Federal Loans

Direct Stafford Loan
There are two types of Direct Stafford Loan, subsidized and unsubsidized. The Office of Financial Aid Services will determine which type of loan you are eligible to receive based on federal guidelines. Award amounts are determined by the number of credits you have earned. All Direct Loans have a six month grace period.
FRESHMAN       (0 - 29.9 earned credits) =  $3,500/year and the maximum level for Diploma Programs

SOPHOMORE   (> 29.9 earned credits)  =  $4,500/year  

Direct SUBSIDIZED Stafford Loan
  • Is awarded on the basis of financial need
  • Interest is paid for by the federal government while the student is enrolled in school
  • The interest rates are shown:
 Made on or after  And made before
 July 1, 2011  July 1, 2012  3.4%
 July 1, 2012  July 1, 2013  3.4%
 July 1, 2013  July 1, 2014  3.9%

Direct UNSUBSIDIZED Stafford Loan
  • Is NOT awarded on the basis of need,
  • Interest is charged and accrues from the time the loan is disbursed until it is paid in full.
  • Has a fixed interest rate of 3.9%
  • INDEPENDENT STUDENTS may be eligible for up to an additional $6,000 in Direct Unsubsidized Stafford Loan funds and DEPENDENT STUDENTS an additional $2,000.

Students enrolled for a single term may receive up to half of their yearly loan eligibility. Students who receive loans at a prior college in the same aid year could have their loans reduced at HACC.

Loan Proration
Per federal regulation, we must prorate the loan amounts of graduates who are attending only one term of an academic year. Please be aware that this federal regulation may affect the eligibility amount of your subsidized and/or unsubsidized Federal Direct Stafford Loan. Prorating limits the amount of subsidized/unsubsidized loan a student who is graduating can borrow. We also pro-rate loans for students enrolled in Diploma programs that are less than 24 credits per federal regulation.

Direct PLUS Loan
Parents of a dependent undergraduate student are eligible to apply for a PLUS Loan. To be considered for a Direct PLUS Loan, a FAFSA  must be filed with both student and parent information. In addition . . .
  • Parents of dependent students must also complete the Parent PLUS Request Form  (pdf) and submit it to the Office of Financial Aid Services at the campus the student attends.
  • Clock Hour Loans
  • The PLUS Loan has a fixed interest rate of 7.9%
  • Eligibility for a PLUS Loan depends on a credit check.
  • Students whose parents are denied a Direct PLUS Loan may be eligible to borrow an additional $4,000 DIRECT UNSUBSIDIZED STAFFORD LOAN.

Clock Hour Loans
Practical Nuring, Massage Therapy and Police Academy are considered to be "clock hour" programs and loan and pell grant calculations are performed differently from credit programs.