Loans

The Office of Student Financial Aid administers a number of loan programs designed to assist students in pursuing their course of study.

The personnel in the Office of Student Financial Aid are available as financial advisors to all students whether or not they are qualified to borrow from one of the university's student loan funds. Through interviews and realistic examination of expenses and income, students often discover that borrowing is only one of the possible solutions to financial problems.

Student loans are intended to assist qualified students in meeting financial difficulties. Loans for school and school-related expenses are made to aid students who have maintained satisfactory progress and whose needs can't be fulfilled in any other manner.

Student loans are administered on a strictly business-like basis in an effort to provide borrowers with an educational experience in finances as well as to insure the continuance of existing loan funds through prompt repayment. Loan funds administered by Texas Tech vary somewhat in qualifications required, amounts which may be borrowed, and terms of repayment. Specific details concerning each loan fund may be obtained from the persons or offices listed under the brief descriptions which follow.

Long-Term Loans

Texas Tech participates in several low-interest, long-term loans sponsored by the federal and state governments. Applicants for all loans must complete the FAFSA as part of the application process. The FAFSA may be obtained from high school counselors or the Office of Student Financial Aid. Instructions for completing and submitting the statement are included with the form. Although there are no deadlines for submitting applications, they should be completed not later than June 1 for full consideration for the coming academic year.

General requirements for loans stipulate that the student must be accepted for enrollment or, if a continuing student, must be maintaining satisfactory progress; must not be in default on any loan made from a student loan fund at any institution; must not owe a refund on any grant previously received; and student must attend loan counseling before receiving first check.

Federal Family Educational Loan Program

Federal Stafford Loan

The Stafford Loan is designed for undergraduate and graduate students enrolled in good standing or accepted for enrollment for at least one-half the normal course load. The student must secure the loan from a savings and loan association, credit union, or other commercial lender who participates in the program. There are two kinds of Stafford Loans: subsidized, which is based on financial need; and unsubsidized, which does not depend on financial need. It is possible for students to qualify for either kind of loan or for a combination of the two.

First-year undergraduate students may borrow up to $2,625 an academic year; $3,500 for second year of study; $5,500 a year for students who have completed two years of study and have achieved third-year status. A graduate student may borrow up to $8,500 per academic year.

If you are an independent undergraduate you can borrow up to $6,625 as a first year student; $7,500 as a second year student (at least $4,000 of this amount must be an unsubsidized loan); $10,500 if you have completed two years of study (at least $5,000 of this amount must be an unsubsidized loan).

If you are a graduate student, you can borrow up to $18,500 a year (at least $10,000 of this amount must be an unsubsidized loan). The amounts given are the maximums students can borrow. Students may not borrow more than the cost of education minus any other financial aid received.

The total Federal Stafford Loan debt a student can have outstanding as a dependent undergraduate is $23,000; as an independent undergraduate, $46,000. The total debt allowed for graduate or professional study is $138,500 ($65,500 in subsidized loans and $73,000 in unsubsidized). The graduate debt limit includes any Federal Stafford Loans a student received as an undergraduate.

You cannot borrow more than the cost of education. If you have no outstanding Federal loans, your interest rate will be variable, but not higher than 9 percent. Students can get a loan regardless of income, but the Federal Government pays interest only on need-based loans. On unsubsidized Federal Stafford Loans you are responsible for the interest during in-school and deferment periods; there will be an origination fee and insurance fee deducted proportionately from each disbursement. Repayment will begin 6 months after you graduate, leave school, or drop below half-time enrollment.

Applications may be secured from the Office of Student Financial Aid or the lending institution; however, all applications must be processed through the Office of Student Financial Aid.

Applicants should make arrangements with the participating lender before applying for this loan or contact the Student Financial Aid Office about a lender.

Federal Parent Loan Program (PLUS)

Federal Parent Loans are for parents with good credit histories. They may apply for a loan for each dependent child who is enrolled at least half-time. For PLUS loans first disbursed on or after July 1, 1993, the annual loan limit is the student's cost of education minus any estimated financial aid received. The interest rates will be variable but not higher than 10 percent. An origination fee of 3 percent of the principle will be deducted proportionately from each disbursement. The lender must send the loan proceeds to school made copayable to the school and parent. Borrowers generally must make their first payment within 60 days after the final loan disbursement.

