New Mexico Junior College participates in the Department of Education's Federal Family Education Loan Program (FFELP) which includes subsidized, unsubsidized, and parent loans.
To receive a loan, the student must do the following:
The Subsidized Federal Stafford Loan is a need-based award. The loan amount is based on the student's cost of attendance and EFC, less other financial aid received. The federal government will pay the interest on the loan while the borrower is enrolled at least half-time. Repayment on the loan begins six month after the borrower graduates, leaves school or drops below half-time. For all Stafford loans first disbursed on or after July 1, 2006, the interest rate is fixed at 6.8 percent.
The Unsubsidized Federal Stafford Loans is based on the student's cost of attendance less other aid received. It is not based on need. The borrower is responsible for payment of the interest on this loan while in school. Repayment on the loan begins six months after the borrower graduates, leaves school or drops below half-time. For all Stafford loans first disbursed on or after July 1, 2006, the interest rate is fixed at 6.8 percent.
The Federal Plus Loan is available to parents with dependent students who wish to borrow to help finance their child’s education. The Federal Plus loan enables parents to borrow up to the cost of attendance minus other financial aid received. A Federal PLUS loan may be borrowed for each dependent child enrolled at least half time. Like Stafford Loans, PLUS loans are made by a lender. The lender will require a credit analysis to determine credit prior to loan approval.
| Direct & FFEL Stafford | Direct & FFEL Stafford | ||
| Class Level | Credit Hours | Subsidized/Unsubsidized | Additional Unsubsidized |
| Independent Students Only | |||
| Maximum | Maximum | ||
| Freshman | 0-29 Hours | $2,625 | $4,000 |
| Sophmore | 30-96 Hours | $3,500 | $4,000 |
The total debt from all Stafford loans combined may not exceed $23,000 for a dependent undergraduate student and $46,000 for an independent undergraduate student (no more than $23,000 may be subsidized). A three percent (3%) origination fee and a one percent (1%) insurance fee may be charged to the borrower to help offset the cost of federal interest subsidies.
To complete entrance or exit counseling go to www.mapping-your-future-org.