News : University offers students emergency loan

Tuesday, October 30, 2007

Most students can recall a time when they have found themselves in a financial bind during the semester, but an interest-free emergency loan program offered by the Bursar's Office has helped 100 to 125 students in the past two years set their financial woes aside, Robert Collier, assistant director of student financial systems, said.

The loan offers students speedy assistance, as it is available to students within 48 hours of application approval.

Since 2005, the office has loaned $25,000 to $30,000 a year for students to use on unforeseen expenses, Collier said.

The borrowed amount, a maximum of $250 a student per semester, and the processing fee are due within 45 calendar days after receiving the loan.

A borrower can make payments during those 45 calendar days, Collier said.

A student who borrows the full $250 plus the $10 processing fee can expect to incur an additional 23.5 percent to that total in interest from a first-time placement to a collection agency. The second placement can increase the additional cost to 33 percent, Collier said.

Students can begin applying for the loan one day before classes begin, but disbursement of emergency loans are halted 45 days before to the last day of class and continue to be cut off until the next semester begins.

Recipients are determined after a student has provided all application materials to the Bursar's Office.

News Reference: news.google.com