Loans

Funds that students apply for that do have to be paid back. There are a variety of loans available, some are better for the borrower than others.

• Stafford Loans Federal loans that require a FAFSA application to apply. Repayment on Stafford loans doesn't start until 6-months after the student leaves school.  Subsidized Stafford loans have no interest while the student is in school at least half-time.  Unsubsidized Stafford loans accrue interest while the student is in school.  To apply, follow the 3-step process from the Financial Aid home page.
• Parent PLUS Loans Federal loans that a parent can apply for their child's education. Gulf Coast requires that a FAFSA application be completed to be eligible.  To apply, follow the 3-step process from the Financial Aid home page.
• Alternative (Private) Loans Loans offered by private lenders that don't have the same benefits as federal loans.  In most cases, it is in the student's best interest to exhaust all grant and Stafford loan options prior to considering an alternative loan. Gulf Coast will not certify an alternative loan unless the student has completed a FAFSA.

Federal Stafford Subsidized and Unsubsidized loans are low interest loans where repayment is deferred until after you graduate, withdraw, or enroll less than half-time.

Subsidized - Subsidized loans are need based, low interest, federally subsidized loans.

Unsubsidized - Unsubsidized loans are not based on need and the interest is not subsidized by the government; therefore students are responsible for all interest accrued.

• A 2.5% origination/default fee may be charged to students at time of disbursement.
• All students are given a one-time six month grace period to begin their repayment, once they are no longer enrolled in the minimum credit hours.
• New borrowers may be required to wait 30 days from the first day of class for disbursement.
• Unsubsidized loans are NOT available to all students. Unsubsidized funding is used to replace the student EFC from the Student Aid Report, assist with out of state tuition, child care expenses, or expenses related to student's program of study (not currently part of the cost of attendance budget. IT IS THE STUDENT'S RESPONSIBILITY TO SUBMIT ALL NECESSARY DOCUMENTATION AT TIME OF APPLICATION (program cost sheet, child care documentation, etc.).

General Eligibility Requirements

• Students are required to complete the Free Application for Federal Student Aid (FAFSA).
• All students applying for the Stafford loan must be citizens or eligible non-citizens.
• All students must be enrolled in at least six credit hours (half-time).
• Students must have and maintain a cumulative 2.0 GPA for all credits attempted (including transfer credits).
• Students must complete 65% of the hours attempted (cumulative) to maintain eligibility.
• Students cannot exceed more than 90 hours of attempted credits in their major.
• Not exceed the aggregate loan limits established by GCSC, including loans received prior to attending GCSC.
• All students must complete Exit Counseling when they graduate, withdraw, or drop below half-time. Students who withdraw are encouraged to come to the Financial Aid Office for personal exit counseling. Graduating students can click here to access exit counseling.
• For summer funding, students are required to maintain the half-time status by enrolling in both summer sessions for a minimum of three hours per summer session. 

To Continue Eligibility

• Students must reapply every year (applications are available after February 1st for following fall term).
• Students must maintain satisfactory academic progress to continue eligibility for funding as stated in the general eligibility requirements.
• Students must not exceed the aggregate loan limits established by GCSC, including loans received prior to attending GCSC.
• Students who expect to use the Stafford Loan to pay fees must complete the entire process at least one month before fees are due for the upcoming semester! (See catalog for due date)  If you do not meet this deadline, you must make other arrangements to pay fees.

Read and follow the procedures below to ensure that your request for a student loan will be processed.

Application Procedures

• There are important steps to the application process. The FAFSA, Stafford Loan Request Form, Entrance Counseling, and Promissory Note must be completed before a loan will be processed.
• Once eligibility is determined, you will receive a GCSC award letter.The "Notice of Guarantee and Disclosure Statement" indicating dollar amounts and disbursement dates for the terms requested will be mailed to you from USA Funds within two weeks of your loan guarantee.  Remember your disbursement dates and amounts, the aid office may not have that information!  

Deferments for tuition and books are available in the Financial Aid Office if your loan has been processed at least one month before fees are due.

Now that you have read all of the loan information above, please return to the financial aid homepage and, if you wish, apply for your student loan.

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