Loans

Loans

Student loans are an option to help pay for your educational costs. The first step in getting federal student aid is to complete the Free Application for Federal Student Aid (FAFSA).

The loans that have been offered to you will be in your ConnectCarolina Student Center. To assist in your borrowing decisions, you can also use the cumulative borrowing page in your Student Center to keep track of previous loans you have borrowed. You should consider your financial needs and make well-considered decisions about student debt. Please budget carefully and borrow only what you need to be successful. You can find information about types of loans, and how to take action to receive offered loans below in the loan guide section!

Video: Taking Action On Loans

To borrow loans, you will need to take action to accept, and if needed, reduce the amount you wish to borrow. You will be able to take action on loan offers after 4/15 in your ConnectCarolina Student Center. To learn more about taking action on loans, you can view a helpful video by clicking the button.

Guide: Taking Action On Loans

To borrow loans, you will need to take action to accept, and if needed, reduce the amount you wish to borrow. You will be able to take action on loan offers after 4/15 in your ConnectCarolina Student Center. To learn more about taking action on loans, you can view a helpful video by clicking the button.

Federal Loan Origination Fee Calculator

Want to know how much to borrow after federal loan origination fees? Curious about the amount that will be applied to your bill after the origination fee? Use our loan fee calculator to estimate.

Loan Guide

Federal Subsidized and Unsubsidized Loans are available to help cover the educational cost of attendance.

  • Federal Subsidized Loans are offered based on financial need. Interest on a subsidized loan is deferred as long as you are enrolled at least half-time.
  • Federal Unsubsidized Loans are offered if you do not show financial need, or if you find you need additional loan funding to help in covering cost of attendance. If you have room in your cost of attendance budget, these additional loans can be requested by completing the unsubsidized loan request form on our forms page. Interest will begin to accrue on a Federal Unsubsidized Loan once you receive it. 

Interest rates vary depending on when the loan is disbursed. Visit the Federal Student Aid Website for the most up to date interest rates and fees.

Once you decide to borrow money, you will have the option to accept, reduce or decline offered loan amounts. To receive your loans, you will need to complete loan requirements, such as loan entrance counseling and signing of a master promissory note. If you need to complete loan requirements, they will appear on your To Do list in your ConnectCarolina Student Center after you have accepted one or more loans.

Taking Action on Loans

Completing Entrance Counseling/Promissory Notes

UNC Loans are based on financial need and administered by the University. If you complete a FAFSA and are found eligible, a UNC Loan may be offered as part of your overall financial aid package.

Interest rates are fixed at 5%, and interest is deferred as long as you are enrolled at least half-time. UNC Loans are repaid to ECSI, the loan servicer.

Once you decide to borrow money, you will have the option to accept, decline or adjust your offered loan amounts. To receive your institutional loan, you will need to complete a promissory note on the ECSI website. Any loan requirements you need to meet will appear on your To Do list in your ConnectCarolina Student Center.

Taking Action on Loans

Completing Promissory Notes

Within a few days of accepting your loan in ConnectCarolina, you should get an email from ECSI with login information and a PIN number to help you complete this task.

The University Cashier’s Office handles ECSI promissory note issues. Visit their website for a step-by-step guide on these topics.

Once your electronic promissory note is complete, it will take at least five business days for the loan to disburse.

Federal Parent Plus loans may be available for you. See our Parent Guide.

Private student loans are credit-based, non-federal student loans.

Although you may choose to borrow private loans, each student must choose the loan that best suits their individual situation. You can research private education loan lenders to determine if a private loan is best for you by using our database (called ELMSelect) of lenders UNC Chapel Hill students have used in the past.

Factors to consider when choosing a private loan

Amount of loan debt
Timeline for repayment. Is it possible for you to repay the loan quicker than the standard 10-year repayment period?
Best interest rate. Keep in mind that the Prime Rate will not always be as low as it is currently.
Your credit score and, if applicable, a co-signer’s credit score. Better credit often means better loan terms, such as borrower protections.

 

repayment information

Borrowed loans require repayment once you complete your education. Carefully consider your anticipated future annual income before making borrowing decisions. You can use the Federal Loan Simulator to estimate monthly payments. Our goal is for you to only borrow what you need to be successful.

Borrower rights and responsibilities are disclosed through completion of the federally required Entrance Loan Counseling (before loan funding is disbursed) and Exit Loan Counseling (when enrollment falls below half-time).

Federal loan exit counseling provides important information to prepare you to repay your federal student loans. If you have received a subsidized, unsubsidized or PLUS loan under the Direct Loan Program or the FFEL Program, you must complete exit counseling each time you: drop below half-time enrollment, graduate or leave school. You can complete federal loan exit counseling here.

Federal Loan Repayment

Information about loan limits, loan fees, and repayment plans can be found on the Federal Student Aid Website.

Loan Type Repayment Information
Subsidized Loan Begins six months after your last term of enrollment or if your enrollment falls below half-time (whichever comes first).
Unsubsidized Loan Begins six months after your last term of enrollment or if your enrollment falls below half-time (whichever comes first).
Parent PLUS Loan Begins 30 days after loan disbursement. Borrowers can request a deferment with their loan servicer to postpone payments.

University Loan Repayment

Institutional Loans are repaid to ECSI. Additional information about repayment and interest rates can be found on the ECSI website.

Loan Type Repayment Information
UNC Loan Begins six months after your last term of enrollment or if your enrollment falls below half-time (whichever comes first).
Institutional/Long Term University LoansBegins nine months after your last term of enrollment or if your enrollment falls below half-time (whichever comes first).

Private Loan Repayment

Private student loans are non-federal; credit based student loans granted from a lender such as a bank, student loan company, or other private organization. Check directly with your private loan lender for repayment terms and conditions.

understanding Exit counseling

Federal loan exit counseling provides important information to prepare you to repay your federal student loans. For subsidized and unsubsidized loans, you must complete exit counseling each time you: drop below half-time enrollment, graduate or leave school.

Exit counseling explains your rights and responsibilities as a student loan borrower and provides:

  • Your outstanding loan balance
  • An estimated monthly payment amount
  • An explanation of the various repayment plans
  • Pros and cons of loan consolidation
  • Information regarding loan forgiveness, deferments, and forbearance

The type(s) of loan exit counseling you are required to complete depends upon which federal educational loan(s) you have borrowed.

Complete Exit Counseling

Questions?

We are happy to help! Send us a message with your loans question.