Loans
Westmont College Interest-Free Loan:
This fund was established by a generous gift from a California foundation and by other gifts from alumni, parents and foundations and is awarded to dependent students on the basis of demonstrated financial need. This loan is available to dependent students who are U.S. Citizens, have demonstrated financial need through the FAFSA form, and have graduated from a California high school. Promissory notes will be sent from the Financial Aid office to first-time recipients in early summer for the fall semester. These promissory notes should be returned to the Financial Aid office. The loan proceeds are applied directly to the student’s Westmont College account each semester. This loan requires a parent co-signer.
Federal Perkins Loan:
The Perkins Loan is based on demonstrated financial need. First-time recipients will receive a Promissory Note packet in early summer for the fall semester. Students are asked to carefully review all the materials, sign and date the promissory note and return it to the Financial Aid office. A loan counseling session is required for all first-time Perkins Loan recipients. Students will be contacted when they arrive on campus regarding time, date and location of the counseling session. Funds are credited to the student’s Westmont College account each semester.
Federal Subsidized Stafford Loan:
The Federal Stafford Subsidized Loan is based on demonstrated financial need. The interest is paid by the federal government while the student is in school at least half-time or more. Loan request instructions are available on the financial aid award letter, which is sent electronically or by mail to the student. The award letter will indicate eligibility for the subsidized Stafford Loan and the amount that can be borrowed. Loan proceeds for each semester are sent directly to the school. Loan fees up to 4 percent are deducted from each disbursement. These fees are explained in the loan information. First-time borrowers must participate in entrance loan counseling before the funds can be disbursed. Information about the loan counseling process is on the Internet. Westmont recommends that you participate in the electronic funds transfer (EFT) for loan disbursements.
Federal Unsubsidized Stafford Loan:
The unsubsidized Stafford loan is for students who do not have financial need as determined by the FAFSA form. The government does not, therefore, pay the interest on the loan while the student is in school. The student may choose to go ahead and pay the interest due while in school. Or the student may decide to defer interest, in which case it is capitalized. That means the interest is added to the principal (amount borrowed), making the principal larger. All other terms (i.e., interest rate, deferment options, etc.) are the same for both the Subsidized and Unsubsidized Stafford Loan. We recommend that you participate in the electronic funds transfer (EFT) for loan disbursements.
Federal Plus Loan:
The Federal PLUS (parent) Loan provides a low-cost loan for credit-worthy parents to assist in meeting the educational costs at Westmont College. Parents may borrow the difference between the cost of school, minus all other financial aid the student receives. Parents should allow up to four weeks for processing the application. Funds are disbursed half for fall and half for spring and sent directly to Westmont College. Loan fees up to 4 percent are deducted from each disbursement. Westmont recommends you participate in the electronic funds transfer (EFT) for this process.
Important Information
New Transfer Students: Academic transcripts, through the final semester/quarter, must be submitted and grade level determined by the Records office before a loan amount can be certified by the Financial Aid office.
Other Documents: The Financial Aid office will send a notice requesting other documents (i.e., U.S. 1040 tax forms and Verification Form), if the student is selected for verification. All loan applications and other required paperwork, need to be in the Financial Aid office by July 1 to ensure that funds will be available when the fall semester begins.
Please contact the Financial Aid office at 805-565-6063 or 888-963-4624 (toll free) if you need assistance e-mail address: finaid@westmont.edu.
Federal Stafford and Plus Loan Programs
We have created a Lender List of the lenders we feel offer our students and parents the best benefits. You can view that list under “links” on our webpage.
Alternative Loans
Alternative Loans are unsecured consumer loans for your additional education needs. The student is the primary borrower and a co-signer is required in most cases. The co-signer must be a U.S. citizen, age 21 or older, have good credit and be willing to sign on the loan. Payment on the loan is deferred until the student leaves or graduates from Westmont, but interest will accrue. These private student loans can provide critical assistance if federal student loans, grants and scholarships are not enough to cover the cost of education. To apply, go to the alternative loan lender list and click on a lender to find the best benefits that are offered to Westmont College students
CODE OF CONDUCT
Westmont will not recommend a lender in exchange for the lender providing material benefits to the institution or Westmont employees.
Westmont will not accept gifts from lenders or servicers including any gratuity, favor, discount, entertainment, hospitality, loan, or other item valued at more than a nominal amount. (Examples are gifts of services, transportation, lodging, or meals) The term “gift” would not apply to informational material related to loans or financial literacy. Similarly, food, refreshments, training, or informational material that is an integral part of a training session designed to contribute to the professional development of Westmont’s employees would be allowed.
Entrance and exit counseling provided by lenders or servicers would be allowed, provided that a Westmont staff member controls the counseling and that the counseling does not favor a single lender.
Westmont employees could not accept a gift for a family member or friend if the gift was given because of his or her position.
Westmont will not accept any private loan funds from a lender in exchange for our providing any concessions or promises to the lender.
Westmont staff will not participate in any lender advisory councils. We may offer advice to lenders in order to improve their products and services for borrowers, as long as no compensation is provided.