WKCTC Participates in the Stafford Direct Lending Program. Loans made through this program are referred to as Direct Loans, because eligible students and parents borrow directly from the U.S. Department of Education, rather than private lenders. This program offers student loans at low interest rates with the possibility that some of your interest may be paid while you are in school, leading to lower debt levels.
Student loans offer students money that must be paid back. Loans can only be packaged up to the yearly maximum limits or the school's cost of attendance, whichever is lower. All students are mandated to complete the steps listed below.
Loans are no longer automatically included in your initial financial aid package. You may submit a request to us let us know how much you need in loan funds and we will be happy to award it to your account. Please allow up to 10 business days for the loan to show on your account once you have made the request.
You must meet the following criteria to be eligible for a loan:
- Have a completed financial aid file
- Be enrolled in a financial aid eligible program
- Be enrolled in at least 6 credit hours
- Have remaining annual loan funding available
- Have remaining aggregate loan funding available
The maximum amount of loans you can borrow is determined by 1) how many credit hours you have successfully completed, 2) whether you are a dependent or independent student, as determined by the FAFSA, and 3) your Cost of Attendance at WKCTC.
All loans borrowed will be submitted to the National Student Loan Data System (NSLDS). Students can access their loan information, as well as keep track of how much they have borrowed on the NSLDS website. The information on this website will also be accessible by loan guaranty agencies, lenders, and institutions determined to be authorized users of the data system.
We offer the following types of Direct Loans. Depending on your financial need, you may be eligible to receive a combination of the following loans; however, the borrower must not exceed the annual loan limits set forth by the U.S. Department of Education.
Subsidized Direct Stafford Loan
Subsidized loans are available to students who demonstrate financial need. The U.S. Department of Education pays the interest on a subsidized loan while the borrower is enrolled at least half-time and during the loan grace period. The amount of subsidized loan you borrow cannot exceed your financial need. Repayment begins 6 months after 1) you drop below half-time, 2) leave school, or 3) graduate, whichever happens first.
Unsubsidized Direct Stafford Loan
The borrower is responsible for paying the interest that accrues on an unsubsidized loan from the time the loan is disbursed, and until the loan is paid in full. The borrower can pay the interest while in school or can allow the interest to accrue and have the interest added to the principal amount of the loan. If the borrower chooses not to pay the interest while in school, this will increase the total amount of loan that the borrower will have to repay because it will be charged interest on a higher principal amount. Repayment begins 6 months after 1) you drop below half-time, 2) leave school, or 3) graduate, whichever happens first.
Direct PLUS Loan
Parents of dependent students can borrow from the PLUS loan program. Loan funds are borrowed from the U.S. Department of Education. The dependent student must complete a current FAFSA in order to determine eligibility. A PLUS loan applicant must not have an adverse credit history, as a credit check will be conducted. A PLUS loan is borrowed in the parent's name (unlike Direct Subsidized and Unsubsidized loans) and repayment begins 60 days after the final disbursement of the loan has been made. For more information on the PLUS loan program, please click here. For help completing the application please click here.
There are many loans that are funded from private student loan lenders. You may borrow from a private lender by researching their websites to apply online through them. Research their repayment options, incentives, and other features to compare against others lenders you are considering. Go shopping and do your homework before borrowing a private loan to make sure you are aware of all the specifications of the loan.
Cohort Default Rate
WKCTC prides itself on ensuring students graduate with a quality education with the least amount of debt. Currently, only 20.4% of students that attend WKCTC borrow to finance their education. Our 2016 draft Cohort Default Rate (CDR) is 21.3%, compared to the national average of 10.8%. For more information about colleges CDR, you can visit the Federal Student Aid website.