Financial Aid

Financial Aid

Important Information about the Federal Stafford Loan Program

The Office of Student Financial Services at the University of Mount Union is pleased to announce its transition to the Federal Direct Loan Program (DL) from the Federal Family Education Loan Program (FFELP) beginning with the 2010-2011 award year.

If you receive financial aid from Mount Union and you are eligible for federal loans, please know that you will be updated on any changes that are required of you throughout the process; our goal is to make this as seamless as possible for you. At this time, we would simply like to provide an overview of the changes and anticipate important questions our students and families may have.

We recognize that many Mount Union students rely on financial aid, including federal loans, and we understand their complexity; thus we hope to explain some of the upcoming changes clearly and and please consider this a brief summary of the upcoming DL process. If you have any further questions, now or throughout the process, you will have ample opportunity to contact the Office of Student Financial Services for more details.

What is the Federal Direct Loan Program?

Students who apply for financial aid are reviewed for all types of aid for which they may be eligible. One of the largest federal aid programs is comprised of loans such as the Federal Subsidized and Unsubsidized Stafford Loan, Federal Parent PLUS Loan, and Federal Graduate PLUS Loan. These loans were previously processed under a program called FFELP (Federal Family Education Loan), which required a student to select a private lender; then the lender funded the federal loan for the student.

Beginning July 1, 2010, the lender for these federal loan programs will no longer be a private lending institution, but instead the funds will come from the U.S. Federal Government as supported by the U.S. Treasury. Thus, at its most basic, the FFELP and DL programs are the same, but the source of funding differs.

Students can complete their DL Stafford Loan Entrance Counseling and DL Master promissory Note here, and their DL Stafford Request form here.

Parents can complete their Federal DL Parent Plus Loan Master Promissory Note here, and DL Parent Plus Request Form here.

Grad Students can complete their DL Grad Plus Master Promissory Note here and DL Grad Plus Request Form here.

Frequently Asked Questions

Mount Union believes that no student should fail to apply for admission to the University purely for financial reasons. About 76 percent of our students receive some financial assistance based on demonstrated need. The University also allocates institutional funds to be offered to students as merit-based awards. In 2009-2010, Mount Union students received financial aid in excess of $48 million. More than $22 million of that total was awarded in the form of institutional grants or scholarships.

The average aid award is $19,313 and may include (Please note that each student's financial aid is awarded based on the details of their specific situation):
•    Grants and/or scholarships (which the student does not repay)
•    Work on campus (which pays an hourly wage)
•    Low-interest loans (repayment is normally deferred until after graduation from college)
Aid recipients must be enrolled on a full-time basis. It is the student's responsibility to check with the Office of Student Financial Services if part-time attendance is desired. Students enrolled less than 12 semester hours are eligible to apply for a part-time Federal Pell Grant and a Federal Stafford Loan.