Federal Perkins Loan (Formerly
National Direct Student Loan)

To be eligible for the Perkins Loan, a student must be a citizen or permanent resident of the United States enrolled and in good standing on at least a half-time basis and must have demonstrated financial need as determined by the FAFSA. In addition, the student must not owe a refund on a Pell Grant, a Supplemental Grant, or a State Student Incentive Grant and must not be in default on a Guaranteed Student Loan or a National Direct Student Loan at any institution.

You can borrow up to $3,000 for each year of undergraduate study. The total debt you can have outstanding as an undergraduate is $15,000. As a graduate or professional student you may borrow up to $5,000 for each year but the total debt you can have outstanding is $30,000. (This includes any Perkins Loan borrowed as an undergraduate.) In no case, however, may a student receive a loan in an amount which exceeds the demonstrated financial need.

The program provides for cancellation of interest and indebtedness for full-time teachers in designated public or nonprofit elementary or secondary schools, full-time teachers of handicapped children, full-time staff members employed in Head Start programs, members of the armed services in an area qualifying for special pay, as well as death or total and permanent disability.

The Perkins Loan carries a simple interest rate of 5 percent which begins to accrue at the time of repayment. You have a grace period of 9 months after you graduate, leave school, or drop below half-time enrollment before repayment begins. Your payments will be at least $40 a month and you may be allowed up to 10 years to repay depending on the size of your debt.

The program was established under the National Defense Education Act of 1958 and is funded by the federal government and Texas Tech University.

Hinson-Hazlewood College Loan
Program (HHCSLP)

The HHCSLP includes several types of loans. Students receiving loans through any program must be eligible to pay Texas resident tuition rates. Applications are the same as from other lenders.

College Access Loan (CALA Hinson-Hazlewood Loan)

This loan was created primarily to help families who were excluded from the federal Guaranteed Student Loan Program. Repayment does not begin until six months after you cease to be enrolled at least half-time. Borrower pays a simple, fixed interest rate throughout the life of the loan, interest is not capitalized, interest will accrue while you are enrolled in college. Promissory notes must be co-signed, and the credit worthiness of cosigners will be investigated. The application is available at the Financial Aid Office. The maximum loan is $7,500 per academic year. Must be a half-time student and eligible to pay Texas resident tuition. This loan is subject to availability of funds.

Short-Term Loans

In addition to the long-term, government-sponsored loans, described above, Texas Tech administers several low-interest, short-term loans. Eligibility for these loans as well as rates of interest and repayment plans differ with each loan. Most require a minimum grade-point average and some may require a cosigner. Interest rates vary from 4 percent to 6 percent simple interest on the unpaid balance. Most of these loans must be repaid in the semester in which they are made or within 6 months. Because of the varying particulars, these loans are not approved until after the student has paid tuition and fees due to the university. Each requires a personal interview with a financial aid advisor. Applications are available at the Office of Student Financial Aid.

NOTE: Except in very unusual circumstances, a student will not be approved for an additional loan until all previous short-term loans have been repaid.

Listed below are the names of the various loans, the donors, and the persons for whom the programs were established.

Abdi Abdushah Student Loan Fund
For students of all classifications and majors. Maximum loan is $50 and interest is 5 percent.
Established by the Department of Political Science and friends as a memorial to the late Dr. Abdi Abdushah, an esteemed colleague and teacher, who died September 4, 1971.

Agriculture Club Loan Fund
For students in the College of Agricultural Sciences and Natural Resources for use in emergency situations. Maximum loan is $500 and interest is 5 percent.
Established by the Texas Tech Agriculture Club.

Robert K. Allen Loan Fund
For students enrolled in the College of Agricultural Sciences and Natural Resources. Maximum loan is $500 and interest is 5 percent.
Established by Robert K. Allen, an alumnus of Texas Tech. Administered by Dean, College of Agricultural Sciences and Natural Resources.

American Society of Civil
Engineers Loan Fund
Established by various donors for Civil Engineering Scholarship Committee. Maximum loan is $1,000 and interest is 0 percent.

American Society of Mechanical
Engineers Loan Fund
For engineering students with a minimum 2.0 GPA. Maximum loan is $400 and interest is 4 percent.
Established by the American Society of Mechanical Engineers.

