Direct Lending / Loans

 

StudentLoans.gov
Direct Loans for MCC students will nowbeprocessed through StudentLoans.gov

Students must fill out a FAFSA, complete the Verification Process and/or be offered a loan before any of the following apply.

Minimum Requirements
  • Be enrolled at least six credits in each semester a loan is offered. The six (6) credit minimum for loans applies to all semesters.
  • Meet the current MCC Satisfactory Academic Progress (SAP) Policy
  • Loan amounts will not exceed the maximum eligibility per Department of Education Regulations.
  • Have completed a Master Promissory Notes (MPN) at studentloans.gov.  Master Promissory Notes are valid for 10 years.
  • Have completed Entrance Counseling at studentloans.gov.
  • The minimum loan amount for students is $100 per academic year
  • The determination of whether your loan is subsidized or unsubsidized is based on unmet need.
  • All loans require a minimum of two (2) disbursements. If multiple semesters are requested the loan will be divided equally between the semesters selected to receive funds. If one semester is requested the loan will be divided equally into two disbursements within that semester.
Loan Awards
  • If you have a valid MPN and Entrance Counseling your Loan will be changed to an accepted status. (please allow up to 5 business days once your MPN and Entrance Counseling are received by the school)
  • If you would like to change or deny your loan you must fill out a Change Request Form in Student Financial Services. Please see the Important Dates of Financial Aid for the deadline date for Change Request Forms for each semester.
Loan Limits
  • Dependent Students
    • First year undergraduate (< 28 credits earned) = $5500
    • Second year undergraduate (> 28 credits earned) = $6500
  • Independent Students
    • First year undergraduate (< 28 credits earned) = $9500
    • Second year undergraduate(> 28 credits earned) = $10500
  • *Actual loan eligibility may be less than the annual maximum amounts based on the loan period the funds are requested for and other financial aid sources received during the loan period.*

  • Lifetime Loan Limit for Undergrad:
    • Dependent- $31,500 (of that, no more than $23,000 in subsidized)
    • Independent- $57,500 (of that, no more than $23,000 in subsidized)
 

Financial Aid
Prahl College Center
(Lower Level)


Contact Us:
Phone: (810) 762-0144
Toll Free: 1-800-852-8614
Fax: (810) 762-5671


 
 
 
Types of loans:
Subsidized Loan - A loan in which the federal government pays the interest while you are registered at least half-time (6 credit hours at MCC) in school, during your grace period, and during authorized deferments.

Unsubsidized Loan - A loan in which you are responsible for all the interest on the loan . You may choose to pay it as you go or let it accrue (build up) and pay it when you begin paying your loan back.

Loan Cancellation:
Students may cancel all or a portion of the loan and have the canceled funds returned to the lender. Students must submit a Change Request Form to Student Financial Services within 14 days of the date of the disbursement if they want to cancel all or a portion of the loan. The student is responsible for any outstanding balances that are on their account once their loan is canceled or reduced.

Loan Repayment:
Repayment begins six (6) months after the student stops attending at least 6 credit hours. Please contact your lender for details.

First Time Loan Borrowers
First-time loan borrowers after July 1, 2013 will be subject to new regulation by the Department of Educations which limits Subsidized loan eligibility. In general, a student may not receive Direct Subsidized Loans for more than 150% of the published length of their program. Therefore, timely degree completion can help prevent extra costs incurred by borrowers who could loose the benefit of having the government paying the interest on their loan while in school.

Parent Loans for Undergraduate Students (PLUS)

Parents of dependent students can borrow from the PLUS Loan program. The PLUS Loan is a low-interest, unsubsidized loan available to parents to supplement their children's aid package, up to the school's cost of attendance.

To apply for the PLUS loan, the parent borrower must:

In order to be eligible the parent borrower must meet the following requirements.

  • Have an acceptable credit history (a credit check will be conducted)
  • Be a U.S citizen or eligible non-citizen
  • Not be in default on a federal student loan
  • Not owe a refund on a federal education grant

The maximum loan amount that can be requested is the student's cost of attendance minus any other financial aid the student receives.

Private Loans
In some instances, a student may not qualify for a Federal Direct Stafford Loan. For these students there are private loans available through private banks and credit unions. The student will need to contact these individual banks and credit unions for loan applications and exact terms and conditions. Mott's Student Financial Services will certify the amount the student can borrow based on the student's cost of attendance minus any other financial aid the student receives.