Before you decide o consolidae, consider he available alernaives:
Please contact your lender about consolidation or
refinancing options for private loans.
if you plan on converting loans to work-study, leave that amount as
"Offered" and not as "Accepted." You can accept a lesser
amount and hold the difference in reserve to convert to work-study. Please contact the Financial Aid and Scholarships office to have your work-study converted to a loan.
Most private loans require a new promissory note to be
submitted every year. At the time you apply and are approved for a private
loan, the lender will provide the promissory note for you to complete or they
will refer you to a link where you can complete your promissory note on line. Please
check with your private lender for instructions on how to complete their loan
Federal Loans (Perkins,
Subsidized/Unsubsidized Direct Loans and Direct PLUS) require that a Master
Promissory Note (MPN) be completed once when you borrow for the first time.
Once submitted, the MPN is valid for 10 years. To submit an MPN for Direct
Subsidized/Unsubsidized or PLUS Loan go to www.StudentLoans.gov (there are
separate promissory notes for the SUB/UNSUB program and for PLUS). To submit an
MPN for a Perkins Loan go to www.loans.ucla.edu. Your Perkins MPN will be available 2-3
days after you accept a Perkins loan on your FAN.
Funding for the California Dream Loan program comes from the State of California and the University of California System. Undergraduate students who are not eligible to apply for federal loans and who qualify for Non-Resident Supplemental Tuition Waiver under AB540 must complete a California Dream Act Application before the March 2 priority filing deadline in order to be considered. If eligible, your California Dream Loan will be included on your financial aid notification (FAN).
A financial aid application, FAFSA, must be completed annually. Once UCLA Financial Aid and Scholarships receives your FAFSA information from the federal processor, we will determine your eligibility for Parent PLUS. A Financial Aid Notification (FAN) will be posted on MyUCLA to inform you and your parent of how much they can apply for in a parent PLUS.
The borrower cannot apply for a parent PLUS by accepting it on the FAN. To apply, the borrower must request the loan at www.Studentloans.gov. After completing the PLUS request, the borrower must also complete a Direct PLUS Loan Master Promissory Note at www.Studentloans.gov. The Direct PLUS Master Promissory Note is only required to be completed once, if an endorser is required, a new Master Promissory Note will be required for each time a new PLUS loan is endorsed. Once the application process is complete, the Department of Education will contact UCLA Financial Aid and scholarships and we will verify your eligibility.
Federal Loans (Perkins, Direct Subsidized Loan, Direct Unsubsidized Loan and PLUS Loan) require that a FAFSA be completed every academic year for which the borrower is interested in receiving loans. Perkins Loans are available only to borrowers who apply before the March 2 priority filing deadline. Once UCLA Financial Aid and Scholarships receives your FAFSA information from the federal processor, we will determine your eligibility for different types of federal loans available.
A Financial Aid Notification (FAN) will be made available on MyUCLA to let you know what loans have been offered. You will need to accept the loan(s) offered on your FAN so that we may send the certification of your loan eligibility to the Department of Education. Before the loans are funded, you will also need to complete a promissory note for the loan(s) you are planning to borrow. Refer to the loan guides available on our Forms and Publications page for more detailed loan application information.
NOTE: First time student borrowers at UCLA are also required to complete a Debt Management Session with Student Loan Services, before their loans can be disbursed. The DMS can be completed on the web at www.loans.ucla.edu.
You apply for a Direct Consolidation
Loan through StudentLoans.gov. This process offers both
electronic and paper options. You can complete the electronic application, as explained
below or you can download and print a paper application from StudentLoans.gov
for submission by U.S. mail.
Once you sign in to StudentLoans.gov using your personal identifiers and Federal Student Aid PIN, you will be able to
electronically complete the Federal Direct Consolidation Loan Application and Promissory Note. The electronic application on
StudentLoans.gov consists of the following five steps:
1. Choose Loans & Servicer
2. Repayment Plan Selection
3. Terms & Conditions
4. Borrower & Reference Information
5. Review & Sign
After you submit your
application electronically via StudentLoans.gov or by mailing a paper application, the consolidation
servicer selected will complete the actions required to consolidate your
eligible loans. The consolidation servicer will be your point of contact for
any questions you may have related to your consolidation application.
It is critical that you
continue making payments, if required, to the holders or servicers of the loans
you want to consolidate until your consolidation servicer informs you that the
underlying loans have been paid off.
on which lender you choose, disbursements will be sent to UCLA electronically
or via a paper check. Electronic disbursements will be applied to your
BruinBill account and, if you have BruinDirect, will be refunded to your bank
account. Paper checks will be sent to UCLA’s Student Loan Office and will need
to be picked up in person in A227 Murphy Hall. FastChoice lender list on our
website (http://www.financialaid.ucla.edu/Forms-and-Publications) includes
information on whether the lender you selected will deliver disbursements to
UCLA electronically or via paper checks. If you are not sure, please contact
UCLA’s Financial Aid and Scholarships office.
facors may preven your loan from being funded in a imely manner:
If you wan o lower your monhly paymen amoun bu
are concerned abou he impac of loan consolidaion, alk o he servicer of
your loan abou differen repaymen plans ha may make your repaymen more
manageable wihou consolidaion.
