Federal Direct Stafford Student Loans

http://www.direct.ed.gov/student.html

Direct Stafford Loans are students loans that are offered to the student based on the grade level and the EFC. Students need to be enrolled at least half time and must be in good academic standing to receive a disbursement.

  1. Complete FAFSA with the U.S. Department of Education (DOE)
  2. DOE will access the information provided on the FAFSA and send the student a SAR (Student Aid Report) which needs to be carefully reviewed. The school would receive the EFC (Estimated Family Contribution) to be able to process the student’s eligibility for the available aid.
  3. The Financial Aid office would view the student’s eligibility and then an award would be posted for the students that have met all applicable requirements. Please view HU Net for your eligibility status or to see the outstanding requirements for your financial aid. You may also contact a counselor for eligibility requirements and your status. The student would need to accept the aid offered to them for procesing.
  4. Once loans have been accepted, the loan department would be able to originate the loans with the federal government. We would make sure the student is receiving the correct amount of the loan for their grade level based on the current number of earned hours and classification that the school has for the student; classification is determined by the number of earned hours a student has with the Office of the Registrar at Hampton University.
  5. All first time borrowers are required to Complete a Master Promissory Note (MPN) with Direct Loans and Entrance Counseling in order to release funds to Hampton University on the student’s behalf.
    • You are able to sign the promissory note online or request that a paper copy be mailed to you to complete and return. Students that have completed a promissory note with Direct Loans with another school would not need to complete a new promissory note as long as there was a disbursement made on the promissory note at that school and the promissory note is still active with the U.S. Department of Education.
    • Entrance Counseling is to ensure that students are aware of their rights and responsibilities as a borrower of a federal loan.
  6. Hampton University’s disbursement dates are generally scheduled every Tuesday and Thursday. After the funds have disbursed to the university, the student can view HU Net to see the disbursement and the new account balance. If the student is due a refund, The Office of Student Accounts would be able to now process that refund. It is the advice of this office that students sign up for E-Refund on HU Net to expedite the refund process. For further information on the E-Refund process, please contact the Business Office at 757-727-5661 or toll-free at 1-800-624-3327.
  7. All students that have borrowed federal student loans and either graduate or drop below half-time enrollment status are required to complete exit counseling. Exit Loan Counseling is to advise the student of their rights and responsibilities as a student borrower. This session will also provide the student with the repayment options that are available and options to avoid the loan going into default.
  8. If you need to make changes to your loan, we have forms available to increase due to classification change, increase, decrease, cancel, reinstate the loan and to request the additional unsubsidized Stafford loan due to the denied PLUS. Please use these forms when requesting changes to loans.