Kellogg INSIGHT
Kellogg faculty bring their latest research emphasizing key findings.In this issue:
Name-Letter Branding Miguel Brendl
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Kellogg Full-Time MBA Program
Loan Programs
Loan programs available to full-time Kellogg MBA/MMM students who are U.S. citizens and permanent residents include educational loans through the federal loan program (Stafford Loans, Perkins Loans and Grad PLUS Loans) and Northwestern University-sponsored programs. Loan programs available to Kellogg full-time MBA/MMM International Students include the Northwestern University International Loan Program which provides two distinct options: the student either includes a U.S. Citizen or Permanent Resident Cosigner for Option A, or an International Cosigner for Option B. Other Private Loans may be available to International Students, but the lender may require a U.S. Citizen or Permanent Resident Cosigner. Please see information below regarding loan options available.
Federal Stafford Loan Program: The following Federal Loan programs are federally insured and the loans are cancelled in the event of the death or permanent and total disability of the borrower. The Federal Stafford Loan is available in two forms – subsidized and unsubsidized.
The Subsidized Federal Stafford Loan (FSL) is a need-based loan in which principal is deferred and interest is paid by the federal government while one is enrolled at least half-time as a student or in an eligible deferment status. The maximum amount of Subsidized Federal Stafford Loan that one may borrow per academic year is $8,500.00 or the amount of one’s unmet need, whichever is less.
The Unsubsidized Federal Stafford Loan (UFSL) is not based on financial need, nor is interest paid by the government at any time. Interest begins accruing once funds are disbursed. Principal is deferred while one is enrolled at least half-time as a student or in an eligible deferment status. The maximum amount of Unsubsidized Federal Stafford Loan that one may borrow per academic year is $20,500.00 minus the amount of their Federal Subsidized Stafford Loan.
The Federal Stafford Loan currently has a fixed interest rate of 6.8%. The origination fee and guarantee fee is based on the lender selected. Repayment begins six months after separation or graduation or if the student falls below half-time.
Federal Perkins Loan Program: The Federal Perkins Loan is a federally subsidized, low-interest loan program administered by the University. Students demonstrating high financial need are considered for the Perkins Loan. Principal and interest are deferred while you are enrolled at least half-time as a student or in an eligible deferment status. The maximum borrowing amount during the academic year is $6,000.00.
The Federal Perkins Loan currently has a fixed interest rate of 5%. There is no origination fee. Repayment begins nine months after separation or graduation or if the student falls below half-time.
Grad PLUS Loan Program: The Grad PLUS Loan is a Federal Loan available to graduate/professional students to meet their financial need and/or to replace their student contribution to meet their cost of attendance. Interest begins accruing once funds are disbursed. Repayment begins within 60 days following the final disbursement of the loan period; however, in school deferment is available. The Grad PLUS Loan currently has a fixed interest rate of 8.5% and a 3% origination fee.
NU Loan Program: The following programs are insured loans funded by the University from institutional resources. The Northwestern University Student Loan Office administers these loan programs.
Kellogg Students who are U.S. Citizens or Permanent Residents with a satisfactory credit history have the option of applying for a NU Loan without a cosigner. There are two versions of the NU Loan for U.S. Citizens and Permanent Residents – Need-Based and Optional. The NU Need-Based can be borrowed to meet a portion of your financial need as determined by the Kellogg Financial Aid Office. The NU Optional Loan can be borrowed to replace your student contribution, but not to exceed your cost of attendance. One must borrow $20,500.00 in Federal Stafford Loans before borrowing the NU Loan(s). Interest accrues upon disbursement and principal and interest payments are not due until three months after separation or graduation or if the student falls below half-time.
The NU loan interest rate is a variable interest rate set annually by the University, September 1st through August 31st. The current interest rate, September 1, 2008-August 31, 2009 for the need-based NU Loan is 7.0% and 7.5% for the optional NU Loan.
The NU International Loan Program is a Northwestern University loan program designed to help our International Students meet their financial aid need as determined by the Kellogg Financial Aid Office.
Interest is variable annually and set by the University, September 1st through August 31st. This program offers two distinct options:
Option A: This loan requires a credit-worthy U.S. citizen or permanent resident cosigner (spouse cannot act as cosigner). This option charges no origination fee and the current interest rate for the 2008-2009 academic year is 7.50%.
Option B: No citizenship/residency requirement is required for the student or cosigner. International students are required to have a family member included as a cosigner (parent, guardian, or relative; spouse cannot act as co-signer). This option charges a 4.00% origination fee. The current interest rate for the 2008-2009 academic year is 8.00%.
After completing the Kellogg Financial Aid application materials, students with demonstrated need, as determined by the Kellogg School of Management Financial Aid Office, will be offered an NU Loan and may apply for any amount up to their demonstrated need.
