Loans

{{youtube:small:right|mTHtn0FRMWw,Responsible Borrowing}}Loans are funds that must be repaid by the student or, in the case of the Direct Parent PLUS Loan, by the parent. The interest accrued and the repayment schedule depends upon the type of loan. There are various types of education loans that can assist students and parents in paying for a college education.

Types of Loans

Direct Subsidized and Unsubsidized Loans

Direct Subsidized Loans are available to undergraduate students with financial need. Direct Unsubsidized Loans have no requirement to demonstrate financial need.

PLUS Loans

Eligible parents and graduate or professional students can apply for a federal Parent PLUS Loan (for undergraduates) or Grad PLUS Loan.

Private Loans

Many lending institutions offer private loans that are credit-based and should only be considered after exhausting all federal loan options.

Which Type of Borrower Are You?

Get more information about the loans available to you.

Federal Loan Options & Counseling

Federal Loan Management Resources

Other Loans

W&M Emergency Loan Program

An emergency loan is available for students to borrow funds from W&M for a period of 30 days without interest when financing from other sources can’t be secured. An emergency loan is available once a semester to students who, because of extenuating circumstances, cannot secure needed financing from other sources in a timely fashion. Please contact the Office of Student Affairs for more information.

Bar Study Loans

Bar Study Loans are available for study-related expenses that are not covered by federal student loan programs, such as bar exam course fees and deposits.

Perkins Loan

Perkins Loans were discontinued several years ago. If you had a Perkins Loan before Oct. 1, 2017, and this loan is still active/due, review the servicing information.

Resolving a Loan Default

Federal Requirement for Default Resolution

Federal regulations prohibit the awarding of additional federal student aid (FSA) to students who have defaulted on a federal student loan. However, you can regain eligibility for FSA by resolving the default status.

The U.S. Department of Education has established the following three methods to resolve a default status:

Repayment in full (including consolidation): You can resolve a default by repaying the loan in full.
Satisfactory repayment arrangements: You can regain eligibility on an FSA loan in default after making six consecutive, full, on- time, voluntary payments under a repayment arrangement that is satisfactory to the loan holder. You may regain eligibility under this option only one time.
Loan rehabilitation: Although you can regain eligibility for all FSA funds by making satisfactory repayment arrangements, the loan is still in default. After you make nine full, voluntary payments on time (no later than 20 days after the due date) within 10 consecutive months, the loan becomes eligible for rehabilitation.

After a default status has been resolved, sufficient documentation must be sent to the school indicating that you have regained federal aid eligibility. Per federal regulations, the documentation must show that each defaulted loan has been resolved in writing on the entity’s letterhead (or another format that ensures its origin) and dated.

Additional loan default information can be found at the U.S. Department of Education’s Federal Student Aid.

Reinstating Federal Aid after a Total Permanent Disability (TPD) Discharge

You can receive federal loans after getting a TPD discharge if you upload the following documentation to our secure Box portal:

Provide a letter from a doctor of medicine or doctor of osteopathy/osteopathic medicine stating that you are once again able to engage in substantial gainful activity.
Sign a statement acknowledging that you can't get a TPD discharge of the new loan based on a disabling condition you already have unless that condition significantly deteriorates in the future.