Student Loans

Direct Student Loans

CBC participates in the William D. Ford Federal Direct Loan Program to offer student loans.

Some of the benefits of subsidized and unsubsidized Direct Loans are:

  • Lower, fixed interest rates
  • No credit check is required

Direct Loans are subject to origination fees, which offset administrative costs. Loan origination fees will be deducted from your loan proceeds prior to disbursement and you are responsible for the repayment of all fees. Loan amounts are determined based on your cost of attendance and other financial aid you have been awarded.

What's the difference between a subsidized and unsubsidized direct loan?
Direct Subsidized loans are based on financial need. The loans are interest-free while you are attending school at least half-time and during the grace period.

Direct Unsubsidized Loans are not based on financial need and will accrue interest while you are attending school. You can save money in the long run by making your interest payments while attending college.

Direct Student Loans Frequently Asked Questions

Academic Grade Level/Loan Type
Maximum Loan Amount 
First-Year Undergraduates Dependent Student Independent Student
Base Direct Loan eligibility (Subsidized and Unsubsidized $3,500 $3,500
Additional Unsubsidized Direct Loan eligibility $2,000 $6,000
Maximum First-Year Total $5,500 $9,500
Second-Year Undergraduates    
Base Direct Loan eligibility (Subsidized and Unsubsidized) $4,500 $4,500
Additional Unsubsidized Direct Loan eligibility $2,000 $6,000
Maximum Second-Year Total $6,500 $10,500
Aggregate (total) Undergraduate $31,000 (no more than $23,000 of which may be subsidized) $57,500 (no more than $23,000 of which may be subsidized)

Bachelor in Applied Science (BAS) Loan Borrowing Limits:
Totals listed below are only for students accepted into a Bachelor in Applied Science (BAS) program.

  Dependent Student Independent Student
Base Direct Loan eligibility (Subsidized and Unsubsidized) $5,500 $5,500
Additional Unsubsidized Direct Loan eligibility $2,000 $7,000
Maximum BAS Yearly Total $7,500 $12,500
Aggregate (total) Undergraduate $31,000 (no more than $23,000 of which may be subsidized) $57,500 (no more than $23,000 of which may be subsidized)

Please allow 30 to 45 days for your loan to be processed. Complete all of the following steps:

  1. Submit your Free Application for Federal Student Aid (FAFSA) as soon after October 1 as possible for the upcoming school year. We will send an email to the email address you provided on your FAFSA which will contain all your additional steps. You can also access your Financial Aid Portal for additional information. After notification that you have been offered grants or that you do not qualify for grants, proceed with the next steps.
  2. Verify you are enrolled in an eligible degree program and in at least six degree-required credits each quarter that you are requesting a loan.
  3. If you are a first-time borrower, complete the Entrance Counseling prior to applying for your loan. The Entrance Counseling session will help you understand your rights and responsibilities as a borrower so you can properly manage your future financial commitment.
  4. Complete your Master Promissory Note (MPN) If you are a first-time borrower, or your MPN has or will expire soon,
  5. Complete, print, and submit the 2020-2021 Federal Direct Loan Request Form (Fall 2020-Summer 2021). *A maximum of two loan requests will be accepted per academic year.
  6. You will receive a Financial Aid Notification email with the maximum amount you are eligible to receive or the maximum amount of your request, whichever is lower.
  7. Your loan funds will be disbursed via BankMobile.

Federal regulations require you to complete an Exit Counseling session upon termination at CBC, whether you graduate or withdraw. This session will give you important information about repaying your Direct Student Loans.

Parent PLUS Loans

Parents of dependent undergraduate students can apply for a Parent PLUS Loan also offered through the William D. Ford Federal Direct Loan Program. The loans are not based on financial need, but a credit check is required. Parents can apply for a Parent PLUS Loan by completing the Direct PLUS Loan Application and Direct PLUS Loan Master Promissory Note. The Parent PLUS Loan amount is determined based on the cost of attendance and other financial aid awarded. Parent PLUS Loans will be processed 30 to 45 days after notification that you have been offered grants or that you do not qualify for grants.


Repayment

When you graduate, leave school or drop to less than half-time status, you will have a six-month grace period before repayment begins. Once your grace period ends, you must begin repaying your loan(s). Find out about your repayment options. You may repay all or part of your loan at any time without penalty and will save money by paying off your loans early.


Private Education Loans

You can apply for private education or alternative loans directly from your lender of choice. These types of loans are not based on need and each lender determines the eligibility criteria. Private education loans may be an option for you to pay for college expenses not covered by federal or other financial aid. Loan amounts are determined based on your cost of attendance and other financial aid you have been awarded. CBC does not recommend a particular lender(s), but we can provide questions for you to consider when researching prospective lenders:

  • Is there a minimum enrollment level required?
  • Is there a satisfactory academic progress requirement?
  • What is your lowest interest rate and fee combination and how can I get it?
  • Is the rate only for a limited period, or is it for the life of the loan?
  • Is there a limit on how high the variable rate can go?
  • How often is the interest rate adjusted, and how is it determined?
  • What interest rate can I get on a fixed-rate loan?
  • How long will I be repaying the loan?
  • Is there any penalty for paying it off early?
  • Are your discounts guaranteed or are they subject to change later?
     

Student Loan Code of Conduct Objective and Responsibilities

In compliance with federal regulations, CBC's Code of Conduct for educational loans prohibits the following:

  • Revenue sharing arrangements with any lender
  • Receiving gifts from a lender, a guarantor or a loan servicer
  • Contracting arrangement providing financial benefit from any lender or affiliate of a lender
  • Directing borrowers to particular lenders, or refusing or delaying loan certifications
  • Offers of funds for private loans
  • Call Center or Financial Aid Office staffing assistance
  • Advisory Board compensation

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Students walking around CBC's Pasco campus