Emergency Student Loan Policies

Kansas State University

1. Loans will be granted only to students enrolled in current term credit at either Kansas State University campus. However, a loan may be issued to a non-enrolled student who is employed by KSU during the summer provided the individual had paid fees the previous spring term and the employing department agrees in writing to deliver the individual's next paycheck to the Manhattan campus Controller's Office for repayment of the loan. These loans cannot exceed the employee's expected net paycheck.

2. Loan amounts are limited to:
   --$200.00 for living expenses
   --Two outstanding loans at one time
   Exceptions:

   1. The above may be expanded when SFA has documentation that financial aid or other assistance is coming which will cover the repayment of that Emergency Student Loan.

   2. Emergency Student Loans may be authorized to pay enrollment fees for the summer term instead of deferring fees because of delayed financial aid. The determination will be made by the Controller.

3. No Emergency Student Loans may be issued to a student beyond the eighth week of classes (mid-point for summer terms) except as an advance on financial aid which is due to arrive in the SFA Office during that term.

4. The repayment period for loans may not exceed 90 days and may not extend into the final two weeks of a term. The due date will be either the 1st or the 15th of the month.

5. The Student Financial Assistance employee who approves a loan will check the Delinquency/Referral list provided by the Manhattan campus Controller's Office to insure that individuals on the list are not granted a loan.

6. Any student with a past due loan not paid in full by the last day of classes (during the term in which it was due) will not be eligible for another ESL for one calendar year from the original due date.

7. Any borrower whose loan was referred to a collection agency will not be eligible for any further loans.

8. The service charge on the loans will be equivalent to approximately an 8% annual interest rate and will be assessed by the use of the attached schedule of service charges. If the loan is not paid on or before the due date, the individual will be assessed a finance charge of 1 ½% per month (18% annual interest) computed from the due date to the nearest 1st or 15th of the month, depending on the due date. Credit cards are not accepted for repayment of Emergency Student Loans.

9. Student must deliver completed promissory notes to the Controller's Office, Student Loan Office, Room 211 Anderson Hall. At that time they will be informed when they return to pick up the check. Basically, during the first three weeks of classes there will be a 48 hour turn around and after that no more than a 24 hour turn around.

10. Borrowers must show their KSU identification card or other identification and their current term Student Fee Receipt when picking up the loan check.

11. Borrowers are required to repay any outstanding emergency loans with any financial aid received even though the emergency loan may not yet be due (as per promissory note).

12. At the beginning of each term the Director of Student Financial Assistance at each campus will send to the Controller's Office a list of persons authorized to issue loans along with their signatures.
    
    

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