidized Stafford Loan is 6.8%. For loans made after July 1, 2012 these rates are subject to change. Students receive an up-front rebate of 1% that reduces the loan origination fee to 0.5%, but in order to keep this rebate the first 12 monthly payments must be made on time, otherwise the rebate is added to the principal balance owed.
Graduate students can borrow Federal Stafford loans up to $20,500 per year based on need between Subsidized and Unsubsidized, with a total borrowing limit not to exceed $138,500 (including undergraduate Stafford Loans).
Grad PLUS loan
Graduate students who need to borrow more than the maximum Subsidized and Unsubsidized loan amounts to meet educations costs that are not covered by other financial aid may apply for this loan.
Students who are enrolled at least half-time may be eligible for a Federal Direct Plus Loan. The interest rate for the 2011-2012 academic year is 7.9% fixed. These loans are based on creditworthiness. Students should complete a Plus Loan credit consent form with the Office of Student Financial Services to begin the process and confirm their credit approval. Students receive an up-front rebate of 1.5% that reduces the loan origination fee to 2.5%, but in order to keep this rebate the first 12 monthly payments must be made on time, otherwise the rebate is added to the principal balance owed.
Grad PLUS loan borrowers have the option of beginning repayment 60 days after the loan is fully disbursed or delaying repayment (with interest accruing) for a period of time that includes up until six months after the student graduates or ceases to be enrolled at least half-time.
Academic Eligibility Criteria for Federal Awards
Federal regulations require students to maintain satisfactory academic progress toward a degree in order to continue to receive federal student aid. Satisfactory progress is measured by qualitative as well as quantitative standards. The MBA program requires that students maintain a minimum cumulative GPA of 3.0 throughout the program in order to be in good standing. Students must also satisfy the qualitative standard of progressing to degree completion within a maximum timeframe of 60 months.
Satisfactory Academic Progress is monitored at least once a year, at the end of Term 4 for all MBA students, and also in the middle of the year, after Term 2, for full-time students (averaging 9 credits or more per term). Students who do not maintain Satisfactory Academic Progress will lose their eligibility for federal student aid but may appeal to the College for a waiver if they believe there were extenuating circumstances that affected their ability to make academic progress. Students receiving waivers continue to be eligible for federal financial aid for an additional term or one academic year, depending on circumstances. Questions regarding academic progress should be directed to the Associate Director of Student Financial Services or the Dean of Student Financial Services.
Private/Alternative Education Loans
Students can apply for credit-based private education loans to finance their education. Depending on your credit history, you may need a co-signer for approval. To determine which lenders offer the best terms and conditions for you, we recommend that you utilize mainstream internet resources to search for and review lenders. The Office of Student Financial Services will certify a loan through any lender if you meet that lender’s eligibility criteria.