Educational Loan Programs
By filing a FAFSA (Free Application for Federal Student Aid) you may be eligible for federal student loans based on your academic program and year in school. For more information on each of these, click on the menu on this page.
A borrower must be enrolled or accepted for enrollment for at least six semester hours and must be working toward a degree or certificate. For three-hour terms in one semester, loans will not credit to a student’s account until total registration equals six hours. Loans must be actively accepted in myLipscomb in order to be applied as an expected payment to the student bill. Stafford Loans will not pay until the student has completed both Entrance Counseling and the Master Promissory Note at studentloans.gov. Loans will not be credited to accounts until 30 days after classes begin or when a student begins the sixth credit hour, whichever comes last.
This loan is available to undergraduate students who are enrolled at least half-time and who show significant need. An undergraduate student may borrow up to $4,000 per year to a total of $20,000 for their time in school. The repayment period and interest accrual do not begin until nine months after the student ends his/her studies. This loan has an interest rate of 5%, and repayment of principal, at a minimum of $40 per month and may be extended up to 10 years. A limited amount of funding is available. A promissory note and a Federal Perkins Loan pre-loan information sheet must be signed before funds can be credited to a student’s account.
There are two types of Direct PLUS Loans: Parent PLUS and Graduate PLUS. The Parent PLUS Loan is available to dependent undergraduate students. This loan will be credited toward the student's bill, but will be in a parent's name. The Graduate PLUS Loan is available to independent graduate students. Both loans require credit approval by the Department of Education, as well as a FAFSA submission. Apply at www.studentloans.gov
In addition to the federal loans outlined in this section, students may consider private loans made by banks and other financial institutions. It is recommended that private loans only be considered in instances where funding is needed in addition to any federal loans, as these loans are subject to the institute's terms and interest rates may be higher. Eligibility for these loans requires a credit check and students are often required to have a co-signer to qualify
**Important Note - Lipscomb does not allow any loans to disburse for a student until that student is currently attending at least 6 hours. Even if the student is enrolled in at least 6 hours, the loans will not pay until the student has actually attended all 6 of those hours. **