Change in the Duration of a Credit Check
Beginning March 29, 2015, the duration of a credit check will be changed from 90 days to 180 days. The change to 180 days will also be applied to all credit checks on the U.S. Department of Education's COD System prior to March 29, 2015. For example, if a credit check was performed on November 30, 2014, that credit check would expire on February 28, 2015 under the current 90-day standard. After March 29, 2015, the credit check expiration date will be updated from February 28, 2015 to May 29, 2015, 180 days from the date the initial credit check was performed.
Sequester Required Origination Fee Increase
The Direct Loan Origination (processing) Fee increased on October 1, 2014 to 1.073% for the Direct Stafford Loans and 4.292% for the Direct PLUS Loans. Your Direct Loan is reduced by this origination (processing) fee before the funds are sent to the University.
Sequester Required Changes to the Title IV Student Aid Programs
This Department of Education letter explains the sequester required Direct Loan origination fee increase, reduction of the Iraq-Afghanistan Service Grant award, and reduction of the TEACH Grant award.
Direct Loan Interest Rates for 2014-2015
Interest rates are established each year for Direct Subsidized Loans, Direct Unsubsidized Loans, and Direct PLUS Loans for which the first disbursement is on or after July 1 through the following June 30.
The chart below displays the resultant interest rates for Direct Subsidized Loans, Direct Unsubsidized Loans, and Direct PLUS Loans first disbursed on or after July 1, 2014 and before July 1, 2015.
||Fixed Interest Rate|
|Direct Subsidized & Unsubsidized Loans
|Direct Unsubsidized Loan
|Direct PLUS Loan
||Parent of Dependent Undergraduate Student and Graduate/Professional Student