Loans

Subsidized and unsubsidized loans are federal student loans for eligible students to help cover the cost of higher education at a four-year college or university, community college, or trade, career, or technical school. The U.S. Department of Education offers eligible students at participating schools Direct Subsidized Loans and Direct Unsubsidized Loans.

Direct Subsidized Loans are for students with financial need. Students are not charged interest while in school at least half-time (minimum of 6 hours). Repayment begins 6 months after the student leaves school or drops to less than half-time.

Direct Unsubsidized Loans are available to undergraduate and graduate students; there is no requirement to demonstrate financial need. Interest accrues (accumulates) on an unsubsidized loan from the time it’s first paid out. You can, but are not required to, pay the interest while you are in school or during grace periods, deferments, or forbearance. Another option is to let the interest accrue and be capitalized (that is, added to the principal amount of your loan). If you choose not to pay the interest as it accrues, this will increase the total amount you have to repay because you will be charged interest on a higher principal amount.

Direct Subsidized and Unsubsidized Loans for undergraduate students disbursed on or after 7/1/2024 and before 7/1/2025 have an interest rate of 6.53%. These loans also have a loan fee of 1.057%. This fee is deducted from each loan disbursement.

New borrowers of Direct Loans must complete Direct Loan Entrance Counseling and a Loan Agreement (MPN) online at studentaid.gov.

The parent borrower must be the student's biological or adoptive parent. (In some cases, the student's stepparent may be eligible.) The student must be a dependent student (according to the FAFSA). The Direct Parent PLUS Loan is based on a credit check completed by the Department of Education. Credit checks are valid for 180 days. Direct Parent PLUS loans disbursed on or after 7/1/2024 and before 7/1/2025 have an interest rate of 9.08%. Direct Parent PLUS loans disbursed on or after 10/1/2024 and before 10/1/2025 have a fee of 4.228%. This fee is deducted from each loan disbursement.

To apply for a Federal Direct Parent PLUS Loan
Apply online at studentaid.gov. The parent will log in using their FSA ID. If the parent does not have an FSA ID, they will apply for one at studentaid.gov. After the parent is logged into studentaid.gov, they will click “Apply for a PLUS Loan”.

If approved, complete a Loan Agreement for a PLUS Loan (MPN) at the same site, studentaid.gov.

The private (alternative) education loan program is available to assist students in covering the remaining balance due after other financial aid has been considered. These non-federal loans are in addition to the student Federal loans already included in the student's financial aid award.

The interest rates will differ with each lender and accrues from the first date of disbursement. If this loan is in the student's name, typically the student needs a credit-worthy co-signer in order for the loan to be approved. Generally, repayment begins after students graduate, or drop below 6 credit hours. Search or Apply for a Private Loan.

The purpose of Nurse Education Assistance Loan Program is to provide financial assistance to Ohio students enrolled for at least half-time study (or accepted for enrollment) in approved Ohio pre-licensure nurse education program who intend to serve as nurses after graduation. The annual award for the most recent academic year was $1,800/year. In exchange, to qualify for loan cancellation, recipients must be employed full-time as a registered nurse or licensed practical nurse in the State of Ohio for a minimum of five years after graduation.

Please visit the Ohio Department of Education website for directions on how to apply.

Students can receive $16,000 total toward their undergraduate education and an additional $8,000 if they continue on to graduate school. Eligible students must:

• Graduate from a Stark County high school; be a Stark County resident who was eligible to graduate from a Stark County high school but has graduated from a high school elsewhere; or have earned a diploma from the ABC (A Better Chance) program.
• Enroll for at least 12 credit hours per term in a post high-school, undergraduate degree-granting program. This includes associate degree, technical-school and trade-school programs.
• Have and maintain minimum term and cumulative grade point averages of 2.0.

Please visit http://www.cantonstudentloan.org/ for directions on how to apply!

In an effort to avoid any conflict of interest between The University of Mount Union and educational lending institutions, Financial Aid employees and all other employees involved in the loan process will abide by the following code of conduct:

• The University of Mount Union does not participate in any revenue-sharing arrangements with any private lender.
• The University of Mount Union does not permit any officer, employee or agent of the school who is employed in the financial aid office or is otherwise involved in the administration of educational loans to accept any gifts of greater than a nominal value from a lender, guarantor, or loan servicer.
• University of Mount Union does not permit any officer, employee or agent of the school who is employed in the financial aid office or is otherwise involved in the administration of educational loans to accept any fee, payment, or other financial benefit from a lender or affiliate of a lender as compensation for any type of consulting arrangement or contract to provide services to a lender or on behalf of a lender relating to educational loans.
• University of Mount Union does not permit any officer, employee or agent of the school who is employed in the financial aid office or is otherwise involved in the administration of educational loans to accept anything of value from a lender, guarantor, or group of lenders and/or guarantors in exchange for service on an advisory board, commission or other group established by such a lender, guarantor group of lenders and/or guarantors. 
• The University of Mount Union does not assign a private lender to any first-time borrower through financial aid packaging or any other means.
• The University of Mount Union recognizes that a borrower has the right to choose any private lender from which to borrow to finance their education.  The University of Mount Union will not refuse to certify or otherwise deny or delay certification of a loan based on the borrower's selection of a private lender.
• The University of Mount Union will not request or accept any offer of funds to be used for private educational loans to students from any lender in exchange for providing the lender with a specified number or volume of Title IV loans, or a preferred lender arrangement for Title IV loans.
• The University of Mount Union will not request or accept any assistance with call center or financial aid office staffing.

 
This code will be enforced by the institution. Any employee of The University of Mount Union in violation of any part of this code will be subject to disciplinary action.