In addition to the William D. Ford Direct Loan Program and alternative education loans from private lenders, a few other loan programs are available although funding is often limited.
The Perkins Loan is a federal loan program. This is a campus-based loan, with Baylor acting as the lender using a limited pool of funds provided by the federal government. No new federal funding is available for the program. The amount available to award each year is dependent on the amount repaid by previous Baylor borrowers.
The Perkins Loan Program will close effective September 30, 2017, as requested by the Federal Perkins Loan Program Extension Act of 2015. No additional loans will be available under the Perkins Loan Program after that date.
Please note that receiving the Perkins loan for 2016-17 does not guarantee eligibility for 2017-18. If you receive a loan for 2017-18 and the first disbursement is made by September 30, 2017, you can still receive the spring disbursement of that loan. Eligibility for 2017-18 will be based on your eligibility and the availability of funds. Consideration is based on completion of the Free Application for Federal Student Aid.
At Baylor, awards of up to $5500 are made to undergraduate students with exceptional financial need. The Perkins Loan is a subsidized loan, with the interest being paid by the federal government during the in-school and 9-month grace periods. There are no origination or default fees, and the interest rate is 5%. There is a 10-year repayment period. The aggregate limit for undergraduate students is $27,500.
The Nursing Loan is a federal loan program for students pursuing a degree in nursing. Consideration is based on completion of the Free Application for Federal Student Aid and admission to the Nursing School. It is a low-interest loan for undergraduate and graduate students with exceptional financial need. Loans of up to $4000 are made with government funds through Baylor's financial aid office, and Baylor acts as the lender. The interest rate is 5 percent. You are not responsible for paying the interest on the loan during in-school, grace, and deferment periods. The aggregate limit is $13,000.
Please Note: The Texas Legislature has voted to discontinue the Texas B-On-Time program for new recipients for the 2017-18 academic year. The program will be phased out but will continue to be available for students who are eligible for renewal; however, the allocation is announced annually. Funding may not be available to award all students who meet the renewal criteria.
The Texas B-On-Time Loan program provides eligible Texas students no-interest loans to attend colleges and universities in Texas. You must complete the Free Application for Federal Student Aid and complete the Recommended high school curriculum to be considered for limited available funding. The maximum amount of the loan is determined by the Texas Higher Education Coordinating Board each year and an allocation is assigned to Baylor. The Student Financial Aid Office will determine if you are eligible. If this loan is offered to you, the Student Financial Aid Office will instruct you to complete an application and promissory note online.
Full-time enrollment is required. Very limited exceptions are allowed for students who enroll less than full-time but at least half-time. Click here to review Baylor's BOT Hardship policy.
If you meet specified goals, the entire loan amount can be forgiven upon graduation. For more information about loan forgiveness click here.
The College Access Loan (CAL) Program provides an alternative type of educational loan to Texas students that attend colleges and universities in Texas. Baylor receives an allocation of funding from the Texas Higher Education Coordinating Board each year. You do not have to demonstrate financial need by completing the Free Application for Federal Student Aid to receive this loan, which may be used to cover all or part of your Expected Family Contribution (EFC). However,you must deduct the maximum Pell Grant eligibility and your eligibility for Direct Subsidized and Unsubsidized Loans (even if you do not wish to pursue a Direct Loan) from the cost of attending Baylor to determine the amount of the CAL loan you could receive. For more information and to apply, click here.
Very limited funding is available. This is a loan of last resort and is not appropriate for most students. Approval is determined by the Student Financial Aid Office and all decisions are final. Students must be enrolled at least half-time at Baylor University for the loan to remain in a deferment status. If the borrower transfers or begins another program of study at any other institution, no deferment is available. There are no loan cancellation benefits. The maximum repayment period is seven years.
Occasionally private foundations and organizations make loans to students who live in a specific geographic location or who meet other unique criteria. Your high school counselor is a good resource for information regarding these types of loans.