Federal Loans Types

U.S. Federal Loans are available to qualifying degree-seeking students through the Office of Academic Affairs in New York.

For complete information regarding federal loans please refer to the Federal Student Aid Program with the Department of Education.

AVAILABLE FEDERAL LOAN PROGRAMS

• Stafford Subsidized Loan
  • Need based, with a current limit of $8,500 per year for full-time students.
• Stafford Unsubsidized Loans
  • Not need based, with a current limit of $12,000 per year of full-time students.
• Supplemental or Private Loans
  • Most of our students do not require supplemental loans, such as PLUS and Signature. However, eligible U.S. students may choose to apply for this type of loans with the approval of the Office of Academic Affairs.

For your convenience TAU has partnered with Sallie Mae Servicing to provide loans to qualifying students. To apply with Sallie Mae for student loans please visit their TAU webpage.

ELIGIBILITY REQUIREMENTS

To qualify according to US Federal Aid guidelines, a student must:

• Be a U.S. citizen or U.S. permanent resident
• Have a valid Social Security Number
• Be enrolled in a full-degree program at Tel Aviv University (study-abroad students do not qualify)
• Be enrolled at least half time (a minimum of six credits per semester)
• Meet satisfactory academic progress
• Comply with Selective Service Registration, if required
• Must not be in default on a federal student loan or owe payment on a federal student grant
• Be below the aggregate borrowing limit ($65,500 Base Stafford Loans for graduate students)

APPLICATION & RENEWAL

• If you are a first-time borrower, applying for federal aid is a two-step process.
  1. File the FAFSA (Free Application for Federal Student Aid) at www.fafsa.ed.gov. The information you report is used to determine your eligibility for subsidized and unsubsidized Stafford loans.
  2. Choose a lender to service your loans and complete the MPN (Master Promissory Note). Your loans cannot be approved, disbursed, or adjusted until you complete this step. Note that TAU is currently set up for electronic transmission (e-MPN) with only Sallie Mae Servicing. Students may either visit Sallie Mae’s website and apply online or complete a paper MPN and mail it to the office in New York. If you are filling out a paper MPN do not send the application directly to the lender. You must send it back to the Office of Academic Affairs for certification.
  3. Go to Mapping Your Future at www.mappingyourfuture.org to fill out a mandatory loan entrance course. It is a 20 minute process and is required for first-time borrowers.
• If you have borrowed Stafford loans before and wish to continue receiving federal aid, you must file a Renewal FAFSA at www.fafsa.ed.gov before the start of each academic year. You will also have to re-submit an MPN to the OAA each academic year.
• All students must enclose a note indicating their requested loan amount, which may not exceed the following: annual limit amount, aggregate limit amount and program Cost of Attendance, whichever is lowest.
• All students are required to submit a signed Limited Power of Attorney to The Office of Academic Affairs along with the materials listed above. Again, non-OSP students must also enclose a copy of their acceptance letter/Enrollment Verification and a detailed cost of attendance.

CHOOSING A LENDER

We encourage students to research various lenders, such as Citibank, NorthStar, or Access Group. Check with each lender for their benefits and repayment terms. If you decide on a specific lender, please be sure to indicate it on your MPN. Otherwise, Tel Aviv University will process any requested loans with Sallie Mae Servicing.

DISBURSEMENT/REPAYMENT

Loan disbursements are made to Tel Aviv University. If you have an outstanding balance with Tel Aviv University at the time of disbursement, your loan funds will be used to pay your debt first. A reimbursement for the remainder, if any, will be sent to your permanent address in the U.S. within approximately 2 weeks. To facilitate this process, students are required to submit to the OAA a signed Limited Power Attorney, as described above.

Transfer of funds to any bank account is also possible. Student must provide the bank account number, swift code (routing number) and the bank name and address. There is a $40.00 fee for this service which will be deducted from the disbursement amount.

For repayment guidelines please refer to the information provided by your lender or by the U.S. Department of Education.