Statement of Ethical Principles:

At Lipscomb University, we put the best interest and needs of our students and their families first.  Any lenders recommended to a student or parent are recommended solely because they offer the best possible financial benefits (lowest origination fee, etc.) to the borrower. We will process a loan for any lender you choose.  Click HERE for the NASFAA (National Association of Student Financial Aid Administrators) Statement of Ethical Principles.

Code of Conduct for Institutional Financial Aid Professionals:

Refrain from taking any action for his or her personal benefit. 

Refrain from taking any action he or she believes is contrary to law, regulation, or the best interests of the students and parents he or she serves.

Ensure that the information he or she provides is accurate, unbiased, and does not reflect any preference arising from actual or potential personal gain.

Be objective in making decisions and advising his or her institution regarding relationships with any entity involved in any aspect of student financial aid. 

Refrain from soliciting or accepting anything of other than nominal value from any entity (other than an institution of higher education or a governmental entity such as the U.S. Department of Education) involved in the making, holding, consolidating or processing of any student loans, including anything of value (including reimbursement of expenses) for serving on an advisory body or as part of training activity of or sponsored by any such entity.

Disclose to his or her institution, in such a manner as his or her institution may prescribe, any involvement with or interest in any entity involved in any aspect of student financial aid.

Dependent Students

Independent Students

Federal Stafford Loan Program

There are two Stafford loan programs available for student borrowers. The Subsidized Stafford Loan is a federal loan that must be repaid.  The ability to receive the Subsidized Stafford loan is based on calculated need as determined by the FAFSA. The interest rate is determined by the Federal government and is subject to change on July 1.  “Subsidized” means that the interest is paid by the government while the student is enrolled in school.

The Unsubsidized Stafford loan is also a federal loan that must be repaid.  If the student is not eligible for the Subsidized Stafford loan, as determined by the results of the FAFSA, the Unsubsidized Stafford loan will be used to meet the student’s borrowing eligibility as determined by the Federal Stafford loan limits listed below.  “Unsubsidized” means that interest will accrue while the student is enrolled in school. The student can choose to pay the interest while in school or defer the interest and have it added to the principal balance.  The interest rate is determined by the Federal government and is subject to change on July 1.

Note: Independent students may borrow at increased limits under the Unsubsidized Stafford loan program. Aggregate limits for dependent, independent, and graduate students vary. For more information please contact the Financial Aid Office.

First-Time Stafford Loan Borrowers at Lipscomb University are required to complete an Entrance Interview, Master Promissory Note and Authorization form. Please proceed to the following links to complete these federal requirements. If you have any questions, please contact the Financial Aid Office at                1-800-333-4358        .

To apply for a FALL/SPRING  Stafford loan click HERE
To apply for a SUMMER Stafford loan click HERE

Loan funds are distributed 30 days after the first day of Undergraduate classes or after the last day to drop classes with a partial refund (which ever comes first).  Loan funds for the spring 2009 semester will first be distributed to student accounts February 9, 2009.  To request a refund please contact Business Office or to use their online form click HERE.

Priority processing for Stafford Loans is July 1 for the following Fall/Spring semesters and May 1 for the Summer semester.  If you have not submitted your paperwork by this deadline, you may not have funds available when school begins and may be required to provide other payment arrangements until the loan proceeds are received. 

To learn more about Federal Stafford Loans, along with repayment options, capitalized interest, and repayment calculations, click HERE.

Loan Forgiveness Options for Teachers and Nurses

You may be eligible to have all or a part of your Federal Stafford and/or Perkins Loan forgiven by the Department of Education if you meet certain criteria.  Check out these websites for more information or contact your lender.

Teachers:   http://studentaid.ed.gov/PORTALSWebApp/students/english/cancelstaff.jsp

Nurses: 
http://bhpr.hrsa.gov/nursing/loanrepay.htm

Federal PLUS Loan Program

The PLUS loan is available for Parents of undergraduate dependent students. It is a federal loan that must be repaid. The interest rate is determined by the Federal government and is subject to change July 1. Eligibility is based on credit history as determined by federal guidelines and the lending institution. Lipscomb University will accept the first lender's credit decision only (approval or denial).  The loans disburse ½ of the total in the fall and ½ of the total in the spring.   The maximum loan amount is not to exceed the student’s federal budget less any additional assistance the student may have received.  Prior to disbursement, the lender withholds 3.5% from the loan amount to cover loan origination fees.

To qualify, apply and process the Parent PLUS loan please follow one of the links provided below:

Parent PLUS Loan Application

Parent PLUS Loan Lender Information and MPN Links

**If your PLUS loan is denied by the lender, contact the Financial Aid Office. Your student may be eligible for additional Stafford loan funds.

Federal Perkins Loan

The Perkins loan is a federal loan that must be repaid. It is awarded to students based on need and availability of funds. The Perkins loan has a fixed interest rate of five percent and the interest does not begin accruing until 9 months after graduation or after falling below six credit hours. 

If your Award package indicates a Perkins loan, please complete the Perkins Pre-Loan Worksheet and return to the Financial Aid Office. The Perkins loan is a limited fund; failure to complete the Pre-loan worksheet will result in the unavailability of funds. 

Click HERE for Perkins Pre-loan Worksheet

Alternative Loans

If you need additional funds for school expenses within your federal budget, alternative loans are available. These loans should only be considered after exhausting all other means of payment. Alternative loans are based on a student’s credit history rather than on the FAFSA results and usually carry a higher interest rate. These rates are not mandated by the federal government and can increase without a cap limit.  A lack of established credit history as determined by the loan company may require the use of a co-borrower on the private loan.  For more information on the alternative loans offered by Lipscomb University, please contact the Financial Aid Office. 

Click HERE for more information on frequently used lenders by students at Lipscomb.

Loan Repayment Options

• Federal Stafford loan repayment begins six months after graduation or after you are no longer enrolled in a minimum of six credit hours.
• Federal Perkins loan repayment begins nine months after graduation or after you are no longer enrolled in a minimum of six credit hours.
• Federal PLUS loan repayment begins up to sixty days after the second disbursement of funds (usually in the spring term).
• For loan deferment and forbearance options please contact your lender.