Financial Assistance

Type of Loans

Federal Loan Programs

Perkins Loan:

Based on financial need as determined by the Free Application for Federal Student Aid (FAFSA).  Loan amounts are subject to budget. (Most loans are between $1,000 and $3,000 per academic year.) Interest rate is 5% fixed.  Interest will not begin to accrue until repayment begins.

Repayment begins 9 months after the borrower is no longer enrolled at least half-time.  The loan has a 10-year repayment period.  There are no fees deducted from the loan.

Click here to see a sample repayment chart for the Perkins Loan.

Subsidized and Unsubsidized Stafford Loans:

Based on financial need as determined by the FAFSA.

The annual loan amount is based on the grade level of the student:

Maximum Annual Loan Limits Chart (Aggregate Loan Limits) - Subsidized and Unsubsidized Direct (DL) Stafford Loans

Year	Dependent	Independent	Graduate
First Year	$3,500 plus $2,000 in unsubsidized loans	$9,500 - No more than $3,500 of this amount may be in subsidized loans.	$20,500 - No more than $8,500 of this amount may be in subsidized loans.
Second Year	$4,500 plus $2,000 in unsubsidized loans	$10,500 - No more than $4,500 of this amount may be in subsidized loans.
Third and Beyond (each year)	$5,500 plus $2,000 in unsubsidized loans	$12,500 - No more than $5,500 of this amount may be in subsidized loans.
Maximum Total Debt from Stafford Loans when you graduate (aggregate loan limits)	$31,000 (maximum $23,000 subsidized)	$57,500 - No more than $23,000 of this amount may be in subsidized loans.	$138,500 - No more than $65,500 of this amount may be in subsidized loans. The graduate debt limit includes Stafford Loans received for undergraduate study.

Subsidized Stafford Loans:

Loans disbursed after July 1, 2011 will have a fixed interest rate of 3.4%. Interest will not begin to accrue until the borrower enters repayment. Repayment begins 6 months after the borrower is no longer enrolled at least half-time. The loan has a 10-year repayment period.

Direct Subsidized Stafford Loan - There will be a 1% Origination fee deducted from the loan.  The Federal Direct Loan Program also offers a 0.5% up-front interest rebate as a repayment incentive.  The total amount deducted from the loan disbursement amount would therefore be 0.5% (1% origination fee minus 0.5% rebate).  The borrower must make their first 12 required monthly payments on time to keep the up-front rebate.  If the borrower does not make their first 12 required payments on time the Direct Loan Servicer will add the rebate amount back to the principal balance of the loan.

Unsubsidized Stafford Loans:

The loan will have a fixed interest rate of 6.80%. Interest will begin to accrue when the loan is disbursed. Repayment begins 6 months after the borrower is no longer enrolled at least half-time. The loan has a 10-year repayment period.

Direct Unsubsidized Stafford Loan - There will be a 1% Origination fee deducted from the loan. The Federal Direct Loan Program also offers a 0.5% up-front interest rebate as a repayment incentive. The total amount deducted from the loan disbursement amount would therefore be 0.5% (1% origination fee minus 0.5% rebate). The borrower must make their first 12 required monthly payments on time to keep the up-front rebate. If the borrower does not make their first 12 required payments on time the Direct Loan Servicer will add the rebate amount back to the principal balance of the loan.

Stafford Loan Entrance Counseling:

Federal regulations require that first time Stafford Loan borrowers complete Loan Entrance Counseling prior to the loan being disbursed. You can link to the online Loan Entrance Counseling session online at http://seaver.pepperdine.edu/financialassistance/loans/loan-entrance.htm.

Stafford Loan Master Promissory Note:

The Stafford Loan Master Promissory Note (MPN) is the only time a student is required to complete a promissory note for the Stafford Loan. The MPN can be used for up to 10 years of borrowing for educational expenses. If no loan is funded within 12 months of the original borrower sign date, a new MPN will be required.

You can complete a Direct Stafford Loan MPN online at www.studentloans.gov.

Click here to use a repayment calculator for the Subsidized and Unsubsidized Stafford Loans.

PLUS Loan (Parent Loan for Undergraduate Students):

A completed FAFSA is required. This loan is for Dependent status students only. This loan is borrowed in the parent's name only. The loan is credit-based and the parent must have a satisfactory credit history.  The parent borrower can do an online credit check at www.studentloans.gov. The maximum annual amount is the Cost of Education minus other financial aid awarded. The Direct Loan has a fixed interest rate of 7.9%. Repayment begins immediately after the loan is fully disbursed. Deferment or forbearance of payments is available. The loan has a 10-year repayment period.

Direct PLUS Loan - There will be a 4% Origination fee deducted from the loan. The Federal Direct Loan Program also offers a 1.5% up-front interest rebate as a repayment incentive. The total amount deducted from the loan disbursement amount would therefore be 2.5% (4% origination fee minus 1.5% rebate). The borrower must make their first 12 required monthly payments on time to keep the up-front rebate. If the borrower does not make their first 12 required payments on time the Direct Loan Servicer will add the rebate amount back to the principal balance of the loan.

Click here to use a repayment calculator for the PLUS Loan.

If the parent is credit denied the PLUS Loan, we will mail information to the parent regarding Additional Unsubsidized Stafford Loan and Private Loan eligibility.

Institutional Loan Programs

Pepperdine University Restricted Loan (Weingart/PURL):

Eligibility is based on specific criteria set by Pepperdine University and the donor (for example, the student must be a California High School graduate).

You must be enrolled full-time status in order to receive the PURL Loan. If you drop below full-time status at any time during the semester your PURL Loan will be cancelled.

Award amounts may vary as determined by the Office of Financial Assistance.

Interest rate is 0%. The rate will remain at 0% as long as the borrower is not 120 days or more delinquent and is not in default on the loan.

Repayment typically begins 6 months after the student officially graduates and/or is  enrolled at less than half-time status. The loan cannot be deferred for graduate school purposes, unless the student is enrolled in a Pepperdine graduate program.

The repayment period is not to exceed 10 years, but may be less than 10 years, based on the loan balance as determined by Pepperdine University.

The loan has no fees.

Click here to see a sample repayment chart for the PURL Loan.

Private Loan Programs

Private educational loans are offered by private lenders. You should exhaust your federal loan eligibility before borrowing a private loan.

Click here for additional information on private educational loans.