You must have a complete file with the Financial Aid Office in order to receive any type of loan.
The minimum requirements for consideration of any federal loan is to complete the FAFSA application, admission into a degree-seeking program, and at least half -time enrollment (6 hours). You must also complete a master promissory note. SPC participates in the William D. Ford Direct Loan Program (Direct Loans). This means the Direct Loans we offer are funded by the Department of Education. The Loan origination fee for student Direct Loans with a first disbursement before October 1, 2015 will be 1.068%. The Parent Plus Loans are charged a 4.272% rate. The Loan origination fees for all loans with the first disbursement on or after October 1, 2016 will be 1.069% for Student Direct Loans and 4.276% for Parent Plus loans. The origination fee will come out of the amount that you borrow. The example below depicts a 1.069% charge.
Example: $3500.00 - Your Loan Award
$3464.00 - Actual amount you will receive.
SPC is required to distribute the loan funds in two disbursements per loan period. If you are enrolled in one semester only, then you will receive half your loan on the first scheduled refund date and the other half after the 60% point of the semester as per the refund schedule. If you are enrolled for both Fall and Spring, you will receive half of your total loan on the first scheduled refund date for Fall and the other half on the first scheduled refund date for Spring.
30 Day Hold Loans
If you have less than 1 year in your program of study and are a new borrower, then you are required by government regulation to wait 30 calendar days before you are eligible to receive any loan funds. Even if the Financial Aid Office has awarded you a loan, the Business Office requires payment for your classes by the deadline date for the particular semester you are enrolled in. You must go on installment contract if you are not able to pay your balance in full. Please go to the the Business Office Home page and click on Payment Details for your payment options and contract details. Your loan award letter from the Financial Aid Office will have an enclosure if you are a 30 day hold. Any questions concerning this status should be directed to the Financial Aid Office.
Previous or Existing FFELP Loans
(Includes Direct Sub, Unsub, & PLUS)
You will not receive all of your loan funds at one time if you have indicated you will be enrolled for one semester only. SPC is required to distribute the loan funds in multiple disbursements per loan period. If you attend school at least 6 hours the entire academic year your loan will only be divided into two disbursements. The example below shows a full loan with the 1.069% fees applied. Loan fees will be applied based on the program and first disbursement date as listed above.
Example:$3500.00 - Loan Award for the Fall and Spring academic year.
First disbursement:$1732.00-Post after 12th class day according to Fall refund schedule
Second disbursement: $1732.00 - Post after 12th class day according to Spring refund schedule
Example:$2000.00 - Loan award for Fall Only or Spring Only semester.
First disbursement: $990.00 - Post after 12th class day according to the semester refund schedule
Second disbursement: $990.00- Post after 60% period according to the semester refund schedule
If you are enrolled for one semester only it is imperative to make sure that your first loan disbursement will cover the charges on your account. You must have the classes you enrolled in paid by the deadline date or you will be dropped.
Example: $1550.00 Your account balance for classes
- $ 990.00 Your first loan disbursement
$ 560.00 Amount you need to pay before deadline date
If you do not have a zero balance or if you are NOT on a payment plan and have not paid at least half of your balance by the semester deadline, your schedule will be cancelled. If you choose to go on a payment plan using your first loan disbursement you are still required to complete a payment plan through Campus Connect. You can read more about Payment Plans under Payment Details on the Business Office home page.
Please call the Business Office if you are not sure about your loan disbursement or the balance on your account for the classes you enrolled in.