Primary Care Loan Program (PCL)
Medical students planning to enter a Primary Health Care career are eligible to apply for this loan by providing parental information on the FAFSA regardless of dependency status. For purposes of the PCL program, “Primary Health Care” is defined as family practice, general internal medicine, general pediatrics, preventive medicine, geriatics or sports medicine.
The yearly award varies based on your eligibility, available funds, and number of applicants. No interest accrues on this loan while students are enrolled in school. Repayment of principal and interest begins 12 months after graduation. Deferments for residency programs may delay repayment for the entire residency program. Your interest rate will be fixed at five percent over the life of the loan.
The following conditions must be met to receive this loan and maintain the favorable interest rates:
- Be a full-time student,
- Enter and complete a residency training program in primary health care not later than four years after the date on which the student graduates, and
- Practice primary health care for 10 years or until the loan is repaid in full, whichever occurs first.
Failure to meet the above requirements will result in the following variations to the terms of the PCL program:
- This loan will accrue interest continuously at an interest rate of seven (7) percent per year beginning on the date of noncompliance, and ending when the loan is paid in full and
- The Borrower is not eligible for deferment provisions outlined in the Promissory Note.
Interest shall not accrue on the loan and installments need not be paid during the following periods:
- while serving on active duty as a member of a uniformed service of the United States for up to three years;
- while serving as a volunteer under the Peace Corps Act for up to three years; and
- up to four years while pursuing advanced professional training, including internships and residencies.
Federal Student Loan Programs
All students must file a Free Application for Federal Student Aid (FAFSA) before any federal financial aid can be offered. Creighton University participates in the Federal Direct Student Loan Programs, which means students are borrowing loan funds from the federal government. These loans include the Federal Direct Unsubsidized Loan and the Federal Direct Grad PLUS Loan.
Federal Unsubsidized Stafford Student Loan
The Federal Direct Unsubsidized Student Loan is a non-need based loan. This loan has a fixed interest rate and the rate changes each year. The current interest rate information can be found on the Financial Aid website. Interest begins to accrue when the funds are disbursed. Students have the option of making interest payments during school or can choose to have the interest capitalized at repayment.
The annual amount that a student may borrow varies from $40,500 to $47,167 depending on the amount of other aid received and the length of the academic year. Professional medical students may borrow up to an aggregate maximum of $224,000 from the Federal Direct subsidized and unsubsidized loans including any undergraduate loans. There is also an origination fee that will be deducted from all Unsubsidized Stafford Loans. Information regarding deferment and forbearance options are included on the Master Promissory Note.
Federal Grad PLUS Loan
This federal loan program allows graduate and professional students to borrow the cost of education less other financial aid. A good credit history is required to borrow Federal Direct Grad PLUS funds. Interest rate information can be found on the Financial Aid website. There will also be origination fee that will be deducted from all Federal Direct Grad PLUS loans. Repayment begins six months after the student graduates, leaves school or drops below half-time enrollment. Information regarding deferment and forbearance options are included on the Master Promissory Note.
Note: Instructions for completing the Federal Direct Master Promissory Notes (MPN) for both loan types and on-line entrance counseling will be included with the award notification letter.