KCU-COM Loans & Application Process

  • Loan Programs

    Loans are awarded based on demonstrated financial need and are subject to the availability of funds. The Office of Financial Aid at KCU can help you learn more about the various loan programs available to you.

    Primary Care Loan (PCL) – Health and Human Services Title VII

    A student must commit to primary care including the internship, residency and practice. The interest rate is 5 percent. Loan amount is contingent upon the availability of funds. Parent financial information is needed. Available to third- and fourth-year students only. For more information about this loan, go to: www.hrsa.gov/loanscholarships/loans/primarycare.html  

    Federal Direct Loans – Department of Education Title IV

    The interest rate is fixed at 5.84 percent and offers a six-month grace period.  A loan origination fee of 1.068% is charged.  The cumulative maximum limit for medical students is $224,000, of which only $65,500 can be subsidized loan. 

    • Federal Direct Subsidized Loan
      Beginning July 1, 2012, this loan is no longer available to graduate/professional students.
    • Federal Direct Unsubsidized Loan
      This program provides $20,500 per year. Interest accrues from the date of disbursement; unpaid interest will capitalize at repayment. 
    • Increased Unsubsidized for Medical Students
      Allows an additional $20,000 (nine-month academic year) to $26,667 (12-month academic year) per year.

    Federal Direct Graduate PLUS (GradPLUS) Loan

    This federal loan program became available July 1, 2006. Congress extended the undergrad PLUS (parent) loan to allow graduate students to borrow on their own signature up to the cost of attendance (less the amount of Sub/Unsub loans and other aid). A credit check is required. The interest rate is fixed at 6.84 percent; requires the borrower to pay a 4.272 percent origination fee. The fee is deducted from the loan proceeds. The GradPLUS enters repayment immediately after it is fully disbursed, at which time it is placed in an in-school deferment while the student continues in school. The loan enters a six-month post-enrollment deferment at the time the student is no longer enrolled. The same deferment and forbearance options apply as with Federal Direct loans.

    Federal Perkins Loan – Department of Education Title IV

    Perkins monies are contingent on the availability of funds and the demonstration of need according to federal regulations and University guidelines. The interest rate is 5 percent; loan limits are up to $8,000 per year with a total aggregate of $60,000, including undergraduate loans.

    For more information regarding Title IV federal student loans, go to: http://studentaid.ed.gov/PORTALSWebApp/students/english/funding.jsp.


    How to Receive a Loan - Documents Needed

    In order to receive a loan at KCU, a student must complete the FAFSA for the correct award year. The FAFSA is available in the early spring for each academic year.

    For Federal Direct and Graduate PLUS loans, a student must:

    1. Complete a Master Promissory Notes at https://studentloans.gov.     

    Federal Direct
    • Sign in
    • Choose Complete Master Promissory Note
    • Choose Subsidized/Unsubsidized

    Graduate PLUS loans

    • Sign in
    • Choose Complete Master Promissory Note
    • Choose Graduate PLUS

    2. Complete Title IV Federal Direct and Federal Direct GradPLUS Loan Entrance Counseling

    Federal regulations and institutional policy require all students who borrow through Federal Direct and GradPLUS Loan Programs for their education to complete loan entrance before loans can be disbursed and exit counseling when leaving KCU.

    The purpose of loan counseling is to provide information concerning the repayment of Federal Direct and GradPLUS Loans, explain your rights and responsibilities as a student loan borrower, inform you of the consequences of default, provide information regarding the Department of Education Ombudsman and other helpful information.

    Federal Entrance Counseling for Graduate Students must be completed by students who are first-time borrowers at KCU and students returning to KCU after leaving for a period of time. Students can complete the counseling by going to https://studentloans.gov.

    • Sign in
    • Choose Complete Counseling
    • Choose Entrance Counseling

    3. Complete Title IV Federal Direct and Federal Direct GradPLUS Loan Exit Counseling when leaving KCU.

    Federal Exit Counseling must be completed by a student who graduates, withdraws, is dismissed, goes on Leave of Absence for greater than 180 days or drops below half-time status by going to https://studentloans.gov

    • Sign in
    • Choose Complete Counseling
    • Choose Exit Counseling

    Exit Counseling will collect the following:

    • Borrower’s driver’s license number
    • Permanent address and telephone number
    • Name, address and telephone number of next of kin
    • Name, address and telephone number of two references
    • Name, address and telephone number of expected employer

    In addition, graduating students must attend the loan repayment presentation provided on Check-out Day. Completion of Federal Exit Counseling and attendance at the loan repayment presentation is required for graduation.

