Loans FAQ

I've been offered federal student loans, how do I accept them? 

• To accept loans, see Accepting/Declining Federal Loans. 
• First Time borrowers need to complete: 
  •  a Master Promissory Note (MPN)  
  • Entrance Counseling 

What is a Master Promissory Note, and why do I need it?  

• The Master Promissory Note (MPN) is a legal document in which you: 
  • Promise to repay your loan(s) and any accrued interest and fees to the U.S. Department of Education.  
  • It also explains the terms and conditions of your loan(s). For more info, go to Federal Loans and scroll down to the How Do I Get My Loans? section. 

I accepted my loan; how long will it take for me to receive the money? 

• If you have completed your Entrance Counseling and Master Promissory Note 
  • Federal Loans accepted before the semester starts will disburse in the first 3-5 days of the semester. 
  • Federal loans accepted later in the semester should be disbursed within 3-5 days 

How will I get my loan money? 

• Processing loan funds starts on the first day of the semester. 
  • Allow 3-5 days for federal aid to process. 
• When your loan is funded, it follows this process: 
  • Loan money is sent directly to your BYU-Idaho student account 
• It automatically covers 
  • Outstanding tuition 
  • Required Fees 
  • On-campus housing charges (Only Center Square and University Village complexes are on-campus housing) 
• To automatically cover additional charges, complete the Federal Financial Aid Authorization 

 Why was my loan less than what I asked for? 

• The Department of Education charges a small fee for processing your loan. This is called an origination fee 
  • The fee is taken out of your loan amount before you get the money. 
  • You’ll get less money than you accepted because of this fee 
  • You still have to pay back the full amount you accepted. 

Why did I only receive half of my loan? 

• Loans are usually offered in two semester loan periods, (Fall/Winter, Winter/Spring or Spring/Summer)  
• The amount you accept will be split between the two semesters 
• If you are currently in the second semester of the loan period you will receive the entire amount you accepted but it will come in two different disbursements a day or two apart 

When do I have to pay back my student loans? 

• You don’t have to start repaying until six months after you graduate  
• If you drop below 6 program applicable credits for 6 consecutive months (grace period) 

Important details about the grace period: 

• The grace period starts the day after you stop attending school at least half-time (6 credits) and ends the day before the repayment period begins. 
• Short breaks (like missing a semester) don’t use up the grace period. 
  • If you return to school within six months and take at least 6 PA credits, you still get the full six-month grace period when you graduate or drop below six credits again. 
• You should get a Repayment Schedule during your grace period. If you don’t, contact your servicer. Payments start after the six-month grace period ends. 

I'm leaving on a mission, what should I do about my loan? 

• Reach out to your lender about deferment options before you leave for your mission.  
• You are required to begin making payments on your student loans if you drop below 6 program applicable credits for 6 consecutive months.  

What if I have maxed out my federal loans?  

• We encourage students and families to start with savings, grants, scholarships, and federal student loans to pay for college. 
• If you have exhausted all other available resources, alternative/private loans are another resource to help you fund your education. 

How do I apply for an alternative/private student loan? 

• Process takes up to 30 days: 

1. Apply with private lender  
2. After approved submit the Certification Request Form.  
3. The Financial Aid office evaluates the requested amount.  
4. Allow 10 business days for the school to receive private loan funds and process them. 
5. It may take an additional 3-5 business days before the funds are awarded and disbursed to your student portal.  
6. If the loan is requested and certified before an upcoming semester, the school should receive the funds during the first week of the semester. 

• Be sure to verify your eligibility and accept all federal student loans before completing the Certification Request Form. 

How do I get my financial aid to apply to my student charges and can I choose what it pays for? 

• See the Charges and Payments FAQ for more information. 

How do I get to my financial aid portal?  

• You can view your financial aid portal by following the steps at Accessing your Financial Aid Portal 

What do I need to do to get my Veterans Affairs (VA) money? 

• For info about Veteran's Benefits, see Veteran's Education Benefits or email vabenefits@byui.edu. 

What happens to my financial aid if I drop a class?  

• Dropping one or more classes could affect your financial aid. Because each student's situation is different, it is recommended you reach out to the Financial Aid Office prior to dropping. 
• Contact financial aid by using the blue conversation bubble on this page and asking to speak with a financial aid specialist. 
• For more information on how a student's Financial Aid is affected when dropping courses, see Dropping Classes.  

Why am I on Financial Aid SAP Suspension or Warning? 

• Students must maintain at least a 2.0 cumulative GPA in all Program Applicable classes and complete 67% of the classes you attempt to remain eligible for federal financail aid. 
• You should have received an email in your BYUI email with an explanation for why you are on Suspension or Warning. For further questions, Contact Us 

What does Program Applicable mean? 

• It's a course you need for your declared major. 
• Your "Program" includes:  
  • Your major courses. 
  • Only Required emphasis, minor, or cluster (if any). 
• Only these courses can get federal financial aid. 

How can I tell if my classes are Program Applicable?  

• There is a tool on the BYU-I website which helps you identify which courses are program applicable. For more information on how to access this, please see the Using the Program Applicability Tool help guide article. 

After reading this page, I still have questions. Who can I contact? 

• Chat with us by clicking on the blue chat bubble icon in the bottom right-hand corner of this page and asking to speak with a financial aid specialist or Contact BYU-Idaho through any of our other channels.