Financing a college education may be challenging. We offer Home Equity Credit Line & Loans, in addition to other financing possibilities that help to put the focus on education and not the finances.
People's United Bank has partnered with the Connecticut Student Loan Foundation (CSLF), a national provider of higher education loans, to provide our members with federal student loans.
There are three fixed rate loan options: Stafford Loans, Parent PLUS Loans and Grad PLUS loans. Student loans through CSLF have special rate reductions and incentives. See each loan type below for details.
By obtaining a CSLF application from People's United Bank, your application will be sent directly to CSLF for quick and efficient processing. Applications are processed under CSLF's lender code (828614) and most decisions are made within 24 hours.
Two types of Stafford Loans are offered: subsidized and unsubsidized.
- On a subsidized loan, the federal government pays the
interest while the student is in school, during the six month grace period and authorized periods of deferment.
- With an unsubsidized loan, the student is responsible for the interest, which can be paid as it accrues or capitalized (added to the principal).
Limits: Stafford Loans have new limits effective July 1, 2008.
- Dependent undergraduate students can borrow up to $5,500 for first year, $6,500 for second year and $7,500 for third year or greater.
- Independent undergraduate students, or dependent undergraduates whose parents do not qualify for a PLUS loan, can borrow up to $9,500 for first year, $10,500 for second year, and $12,500 for third year or greater.
- Graduate/professional students can borrow up to $20,500 per year.
- Cumulative combined total Stafford Loan (subsidized and unsubsidized) limits are $31,000 for dependent undergraduates, $57,500 for independent undergraduates and $138,500 for graduate/professional.
Benefits:
- Receive a 0.25% interest rate reduction during repayment by making payments through automatic debit.
Apply Now:
Click here!
A Federal PLUS Loan is a low interest, fixed rate loan for parents offered through the Federal Family Education Loan Program. Parents can apply for the loan on behalf of their dependent undergraduate student. PLUS Loans have a fixed interest rate and repayment begins within 60 days after the loan has been fully disbursed.
In order to obtain a PLUS loan, parents must pass a credit test or obtain an endorser who is able to pass the credit test. The annual limit on a PLUS Loan is equal to the student's cost of attendance minus other financial aid. Parents can borrow for multiple children in the same year.
- Disbursements: Disbursements are made to the school either by Electronic Funds Transfer (EFT) or by check made co-payable to the borrower and the school. The funds may be credited to the student's account, paid to the borrower or a combination of both.
- Repayment: Repayment begins within 60 days of when the loan has been fully disbursed, however interest is charged on the loan from the date of the first disbursement until the loan is paid in full. Once you enter repayment, you will be notified of your repayment terms and provided with information about deferments and forbearance (temporary cessation or reduction of payments) that you can request in special circumstances.
Benefits:
- Receive a 0.25% interest rate reduction during repayment by making payments through automatic debit.
- Defer your payments while your student is in school on at least a half-time basis.
Apply Now:
Click here!
The Federal PLUS Loan program, which has been reserved exclusively for parent of dependent undergraduate students in prior years, is now available to graduate and professional students - offering a sensible alternative to higher rate private loans. The Grad PLUS Loan has a fixed interest rate and repayment begins within 60 days after the loan has been fully disbursed.
In order to obtain a Grad PLUS loan, you must file a FAFSA and pass a credit test or obtain an endorser who is able to pass the credit test. The annual limit on a PLUS Loan is equal to the student's cost of attendance minus other financial aid.
- Disbursements: Disbursements are made to the school either by Electronic Funds Transfer (EFT) or by check made co-payable to the borrower and the school. The funds may be credited to the student's account, paid to the borrower or a combination of both.
- Repayment: Repayment begins within 60 days of when the loan has been fully disbursed, however interest is charged on the loan from the date of the first disbursement until the loan is paid in full. Once you enter repayment, you will be notified of your repayment terms and provided with information about deferments and forbearance (temporary cessation or reduction of payments) that you can request in special circumstances.
Benefits:
- Receive a 0.25% interest rate reduction during repayment by making payments through automatic debit.
- Defer your payments while you are in school on at least a half-time basis.
Apply Now:
Click here!
Equal Housing Lender
