Stafford Loans

Federal Subsidized and Unsubsidized Stafford Loans, Nursing Student Loans for Service and Federal PLUS loans all require separate applications. Before applying for a loan, a student must first complete the Free Application for Federal Student Aid (FAFSA).

Students receiving a loan must be enrolled for 6 credit hours. Students who meet Subsidized Stafford Loan eligibility requirements may borrow up to $3,500 per year ($1750 per semester) as first-year students and $4,500 per year ($2250 per semester) as second-year students.

What are the minimum requirements to apply for a subsidized/unsubsidized Stafford Student Loan?
To be awarded a federal student loan, you must meet the following eligibility criteria:

Be a U.S. citizen or an eligible noncitizen.
Be degree-seeking and currently enrolled or accepted for enrollment in an eligible program at CCC.
Be at least a half-time student and enrolled in 6+ credit hours for Fall, Spring and Summer sessions.
Be in good standing and making satisfactory academic progress toward your degree as defined by the financial aid policy.
Be free from default or have made satisfactory payment arrangements on any previous defaulted Stafford Loan, Parent Loan (PLUS), Supplemental Loan to Students (SLS), or Perkins Loan.
Not owe a repayment on a Pell Grant, Supplemental Educational Opportunity Grant (SEOG), Leverage Education Assistance Partnership Program (LEAPP) or other state grant.
Show financial eligibility through the application process described below.
Complete the Loan Entrance Counseling online.
Complete the online Master Promissory Note (MPN) process.

How do I apply for a Stafford Loan (subsidized/unsubsidized)?

First submit a Free Application for Federal Student Aid (FAFSA) for processing.
Submit a CCC loan application to the Financial Aid Office for processing. You may also download and complete the loan application form. Select your lender from the Lenderlist.
Log on to complete the loan entrance interview portion of the loan application. Record the confirmation number for your reference.
Once your file is processed, we will send you a Loan Eligibility Notice and NMGSLC or another loan guarantee agency will mail you a Promissory Note. Mail the Promissory Note back to the address of your guarantee agency.
Once your file is processed, you will need to complete an online Promissory Note at: https://secure.nmeaf.org/ccc/. You will need to have two references including addresses and phone numbers. The references must have different addresses.
After completing the online MPN, you will have several options for signing the MPN.
1. Electronically sign using your FAFSA PIN. If you do not have or have forgotten your FAFSA PIN, visit www.pin.ed.gov. Using e-sign will speed your loan processing.
2. Download, print, and sign the MPN. Return to New Mexico Student Loans at the provided address. Borrowers using Citibank or Wells Fargo must select either option b above or c below
3. Have the MPN mailed to you for your signature, then return to New Mexico Student Loans.
Funds for your loan will be disbursed according to the Clovis Community College disbursement schedule.
The lender will process your check and mail it to CCC.

Things To Remember!

If you receive additional financial assistance (i.e., tuition waiver, ROTC, private scholarship) in excess of your unmet need after we process your loan application, we must return your loan check to the lender for reduction or cancellation.
While you are enrolled in school, no payments are due and no interest accrues on Subsidized Stafford Loans. The federal government pays the interest for you during this time. Interest does accrue on Unsubsidized Stafford and PLUS loans from the date of first disbursement. You may pay the interest or allow it to accrue and be capitalized and added to your principal balance while you are in school.
You should be very cautious about taking out loans. More and more students are leaving school with very large loans to repay. Proper money management is essential to reduce your need for a loan and to keep your total loan amount at a manageable level. You should read the debt management information available from either the CCC Financial Aid Office or your loan guarantee agency.
Subsidized and Unsubsidized Stafford and PLUS Loans have an "origination" fee of approximately 3% that will be deducted from your loan before you receive it. In addition, the guarantee agencies in most states charge an insurance premium that is collected when the loan is disbursed. The amount varies from state to state; however, it cannot be more than 3% per year of the outstanding principal of the loan.
You cannot borrow more than the cost of attendance at CCC (less any financial resources and other financial aid you receive). The cost of attendance is taken from the student budget developed by the Financial Aid Office.
If you drop below 6 hours at any time, any future loan disbursements must be canceled and the grace period will begin. You will also be placed on loan suspension.

How long does processing take?

Loan applications and completed MPN can take up to one week to process. During high volume periods (late summer and early fall term), you should allow two to three weeks additional processing time. Incomplete or incorrect information can cause additional delays. If you are currently on loan suspension and need to appeal, this can also delay the loan process.