The William D. Ford Direct Loan Program consists of low-interest subsidized and unsubsidized loans financed by the Department of Education. These loans are available to undergraduate, graduate, and professional students who are U.S. citizens or permanent residents. Students who wish to be considered for these loans must file a FAFSA annually.
Subsidized loans, on which the student does not accrue interest, while enrolled at least half time, are available to undergraduate students only. Unsubsidized loans begin accruing interest upon disbursement. Loan repayment begins six months after graduation or dropping below half-time enrollment. Deferments and forbearances are available. The interest rate is fixed and adjusted on July 1 every year. For additional information, please refer to the loan guides available under ‘Forms and Publications’ at www.financialaid.ucla.edu.
Federal student loans are available to most students regardless of income and provide a range of repayment options including income-based repayment plans and loan forgiveness benefits, which other education loans are not required to provide
Loans (also referred o as Alernaive Loans) are funded by banks and privae
lending insiuions. A financial aid applicaion (FAFSA) is no required in
order o be considered for a privae loan alhough we recommend ha you submi
one so ha UCLA Financial Aid and Scholarships can deermine if you can
qualify for federal loans. Federal suden loans ypically have more aracive
erms han privae loans. Privae loans are credi based and are no federally
regulaed so heir erms will vary depending on he lender. Privae Loans
require cerificaion by UCLA Financial Aid and Scholarships and can be
cerified up o a suden's Cos of Educaion minus oher aid received for he
period. To find ou more informaion abou Privae Loans, please refer o he
loan guides and privae lender liss available under Forms and Publicaions a www.financialaid.ucla.edu. Privae suden loans are issued based on
credi. This means wo hings for hose applying for a privae suden loan:
Please read he Corbe
Disclosure before you decide wheher o apply for a privae loan.
a cosigner can be a win-win siuaion bu i can also have is’ drawbacks. Here
are some hings o consider before cosigning for a privae suden loan:
ha you have his informaion, if you cosign for a loan, make sure you do i
righ! Cosigning for a privae suden loan has is pros and cons, jus make
sure you know wha hey are before signing on he doed line.
William D. Ford Direct PLUS Loan is designed to help graduate students and
parents of undergraduate students meet their educational costs. Students who
wish to be considered for these loans must file a FAFSA annually. Graduate
students and parents may borrow up to cost of education for the academic year,
less any other financial aid received. Unlike Direct Subsidized and
Unsubsidized loans, Direct PLUS loans are based on credit and approved for
borrowers that do not have an adverse credit history. Borrowers with adverse
credit may be able to qualify with an endorser. The interest rate is fixed and
adjusted on July 1st of each year. Parent PLUS repayment begins 60 days
after the loan is fully disbursed but payments can be deferred until the
student graduates. Graduate students do not enter repayment while enrolled at
least half time. For additional information, please refer to the loan guides
available under ‘Forms and Publications’ on www.financialaid.ucla.edu
Loan Consolidation allows you to
refinance any or all of your outstanding federal student loans to create a
single new loan with one monthly payment. The new loan will have a fixed
interest rate, new terms, and
may have an extended repayment period of up to 30 years. Any repayment
benefits that existed on the underpaying loans will no longer exist for the
consolidation loan. To find more information about Direct Consolidation Loan go
you are planning on uilizing suden loans, you will need o be aware of he
differences beween federal and privae suden loans:
offered a UC insiuional privae suden loan should know ha:
loans do no require a co-signer
Following loans are eligible for
consolidation: Direct Loans (Subsidized, Unsubsidized and PLUS), Federal Family
Education Loan Program/ FFELP Loans (Stafford, Unsubsidized Stafford and PLUS),
SLS, HEAL and Perkins. We recommend that you leave Perkins loans out of your
consolidation, not to lose your forgiveness options for this program.
Private (Alternative) education loans
are not eligible for consolidation through Department of Education. Contact
your private lender to find out what options exist if you find that your
repayment is not manageable.
UC Office of the President evaluates many private lenders and prepares a list of preferred lenders. This makes it easier for our parents and students to select a lender for their educational loans and to compare the borrower benefits that are available. The preferred lender selection for private loans is based primarily on price and the borrower’s customer service experience.
In addition, UCLA Financial Aid and Scholarships compiles a list of all lenders who worked with UCLA’s borrowers in the last three years on the FastChoice list. The FastChoice list also provides information on the process (electronic vs. manual/paper) that is supported at UCLA by the lenders listed.
UCLA’s private lenders’ lists can be found under ‘Forms and Publications’ at www.financialaid.ucla.edu.
Please read the Corbett Disclosure before you decide whether to apply for a private loan.
Generally there are two reasons why a consigner would be needed.One reason is that the borrower does not have an established credit history, which leads to a low credit score. Having a cosigner will increase your odds of being approved for a private loan.Another reason to apply with a consigner would be to obtain a loan with a lower interest rate. The difference in monthly payments on a $10,000 loan can be $50 or more when comparing 8% interest rate and a 12% interest rate. The difference in the accrued interest rate could be as much as $4,900 over the life of the loan. Certainly something to give thought to!