Army ROTC Emergency Loan Fund
Established by General Ross Ayers for Army ROTC students requiring a short term loan for the payment of tuition, fees, books or any academic purpose. Maximum loan amount will be determined by the Army ROTC Department Scholarship Committee. Interest is 4 percent.

Senator William H. Bledsoe
Loan Fund
For residents of Bledsoe Hallmust be full-time students, 18 years or older, with a minimum 2.0 GPA. Maximum loan is $25 (no interest).
Established in honor of Senator William H. Bledsoe by the Bledsoe Hall Association.

Brown Memorial Trust
Student Loan Fund
For students progressing successfully toward graduation. Maximum loan is $500 (no interest).
Established by the Brown Memorial Trust, a division of the T. J. Brown and C. A. Lupton Foundation, Inc., of Fort Worth, Texas.

Nell Burdett Men's Student
Loan Fund
For male students with a minimum 2.0 overall GPA. Classification and major are unrestricted. Maximum loan is $100 and interest is 5 percent.
Established by the Nell Burdett Estate.

Opal and Robert Caviness
Student Loan
For human sciences majors in good standing. Maximum loan is $100 and interest is 5 percent.
Established by family and friends in honor of Mr. and Mrs. Robert Caviness.

Solon and Lena Clements
Memorial Loan Fund
For junior, senior, and graduate students with an overall 2.0 GPA. Maximum loan is $500 and interest is 6 percent.
Established by friends and relatives of Mr. and Mrs. Solon Clements.

Marguerite Fischer Cole
Loan Fund
For students working part- or full-time while attending school. Maximum loan is $250 and interest is 8 percent.
Established by the estate of William Conner Cole.

Dean of Student Life
Special Loan Fund
For students with exceptionally high moral character who, for some acceptable reason other than poor grades, do not qualify for loans from any other loan fund. Maximum loan is $500 and interest is 4 percent.
The principal donor is Roy Furr.

Engineering Society Loan Fund
For engineering students with a 2.0 GPA, and at least two semesters in engineering. Maximum loan is $500 and interest is 5 percent.
Established by the Engineering Society.

Ex-Students Association
Loan Fund
For junior, senior, and graduate students who have completed most of their undergraduate work at Texas Tech. Must have minimum of 2.0 GPA, exhibit good citizenship, and not be on disciplinary or scholastic probation. Maximum loan is $200 and interest is 4 percent.
Established by the Texas Tech Ex-Students Association.

Garvey Student Loan Fund
For students within one year of graduating or completing a graduate program. Must be enrolled full-time, be in good standing, have a minimum 2.0 GPA, and not be on probation. Maximum loan is $500 per semester and interest is 4 percent.
Established by James S. Garvey of Fort Worth, Texas.

W. T. Gaston Memorial Loan Fund
For residents of Gaston Hall. Minimum 2.0 GPA is required. Maximum loan is $100 and interest is 4 percent.
Established in memory of Mr. W. T. Gaston by his family and friends.

Robert A. Gerner
Memorial Loan Fund
For undergraduates in the College of Business Administration who have completed at least one semester. Maximum loan is $500; interest is 6 percent and must be repaid during the semester borrowed.
Established as a memorial to Mr. Robert A. Gerner, a Texas Tech College of Business Administration graduate.

Gordon Hall Emergency Loan Fund
For residents of Gordon Hall. Maximum loan is $25 (no interest).
Established by the Gordon Hall Association.

Gulf Oil Corporation Student Loan
For junior, senior, and graduate students with no more than two years remaining in their degree programs.
Established by the Gulf Oil Corporation Foundation.

Merle E. Hagerman
Student Loan Fund
For all students with 2.0 GPAs. Maximum loan is $100 and interest is 4 percent.
Established by Mrs. Jessie E. Thorp for Mr. and Mrs. L. B. Hagerman estate.

R. J. Hall Student Loan Fund
For undergraduates who have completed at least one-half a semester at Texas Tech. Maximum loan is $400 and interest is 4 percent.
Established by the late Dr. R. J. Hall of Lubbock.

