Private loans to help finance your education
There are a number of private loan options to help students.
Please note that we require all students who request a private loan to file the Free Application for Federal Student Aid (FAFSA) at www.fafsa.ed.gov. This ensures that you receive notice of all Title IV loans and grant assistance before you make the decision to apply for a private loan. For all students, the best loan options are federal loans. Parents, please consider the Federal Direct Parent PLUS Loan prior to borrowing or co-signing a private loan.
We are required to disclose the maximum Title IV grants and loan assistance available to you. The maximum available grants and loans are listed below:
- Federal Pell Grant: $5,920
- Federal SEOG Grant: $4,000
- Federal TEACH Grant: $4,000
- Federal Direct Stafford Loan: $5,500 for freshman, $6,500 for sophomores, $7,500 for juniors/seniors, $20,500 for graduate students. Independent undergraduate students can receive an additional $4,000 as freshmen and sophomores and $5,000 as juniors and seniors.
- Federal Parent PLUS Loan: Cost of attendance minus other financial aid.
- Federal Perkins Loan: $5,500 for undergraduates.
The lenders were chosen after a careful and unbiased selection process, which included criteria such as:
- Previous lender service to borrowers
- Previous lender service to Morningside College
- Ease of loan processing
- Borrower benefits
- Loan terms and conditions
Morningside College and all other schools are required to process loan applications for any eligible private lender the student/parent selects. Students must utilize all federal student aid options prior to utilizing a private student loan. (3/01/14)
Financing information for several private loan lenders is available via the FAST Choice Website, which can be accessed here.
Mabel E. Sherman Private Student Loan
- Preference is given to residents of Ida or Cherokee County Iowa residents.
- Interest rate is fixed at 7%.
- No cosigner requirement.
- Annual loan limits: Usually $3,000 (varies based on funding availability).
- The Sherman Loan repayment begins ten years after the date of disbursement of your first Sherman Loan. The loan is interest free for ten years after the date of disburement of your first loan.
McElroy-Morningside Private Student Loan
- Must be a U.S. Citizen.
- Must be enrolled full-time and eligible for a Morningside scholarship.
- Interest rate is fixed at 5%.
- A cosigner is required.
- Annual loan limit: Usually $3,000 (varies based on funding availability).
- Cumulative Loan Limit: $12,000
- Interest and repayment begin 6 months after student is enrolled less than half time.
- Repayment term: Up to 10 years.
General Board of Higher Education & Ministry Loan
- Application information is available on the General Board of Higher Education & Ministry website.
- The interest rate is fixed at 5%.
- A cosigner is required.
- Annual loan limit: Up to $5,000 per calendar year.
- Cumulative loan limits: Up to $5,000 per calendar year.
- Repayment: Interest begins immediately after the first disbursement is made.
- Repayment typically begins 6 months after student graduates or drops below half-time.
- Repayment term up to 10 years.
Please contact our Financial Aid Office online or by phone at 1-800-831-0806, x5159.