    For Federal Perkins Loans, a student must:

    1. Students awarded a Federal Perkins loan or Primary Care Loan (PCL) must complete an Entrance Counseling through the school’s servicer, University Accounting Service (UAS) at https://www.signmyloan.com.

    2. Exit Counseling must be completed by Perkins loan borrowers who graduate, withdraw, are dismissed, go on Leave of Absence for greater than 180 days or drops below half-time status with University Accounting Service (UAS) at https://www.signmyloan.com.

    For Primary Care loans, a student must:

    1. Students awarded a Primary Care Loan (PCL) must complete an Entrance Counseling through the school’s servicer, University Accounting Service (UAS) at https://www.signmyloan.com. Counseling must be completed each year the student receives a Primary Care loan.

    2. Exit Counseling must be completed by Primary Care loan borrowers who graduate, withdraw, are dismissed, go on Leave of Absence for greater than 180 days or drops below full-time status with University Accounting Service (UAS) at https://www.signmyloan.com

    Financial Aid Application Process

    Step 1: FAFSA Application

    Each year, students must complete the Department of Education's Free Application for Federal Student Aid (FAFSA) posted online at www.fafsa.ed.gov. KCU's Title IV code is: G02474.

    Parental information is not needed. As of 2013, those who filed a tax return for the previous year (2012), should ensure that the FAFSA filing status is "Already Completed" and that IRS Data Retrieval (if available) is selected. FAFSA applications filed with "Will File" status require that it must be updated to "Already Completed" and selected IRS Data Retrieval to populate tax information.

    Step 2: Review Student Budget - Cost of Attendance

    This budget information is provided to assist you in estimating your monthly budget and managing your available financial resources (e.g., employment earnings, financial aid and assistance from family members) for the upcoming academic year. Click here to review the student budget guide.

    Step 3: Review Financial Aid Application Process

    Students should thoroughly review the application information on this page, as well as eligibility requirements and other policies.

    Step 4: KCU Application

    The Office of Financial Aid at KCU offers a convenient online application process called NetPartner. Students will complete an application for financial aid, review the required forms and check the status of missing forms, and accept/decline/reduce their aid award.  

    For Incoming Students: After the acceptance and matriculation fees have been paid, Financial Aid will contact the student when the application for financial aid becomes available and provide instructions for the online application process. Students must complete the online Federal Entrance Counseling session at studentloans.gov in order to receive federal loan funds. 
    For Continuing Students: The Office of Financial Aid will email the online application instructions to all students through their KCU email account. Once the student has completed the application, the Office of Financial Aid will take the following steps to finish the financial aid process.  

    Determination of Awards
    Once the student has submitted all required documents and completed forms as listed on the application for financial aid, the Financial Aid Office determines his or her aid eligibility. Processing of students’ financial aid is done in the order the files became complete for packaging. The calculation to determine financial aid eligibility is cost of attendance (KCU student budget) minus outside resources (scholarships, etc) equals eligibility. Using a priority system, aid award packaging begins with the consideration of gift assistance and scholarships, then education loans. Students who require loans must apply for the Federal Direct loan. Higher-interest rate loans such as the Federal Direct GradPLUS are considered as a last resort to fulfill the student’s unmet need. Each student must complete a Direct loan Master Promissory Note (MPN) and a Direct GradPLUS loan MPN online on the studentloans.gov website in order to receive funds from these programs.

    Note: The Federal GradPLUS requires good credit. The Federal Direct Loan program reviews the student’s credit to determine approval or denial of the loan. If denied, the student may appeal the denial or apply with an endorser (co-signer). Students who are unable to obtain the loan will need to rely on personal resources to finance the balance of their educational costs.

     Notification of Awards
    Once an award letter has been completed, the student will be notified by email to log in to NetPartner to view the letter and accept/decline/reduce the aid offered. The timing of notification is based upon the academic year start date. Summer start dates generally receive Award Letters beginning in May and fall start dates generally receive them in June/July.