Interfraternity Council
Emergency Loan Fund
For active members of a fraternity at Texas Tech. Maximum loan is $100 and interest is 4 percent.
Established by the Interfraternity Council.

International Student
Emergency Loan Fund
For students who are not citizens or permanent residents of the United States of America and who have nonimmigrant visas. Established through donations by organizations who invite international students to speak to their groups. Administered by Student Financial Aid Office and the Director of International Student Services. Loan must be recommended by Director of International Student Services. Maximum loan is $150 and interest is 5 percent.

R. A. Jeffries Jr. Memorial
Student Loan Fund
For students from the West Texas area who are enrolled full-time. Minimum 2.0 GPA is required. Maximum loan is $500 and interest is 4 percent.
Established by Mr. and Mrs. R. A. Jeffries of Hale Center, Texas, as a memorial to their son, R. A. Jeffries Jr. a 1941 graduate of Texas Tech who was killed in action during World War II.

Major Donald E. Johnson
Memorial Loan Fund
For Air Force ROTC students fully enrolled in the professional officer course. Minimum 2.0 GPA is required. Maximum loan is $250 and interest is 4 percent.
Established by Texas Tech Air Force officers and graduates and the Air Force Institute of Technology as a memorial to the late Major Donald E. Johnson, former Air Force Institute of Technology student who died of cancer while enrolled at Texas Tech in the spring of 1963. Administered by Student Financial Aid Office and Texas Tech Air Force Assistance Board.

Judge Marvin Jones
Student Loan Fund
For worthy students attending Texas Tech School of Law. Maximum of $500 (no interest).
Established by Judge Marvin Jones, U.S. Court of Claims, Washington, D.C.

R. Vernon Jones
Memorial Loan Fund
For junior, senior, or graduate students in chemical engineering. Applicant must furnish letter certifying a major in chemical engineering. Minimum 2.5 GPA is required. Maximum loan is $150 (no interest).
Established by Mrs. R. Vernon Jones, family and friends, in memory of R. Vernon Jones.

Kiwanis Foreign Student Loan
For foreign students who are not permanent residents of the U.S. Minimum 2.0 GPA is required. Maximum loan is $100 and interest is 4 percent.
Established by the Kiwanis Club of Lubbock.

George Langford Memorial
Loan Fund for Athletes
For athletes who participate in Southwest Athletic Conference sports. Maximum loan is $600 and interest is 4 percent.
Established by Mrs. Johnnye G. Langford as a memorial to her husband, George Langford.

Johnnye Gilkerson Langford
Student Loan Fund
For women students in health, physical education, recreation, and dance. Maximum loan is $500 and interest is 5 percent.
Established by Mrs. George (Johnnye) Langford.

Minta Ellis Maedgen Loan Fund
For students with an overall 2.0 GPA enrolled in drama. Recommendation is required from the Director of Theatre Arts. Maximum loan is $500 and interest is 6 percent.
Established by Charles E. Maedgen in memory of his mother, Minta Ellis Maedgen.

Betty V. Massey Loan Fund
For any student in good academic standing. Maximum loan is $300 and interest is 6 percent.

William D. Miller Geoscience
Memorial Loan Fund
For graduate students in geosciences. Amount of loan is determined by a committee appointed by the Chairperson, Department of Geosciences. Interest is 4 percent.

Judge Pat Moore Loan Fund
For students enrolled in the Texas Tech School of Law. Maximum loan is $200 (no interest).
Established by the Altrusa Club of Lubbock in memory of Judge Pat Moore.

Mrs. Harry Morris Foreign
Student Loan Fund
For international students enrolled at Tech. Maximum of $250 and interest is 4 percent.
Established by Harry Morris of Lubbock.

George T. Morrow
Student Loan Fund
For junior, senior, and graduate students. Maximum loan is $500 per semester and interest is 4 percent.
Established by the late George T. Morrow, prominent Lubbock businessman.

Panhellenic Emergency Loan Fund
For initiated members of a national social sorority at Texas Tech who are enrolled as full-time students.
Established by Texas Tech University Panhellenic Council. Maximum loan is $200 and interest is 5 percent.

