Finance your college education through GHS. We offer different types of student loans including Federal Stafford loans and PLUS loans. We offer loans for graduate and undergraduate students. 

Below you will find more detailed information on college funding. Be sure to use GHS as a resource as you or your child prepares to apply for student loans. Stop by or call the GHS Loan Department at (607) 723-7962 for more information on Student Loans at GHS.

College Funding: Four Funding Sources for Your Child's Education:

1. Family Contribution - this consists of money that you, your child and other relatives contribute to your child's education.
2. Scholarships and grants - this is considered "gift aid," and does not require repayment.
3. Work-study programs - The Federal Work-Study Program (FWS) is a federally funded source of financial assistance used to offset education costs. Eligible colleges administer these programs.
4. Loans - these must be repaid, including interest, and are based on one academic year. Students must reapply for these loans every year.

We can guide you through the Federal Education Loan Program. 
GHS Federal Credit Union is an ideal place to learn about the Federal Family Education Loan Program (FFEL). While each loan varies according to your child's financial situation, here's an overview of Stafford and Parent Loans for Undergraduate Student (PLUS).

Stafford Loans

• A Free Application for Federal Student Aid (FAFSA) is required.
• The subsidized version is a need-based loan. Interest is paid by the government while the borrower is in school and during the six months following graduation.
• With the unsubsidized version of the Stafford loan, interest is paid by the borrower, but it may be deferred until graduation, or paid while the borrower is still in school.
• The Stafford loan is a simple interest loan (unlike credit cards, home equity loans and other loans which are based on compound interest), with a rate capped at 8.25%. Call us for current rates.
• There may be a one-time guarantee of up to 1% paid to the guarantor (the agency that insures the loan) and a one-time 3% origination fee paid to the federal government to help offset the program costs. The fees are deducted from the loan proceeds. Guarantee fees are to attend two- and four-year public and private undergraduate institutions, graduate and professional schools waived.
• Interest may be tax-deductible.
• You may prepay on this loan without penalty.
• Loans can be consolidated when in repayment.

PLUS Loan

• A Free Application for Federal Student Aid (FAFSA) is required.
• This loan is not based on need. All credit-worthy parents are eligible.
• Simple interest loan, with an interest rate cap of 9%. Call us for current rates.
• A one-time guarantee of up to 1% may be charged by the guarantor and a one time origination fee of 3% is paid to the federal government to help offset benefit costs. Guarantee fees to attend accredited two- and four-year public and private undergraduate institutions, graduate and professional schools are waived if the school is appropriately accredited. Fees are deducted from the loan proceeds.
• Interest may be tax-deductible.
• If you obtain your PLUS loan each year from us, your loans will automatically be consolidated.
• PLUS loan proceeds are disbursed directly to the school on the dates determined by the school.
• Repayment begins within 60 days after the loan is fully disbursed.
• Minimum monthly payment is $50.

The Tax Benefits of Student Loans

There are numerous benefits to these various loan options. The Student loan interest deduction allows you to deduct all of part of the interest* on Stafford loans for yourself or PLUS loans for your dependents, provided the loans were used to finance an education at an eligible institution.

As us for details on each tax benefit, we will help you determine if the deductions apply to you.

*Not everyone is eligible for these benefits and not all the interest is deductible.

Applying for a Student Loan

Here's a description of what your child needs to do when applying for Federal Financial Aid and Student Loans.

1. Complete the Free Application for Federal Student Aid (FAFSA). This must be done each academic year in which the student would like to receive federal aid. A FAFSA can be obtained from your child's high school guidance counselor, a college financial aid office, or from the Department of Education's web site at www.fafsa.ed.gov. FAFSAs are accepted and processed after January 1 of the year a student is planning to attend school. To apply for a student loan, be sure to have your child check "yes" to that question on the form. The sooner you and your child complete the from, the earlier you will know if he/she is eligible for grants and student loans - and their respective amounts.
2. A Student Aid Report (SAR) will be created once the FAFSA has been processed. Your child will receive a copy and so will the schools he/she listed on the FAFSA. Your child should receive the SAR in 4-6 weeks, or 2-3 weeks if filed electronically
3. An award letter from the school will notify you of your child's financial aid award for the coming year. If he/she qualifies for a Stafford loan, the school will either include a Master Promissory Note (MPN) with the award letter or instruct him/her to get one from a lender. Although the award letter may include a preferred lender list, your child has the right to choose his/her credit union. To do this, fill in our name and lender code - 807779 - when completing the MPN.
4. The completed MPN should be returned to your credit union.
5. If your child's financial aid is not sufficient to cover the costs or he/she didn't qualify for a Stafford loan, as a parent or stepparent, you can apply for a PLUS loan. Call or stop for an application.
6. Loans are disbursed in two or more payments on dates established by the school. The funds are sent directly to the school.

Information provided by CUNA Mutual Group © 2002