Admissions-IYRS-Grants-and-Loans
Financial aid is available to those who qualify

FAFSA

The Free Application for Federal Student Aid (FAFSA) must be filled out annually by IYRS students, as well as prospective students, to determine eligibility for student financial aid from the Federal government.

Fill Out Your FAFSA: https://fafsa.ed.gov/
Be sure to indicate IYRS as the recipient of your forms. IYRS FAFSA school code is 037323.

Federal Pell Grant Program & Rhode Island State Grants

Federal Pell Grants are one of the most common federal school grants, and they are funded by the U.S. Department of Education. The amount of aid you can receive depends on your financial need, the cost of attendance at a school, among other factors. A Pell Grant, unlike a loan, does not need to be repaid.

The maximum Federal Pell Grant award is $5,645 for the 2013–14 award year (July 1, 2013 to June 30, 2014). For the 2014–15 award year (July 1, 2014 to June 30, 2015), the maximum award will be $5,730. Filling out the FAFSA and stating that you want to be considered for a Pell Grant is all that is required to apply.

Additionally, Rhode Island state grants are awarded based on financial need as determined by your FAFSA.

> Be sure to
add the IYRS school code to your FAFSA: 037323.

Federal Direct Student Loan Program

The Federal Direct Student Loan Program provides funding to help students pay part of their own school costs. The loan is made to you, the student, and you are responsible for repayment of this debt. The Direct Loan carries a variable interest rate, set annually with a cap of 8.25%.

Federal Direct Loans are available both as subsidized and unsubsidized loans. Subsidized loans are offered to students based on demonstrated financial need. The interest on subsidized loans is paid by the federal government while the student is in school and during authorized deferment. For unsubsidized Stafford Loans, the student is responsible for all of the interest that accrues while enrolled in school. The interest may be deferred throughout enrollment. Unpaid interest that is deferred until after graduation is capitalized (added to the loan principal.) The interest rate on the loan is variable, but will not exceed 8.25%. There is an origination fee charge on the loan. Loan repayment begins at the end of the student’s grace period. The grace period is 6 months after a student graduates or leaves school, although loan payments can be made at any time.

> More Information About Federal Direct Loans

Direct PLUS Loans for Parents

The parent loan programs described below allow credit-worthy parents to borrow up to the entire cost of higher education, less any awarded financial aid. The student and applicant must meet eligibility requirements outlined in the application materials.

The Parent Loan for Undergraduate Students (PLUS) allows parents to borrow on behalf of their dependent students. Eligibility for this loan is not based on financial need but does require a credit check. Parents may borrow up to the cost of attendance minus any financial aid. The loan has a fixed interest rate of 6.41 percent (2013-2014). There is a maximum repayment period of 10 years, with a minimum monthly payment of $50. An origination fee is subtracted from the requested loan amount. In the case that a parent is not approved for a PLUS loan, the student may be eligible for an additional Unsubsidized Loan.

> More Information About Direct PLUS Loans

Alternative Loan Options

Private Education Loans, also known as Alternative Education Loans, are available from a number of sources. These loans, offered by private lenders, can help bridge the gap between the actual cost of your education and your Federal loan. These loans often require a co-borrower and eligibility depends on your credit score as well as the credit score of the co-borrower. Credit requirements are typically higher than those of Federal loans.

Private loans tend to cost more than the education loans offered by the federal government, but are less expensive than credit card debt. It is important that you understand the conditions and terms of the private loan before signing it. Often payments begin immediately and the interest rates are variable.

Federal education loans may also offer better repayment and forgiveness options.