    The award letter shows the cost of attendance (student budget) according to the student’s program/class, and the total annual financial aid awards the student may receive from all sources.

    Beyond the sources of assistance indicated on the award letter, student should seek out private scholarships.  

    Student Loan Disbursements
    Student loans are disbursed in two equal disbursements, with the first at the beginning of the academic year. For first- and second-year students, the second disbursement generally occurs the second week of January. To be eligible for the second disbursement, the student must have successfully completed the fall semester and attended the first day of class. For third- and fourth-year students on clerkship, the second disbursement is released after half of the required clerkships have been completed.  

    The student will receive a disbursement schedule at the beginning of the academic year to aid in budgeting his/her student loan funds. Direct loan funds are received into the University's bank account by electronic funds transfer from the U.S. Treasury. The funds are posted to the student's tuition account by the Business Office for the amount of tuition and fees due at that time, and the remainder is refunded to the student for other educational and living expenses. This process may take up to 14 days.

    Perkins loans and Primary Care loans are disbursed from the KCU Accounting Office, also in two disbursements.

    Repeated Academic Year
    A student whose appeal of dismissal is granted and is allowed to repeat an academic year may be eligible to receive financial aid on Financial Aid Probation (see Satisfactory Academic Progress policy). The student's enrollment must meet at least half-time status. Audited sections do not qualify toward enrollment status for financial aid eligibility and loan deferment. This enrollment status also applies to a student returning from a Leave of Absence who had completed a portion of the academic year and must audit sections successfully completed.

    Conflicting Information
    If a review of student financial information reveals discrepancies or shows conflicting information, no federal, state or other financial aid will be released until the discrepancy or conflicting information is resolved. The following guidelines concerning discrepancies are in effect:

    • Students who fall into this category may be school-selected for verification. A verification worksheet will be mailed to the student by the Financial Aid Office;
    • The student will be given every opportunity to provide an explanation or documentation to resolve the conflict;
    • If the Financial Aid Office gives an adverse decision, the student may submit a written request for appeal to the Director of Financial Aid.

    Alternative/Private Loans

    Alternative loans are not guaranteed by the federal government, they must be insured privately. This is a cost that the private loan lenders may pass on to the borrower in the form of hidden fees and interest rates. Terms and conditions can vary according to the specific lender.

    Alternative loans cannot be consolidated with federal loans and will have different repayment options than those of federal loans.

    How much can I borrow?

    The amount a student can borrow is determined by the cost of attendance (COA) less other financial aid and resources. The lender may have a loan minimum/maximum.

        Example: COA $50,000
        Less other aid awarded: $20,500
        The amount a student can borrow in an alternative loan: $29,500

    What are the eligibility requirements?

    These requirements may vary by lender but are the most common:

    • Undergraduate or graduate/professional student in an eligible degree or certificate program
    • Enrolled at least half-time
    • Be a credit worthy borrower or borrower with a credit worthy co-signer
    • Student may be required to be a U.S. citizen, permanent resident or eligible non-citizen
    • Making satisfactory academic progress

    Please complete the following steps to apply for a private loan:

    1. Complete the online application with a lender you choose.
    2. Complete the Alternative Loan Request Form and return it to our office.

    The list below is comprised of all lenders selected by KCU students who have borrowed alternative loans during the three prior academic years.

    KCU Financial Aid does not endorse any alternative loan lender. Multiple lenders should be researched before selecting one that best meets your needs. You are not required to choose a lender from this list. 

    Please view the following lender websites to learn more about the alternative loan specifics. It is important to note that borrowers may receive better terms if a co-signer is used. Some lenders offer a co-signer release option.

    Wells Fargo
    Sallie Mae

    Medical Residency and Relocation Loans

    Residency and relocation loans are available to medical students who are enrolled in their final year of medical school, enrolled at least half time, and will receive their graduate medical degree during this academic school year.

    The student must acknowledge that these funds will only be used to cover the expenses associated with their residency program, including the costs of interviewing for their residency program and the cost of relocating to the area where their residency training will occur. Listed below are the names of lenders that offer residency and relocation loans. Our office cannot recommend a lender for you. If you have any questions about the loan, please contact the lender.

    Residency Loan

    Sallie Mae
    Residency & Relocation Loan

    Wells Fargo
    MedCAP-XTRA Loan