Carl Sandburg College evaluates all requests for federal direct student loans on a case-by-case basis as authorized under 34 CFR 685.301(a)(7) of the Higher Education Act. Federal regulations allow an institution to refuse to certify a student loan or certify a loan amount that is less than the student’s determination of need. Students will be notified in writing of the decision. Each loan request will be reviewed by the Financial Aid Appeals Committee to determine if borrowing is prudent. Items considered include but are not limited to: previous educational debt, educational debt to educational goals, and progress toward degree completion.
Students may be approved for less than the federal maximum by term or year, as specified by the committee:
- Based on hours in the academic program, a freshman may be eligible to borrow up to $3,500; a sophomore may be eligible to borrow up to $4,500 per academic year.
- Eligibility for Federal Loans is calculated by subtracting eligible aid (grants, scholarships, sponsorships, etc.) from the calculated student budget based on enrollment. This can limit the amount of Federal Loan and private loan eligibility.
- As required by the One Big Beautiful Bill Act, federal direct student loans must be prorated in direct proportion to the percent of full-time status the student is enrolled. Additionally, loan adjustments will be required during the academic year if a student drops or withdraws from courses.
- To estimate your monthly repayment amount, visit the Department of Education site: Repayment Options.
- For further information about Federal Loans, please go to Managing Student Loan Debt.