Marshall L. Pennington
Student Loan Fund
For residents of Texas Tech residence halls of any classification who have lived in a hall for a full semester and are currently living in a Texas Tech residence hall. Recipients must have at least a 2.0 GPA. Maximum loan is $200 and interest is 5 percent.
Established by the Women's Residence Council in honor of Marshall L. Pennington, former Vice President for Business Affairs, for his assistance, support, and devotion to the annual Carol of Lights and the women's residence hall program.

Jewel Peters Emergency Loan Fund
For any student enrolled at least half time. Maximum loan is $150 and interest is 5 percent.
Established by the estate of Jewel Peters.

Petroleum Industry Electrical
Association Student Assistance Fund
For junior and above electrical engineering majors. Maximum loan is $1,500 (no interest).
Established by the Petroleum Industry Electrical Association.

Men's Residence Halls
Association Loan Fund
For students who have lived in a residence hall one semester and who are living in a residence hall when borrowing. Minimum 2.0 GPA is required. Loan is not available during summer months. Maximum loan is $200 and interest is 5 percent.
Established by Texas Tech University Men's Residence Council.

Perry E. Roddy Loan Fund
For students who have completed at least one-half a semester at the university and who are preparing for work in some area of mental health. Maximum loan is $500 and interest is 4 percent.
Established by the Lubbock County Association for Mental Health.

Senior Class of 1964
Student Loan Fund
For seniors within two semesters of graduation. Minimum 2.0 GPA is required. Maximum loan is $100 and interest ranges from 0 to 6 percent.
Established by donations of the members of the graduating class of 1964 from their General Property Deposit refunds.

Sneed Hall Loan Fund
For Sneed Hall residents. Maximum loan is $25 (no interest).
Established by Sneed Hall Association.

Sid F. Spear Journalism Loan Fund
For needy high school honor graduates entering Texas Tech and other students with at least a 2.5 GPA majoring in journalism. Maximum loan is $500 and interest is 6 percent. Must be U.S. citizen.
Established by Sid F. Spear.

Student Emergency Loan Fund
For students who have completed at least one-half of a semester at the university. Maximum loan is $100 and interest is 5 percent.
Established by the Hemphill-Wells Company of Lubbock.

Student Payroll Advance Loan Fund
For students employed part-time who desire an advance for time they worked prior to payment of compensation. Approximate number of hours worked and wage scale must be supplied by student. Maximum loan is $100 and interest ranges from 0 to 1 percent.
Established by Seymour V. Connor.

Student Travel Advance
For students on authorized university travel. Maximum loan is $500 and interest ranges from 0 to 12 percent.

Tech Orchestra Loan Fund
For members of the Texas Tech Symphony Orchestra enrolled at Texas Tech for at least two semesters. Maximum loan is $500 and interest ranges from 0 to 10 percent.
Established by the Texas Tech Symphony Orchestra through donations received for performances. Administered by Student Financial Aid Office and the Director of the Texas Tech Symphony Orchestra.

Texas Pest Control Association Student Memorial Loan Fund
For entomology majors. Available any semester of enrollment. Short term (90 day) loans of up to $200 are available with no interest charge.

Jessie and Dan Thornton
Student Loan Fund
For students in need who are in good academic standing. A cosigner may be required and payment must begin within four months of the loan date. Maximum loan is $300 (no interest).
Established from the Jessie and Dan Thornton Student Research Development Fund which was made possible through the Estate of Jessie W. Thornton.

Margaret W. Weeks Loan Fund
For human sciences students. Maximum loan is $500 and interest is 5 percent.
Established by the Home Economics Club during Texas Tech's first year of operation. Approval required by Dean, College of Human Sciences.

Kathryn Sowder Whatley
Loan Fund
For entering freshmen, transfer students, or sophomores. Maximum loan is $400 and interest is 4 percent.
Established by the late Mrs. Eppie Sowder of Lubbock, in memory of her daughter, Kathryn Sowder Whatley.

Dutch Wiginton
Memorial Loan Fund
For athletes who participate in a Big Twelve sport. Applicant must have a letter of recommendation from applicant's coach or other designated representative of the athletic department. Maximum loan is $300 and interest is 4 percent.
Established as a memorial by friends of the late "Dutch" Wiginton.

Women's Loan Fund
For women with a 2.25 overall GPA (C average for entering freshmen). Maximum loan is $150 and interest is 3 percent.
Established by the Women Students.