Student Loans

Important Loan Information

Time Limitation of Direct Subsidized Loan Eligibility

Effective July 1, 2013
There is a limit on the maximum period of time (measured in academic year) that a student can receive Direct Subsidized Loans.  In general, students may not receive Direct Subsidized Loans for more than 150% of the published length of their program.  For more information regarding this 150% limitation on Direct Subsidized loans, please click here.
 

If you have previously had loans at MCC, you DO NOT need to complete Entrance Counseling and sign a Master Promissory Note unless we ask you to due to expiration.

Direct Loan Process

Which Steps should I follow?  Please see the definitions below:
Are you a New Borrower?
If you have not borrowed Federal Direct Student Loan funds while attending college, you are a New Borrower.
Please follow the instructions for a New Borrower.
 
Are you a Returning Borrower?
If you have previously borrowed Federal Direct Student Loan funds while attending college, you are a Returning Borrower. 
Please follow the instructions below for a Returning Borrower.
 
 

 
 
 

Steps for New Borrowers

You should follow these steps if you have NEVER had a student loan at MCC previously.  
Failure to complete one of the steps below, will cause a delay in the processing of your loan.

Step One: Complete the FAFSA

You must have a completed file with the MCC financial aid office in order to have a loan request processed.

Step Two: Complete Entrance Counseling

This will take you to studentloans.gov. Once there, sign in and direct yourself to Entrance Counseling. You are going to need your FSA User id and password to sign in. Follow the onscreen instructions to complete your entrance counseling.

Step Three: Sign a Master Promissory Note

The will take you to studentloans.gov. Once there, sign in and direct yourself to sign your Master Promissory Note. You will use your FSA User ID and password. Master Promissory Notes are valid for 10 years so if you completed an MPN last year - DO NOT complete a new MPN.

Step Four:  MCC Direct Loan Request Form for the 2020/21 Academic Year 

  
                    

Steps for Returning Borrowers

You should follow these steps if you have previously had a student loan at MCC.
Failure to complete one of the steps below, will cause a delay in the processing of your loan.

Step One: Complete the FAFSA

You must have a completed file with the MCC financial aid office in order to have a loan request processed.

Step Two: Complete Financial Awareness Counseling

DO NOT SELECT ENTRANCE COUNSELING

This will take you to studentloans.gov. Once there, sign in and direct yourself to Financial Awareness Counseling. You are going to need your FSA User id and password to sign in. Follow the onscreen instructions to complete Financial Awareness counseling. You will need to make note of your total loan debt and be able to calculate your monthly payment amount. You will need this information for the MCC Direct Loan Request form.

Step Three: MCC Direct Loan Request Form for the 2020/21 Academic Year

                   

Loan Cancellation/Reduction

If you wish to cancel or reduce the amount of your Direct Loan for the current semester and it has not yet been disbursed to MCC, you may complete this form: Loan Cancellation/Reduction Form.

Exit Counseling

If you have been a Direct Loan Borrower while attending Montcalm Community College, you are required to complete Exit Counseling before you leave MCC as a student, graduate, transfer to another school or drop below half-time enrollment.

Please click on this: Exit Counseling to complete your Loan Exit Counseling. You will be required to sign in using your FSA User ID and password.


Direct Loan Disbursements

Loan Disbursements

Please keep the following in mind when applying for loans:

Two Semester Loans: Will have one disbursement in each semester.

One Semester Loans: Will have two disbursement in the one semester.

If you apply for a two semester loan and then submit an additional loan request for one semester, this is considered a one semester loan.  Each loan must have two equal disbursements.  If you have loan questions, please email finaid@montcalm.edu.

Direct Loan Interest Rates

Interest Rates on Federal Student Loans

For loans first disbursed 7/1/2020 through 6/30/2021 - 2.75%

For loans first disbursed 7/1/2019 through 6/30/2020 - 4.53%

For loans first disbursed 7/1/2018 through 6/30/2019 - 5.05%

For loans first disbursed 7/1/2017 through 6/30/2018 - 4.45%

For loans first disbursed 7/1/2016 through 6/30/2017 - 3.76%

Direct Loan Limits

Yearly Direct Loan Limits

 
Please keep in mind that these are yearly loan limits not semester loan limits.
 
Dependent Students
First Year:$5,500                                        
Subsidized: Max of $3,500                          
Unsubsidized: $2,000  
 
Second Year: $6,500
Subsidized: Max of $4,500
Unsubsidized: $2,000
 
 
Independent Students
First Year: $9,500                                      
Subsidized Max of $3,500                             
Unsubsidized: $6,000   
 
Second Year: $10,500                                      
Subsidized Max of $4,500                             
Unsubsidized: $6,000