Kentucky Higher Education Student Loan Corporation
(KHESLC/Student Loan People)
loan is a Federal Stafford loan that is only available after students complete the
Free Application for Federal Student Aid (FAFSA),
which is available from financial aid offices at your school or online at www.fafsa.ed.gov.
This check will be sent in two equal installments (one for each semester) directly
to the school and students need to check with their institution to find out the
procedure for releasing this money. There is a possibility that your school may
hold your loan money until the end of the semester when your account is paid.
To qualify for any type of Stafford loan, including
KHESLC, students must meet certain eligibility requirements. Students
must be enrolled at least half-time and be seeking a degree at an eligible institution.
In addition, all applicants must also be in good standing and making satisfactory
academic progress if they are currently enrolled. Students cannot be in default
or owe a refund on any federal education grant or loan unless satisfactory arrangements
have been made to repay the outstanding debt.
There are two types of Stafford loans: subsidized and unsubsidized. Subsidized loans
are based upon financial need and do not require the student to pay any type of
interest payments while in school. Unsubsidized loans do require students to pay
interest monthly; however, these interest payments can be deferred until students
graduate. The interest rate on
KHESLC loans vary annually and they are capped at 8.25%. The amount of a
student’s loan may not exceed
the loan limits for an academic year based on the borrower’s dependency status and
grade level and the length of the program of study in which the borrower is enrolled.
The current loan limits are:
|Each Remaining Year of Undergraduate Study
|Each Year of Graduate or Professional Study
Note: Independent status typically refers to students who are at least 24, and/or
married, and/or have dependents living at their residence, and/or a veteran of the
U.S. Armed Forces, and/or working on a Masters or doctorate program, and/or an orphan
until age 18. Dependent status refers to almost everyone that does not meet the
independent status. If you do not know your status, contact your Financial Aid Office.
Important: Students interested in this program should contact the Student
Loan People to determine if they are eligible for a loan. Guidelines for the loan and
availability of funds are determined by the vendor and are not under the control of UPS
or Metropolitan College.
- Complete the Free Application for
Federal Student Aid (FAFSA)
- Answer Yes to the question, "Are you interested in Student Loans?"
- You will receive an award letter from your school's Financial Aid Office. If you
qualify for a KHESLC
loan, this paper will specify the amount for which you qualify as well as whether your
loan is subsidized or unsubsidized.
- You must sign and return the Award letter to the school to accept the financial
aid package. You must specify the Lender Code as 826688 on the Master
- After all necessary paperwork has been completed you will receive your loan in two
equal installments, one for the Fall semester and one for the Spring semester. NOTE: Disbursement dates are subject to guidelines established by the
**For more information on federal student loans or the student loan people, please
visit their website at http://www.studentloanpeople.com/