Loan and Other Aid Programs
Subsidized Federal Direct Loan:
Subsidized Federal Direct Loans are low-interest loans from the US Department of Education and are awarded on the basis of financial need to degree-seeking students who maintain satisfactory academic progress and are enrolled with at least half-time status. During the period a student remains enrolled with at least half-time status, the interest accrued on this loan is paid by the federal government.
For the current academic year, the maximum amount which can be awarded to a student in Subsidized Federal Direct Loans is $8,500. Repayment of the loan by the student begins six months after graduation, upon early withdrawal by the student, or upon an enrollment status change to less than half-time. There are federal programs available in which student loans are forgiven in return for service offered to under-served populations. These are worth researching. (Effective July, 2012, subsidized loans will not be available for graduate students) http://projectonstudentdebt.org/files/pub/Loan%20Forgiveness.pdfUnsubsidized Federal Direct Loan:
An Unsubsidized Federal Direct Loan is a non-need-based loan available to degree-seeking students who maintain satisfactory academic progress and are enrolled with at least half-time status. During the period a student remains enrolled with at least half-time status, the interest accrued on this loan may be capitalized (added to the loan principal) or may be paid monthly or quarterly by the student. Repayment of the loan by the student begins six months after graduation, or upon early withdrawal or an enrollment status change to less than half-time. The student is responsible for all interest accrued while enrolled at least half-time.For the current academic year, the maximum amount potentially awarded to a student in combined Subsidized and Unsubsidized Federal Direct Loans is $20,500. Students who expect to use Federal Direct Loan funds to cover all or part of the cost of tuition must have a loan guarantee in place at the time of registration.This requires the submission of a Free Application for Federal Student Aid (FAFSA) and other documentation that can take as long as three months to process. Please review the step-by-step process so that you may apply for financial aid in a timely manner. If a student does not have a loan guarantee in place at the time of registration, that student will be responsible for paying a minimum of one-third of the total tuition charges upon registration and for establishing a payment schedule for the remaining tuition balance.The fee for setting up a payment schedule is $25 per quarter. Registration can take place at any time up to the first day of class, but there are official registration dates established each quarter.
• Southwestern College participates in the William D. Ford Federal Direct Loan Program for students. The Southwestern College financial aid programs include Subsidized and Unsubsidized Federal Direct Loans, scholarships and payment plans.
• Each state’s Department of Labor or Division of Vocational Rehabilitation may provide assistance through programs.
• Southwestern College’s students and their families might also consider investigating local sources, such as service organizations, churches, Native American tribal affiliations, corporations and foundations for scholarship and loan funds.
Students residing in or near Santa Fe are directed to:
The State Library Foundation Center
1209 Camino Carlos Rey, Santa Fe, NM 87505.
Southwestern College will provide information on Alternative Student Loans which are private sources to assist students in meeting additional education costs and living expenses. The alternative loans are based on the credit history of the student and it is the responsibility of the student to apply to the lender of their choosing.
For Additional Information on Loan Repayment
Financial assistance may be granted to students in the form of a limited payment schedule. Contact the financial manager’s office prior to registration for further information regarding the payment plan.
Southwestern College is approved by the New Mexico Veterans Service to educate veterans. Veterans wishing to obtain information should contact the Veterans Affairs Regional Office at 1-888-442-4551.
Students needing additional information regarding the Southwestern College financial aid programs may write, call or e-mail the following:
Direct (505) 467-6811
Toll-Free (877) 471-5756 Ext. 6811
Fax line (505) 467-6812