International students who wish to use the loan as a resource for securing a visa must do the following:
Federal Stafford Loan Program: The following Federal Loan programs are federally insured and the loans are cancelled in the event of the death or permanent and total disability of the borrower. The Federal Stafford Loan is available in two forms – subsidized and unsubsidized.
The Subsidized Federal Stafford Loan (FSL) is a need-based loan in which principal is deferred and interest is paid by the federal government while one is enrolled at least half-time as a student or in an eligible deferment status. The maximum amount of Subsidized Federal Stafford Loan that one may borrow per academic year is $8,500.00 or the amount of one’s unmet need, whichever is less.
The Unsubsidized Federal Stafford Loan (UFSL) is not based on financial need, nor is interest paid by the government at any time. Interest begins accruing once funds are disbursed. Principal is deferred while one is enrolled at least half-time as a student or in an eligible deferment status. The maximum amount of Unsubsidized Federal Stafford Loan that one may borrow per academic year is $20,500.00 minus the amount of their Federal Subsidized Stafford Loan.
The Federal Stafford Loan currently has a fixed interest rate of 6.8%. The origination fee and guarantee fee is based on the lender selected. Repayment begins six months after separation or graduation or if the student falls below half-time.
Federal Perkins Loan Program: The Federal Perkins Loan is a federally subsidized, low-interest loan program administered by the University. Students demonstrating high financial need are considered for the Perkins Loan. Principal and interest are deferred while you are enrolled at least half-time as a student or in an eligible deferment status. The maximum borrowing amount during the academic year is $6,000.00.
The Federal Perkins Loan currently has a fixed interest rate of 5%. There is no origination fee. Repayment begins nine months after separation or graduation or if the student falls below half-time.
Grad PLUS Loan Program: The Grad PLUS Loan is a Federal Loan available to graduate/professional students to meet their financial need and/or to replace their student contribution to meet their cost of attendance. Interest begins accruing once funds are disbursed. Repayment begins within 60 days following the final disbursement of the loan period; however, in school deferment is available. The Grad PLUS Loan currently has a fixed interest rate of 8.5% and a 3% origination fee.
NU Loan Program: The following programs are insured loans funded by the University from institutional resources. The Northwestern University Student Loan Office administers these loan programs.
Kellogg Students who are U.S. Citizens or Permanent Residents with a satisfactory credit history have the option of applying for a NU Loan without a cosigner. There are two versions of the NU Loan for U.S. Citizens and Permanent Residents – Need-Based and Optional. The NU Need-Based can be borrowed to meet a portion of your financial need as determined by the Kellogg Financial Aid Office. The NU Optional Loan can be borrowed to replace your student contribution, but not to exceed your cost of attendance. One must borrow $20,500.00 in Federal Stafford Loans before borrowing the NU Loan(s). Interest accrues upon disbursement and principal and interest payments are not due until three months after separation or graduation or if the student falls below half-time.
The NU loan interest rate is a variable interest rate set annually by the University, September 1st through August 31st. The current interest rate, September 1, 2008-August 31, 2009 for the need-based NU Loan is 7.0% and 7.5% for the optional NU Loan.
The NU International Loan Program is a Northwestern University loan program designed to help our International Students meet their financial aid need as determined by the Kellogg Financial Aid Office.
Interest is variable annually and set by the University, September 1st through August 31st. This program offers two distinct options:
Option A: This loan requires a credit-worthy U.S. citizen or permanent resident cosigner (spouse cannot act as cosigner). This option charges no origination fee and the current interest rate for the 2008-2009 academic year is 7.50%.
Option B: No citizenship/residency requirement is required for the student or cosigner. International students are required to have a family member included as a cosigner (parent, guardian, or relative; spouse cannot act as co-signer). This option charges a 4.00% origination fee. The current interest rate for the 2008-2009 academic year is 8.00%.
After completing the Kellogg Financial Aid application materials, students with demonstrated need, as determined by the Kellogg School of Management Financial Aid Office, will be offered an NU Loan and may apply for any amount up to their demonstrated need.
International students who wish to use the loan as a resource for securing a visa must do the following:
- Submit the $1,500.00 tuition deposit to the Kellogg School Office of Admissions
- Complete the Request for I-20 or DS-2019 application form and submit it to the Kellogg School Office of Admissions, leaving blank the amount of funding provided by Northwestern University, which will be determined by the financial aid office
- Complete the Kellogg Application for Financial Aid
- Include income statement for student and spouse/prospective spouse
Although the NU Loan can be borrowed to meet the students financial need and or cost of attendance, there will be limited funding for the 2009-2010 academic year. Therefore, the NU loan amount applied for and borrowed by the student must first be approved by the Kellogg financial aid office.
