CHASE HEALTH
STAFFORD LOAN FAQs

A Chase Health Stafford Loan is the first health education loan you should explore to pay for your healthcare studies.

Eligible healthcare graduate students can receive from $500 up to $47,167 annually (of which up to $8,500 may be subsidized), based on discipline and length of academic year if you're enrolled in a participating school at least half time. Your school will determine your eligibility for subsidized and/or unsubsidized federal education loans based on need, once you fill out the Free Application for Federal Student Aid (FAFSA) *.

In general, eligible borrowers must:

  • Demonstrate financial need for subsidized Stafford loans
  • Be enrolled at least half time in an eligible program
  • Be a U.S. citizen or national, or eligible non-citizen, with a valid Social Security Number
  • Have a United States address (no P.O. Boxes)
  • Register with the Selective Service, if required
  • Not be in default of any federal education loan or owe money on a federal student grant
  • Maintain satisfactory academic progress once in school
  • Certify, as part of the FAFSA, a statement that you will use federal student aid only for educational purposes
  • Not have borrowed in excess of any annual or aggregate federal Stafford loan limit
  • Not have been convicted of, or have pled guilty or no contest to, a crime involving fraud obtaining Title IV financial assistance, unless you repay in full the funds that were obtained fraudulently
  • Not be liable for an overpayment nor have exceeded annual or aggregate limits imposed on any Federal Stafford Loans or other Title IV programs
  • Meet other Title IV program requirements—see your financial aid office for more information

0.25% interest rate reduction for having monthly payments automatically deducted from your bank account (ACH) by Chase

The Chase Health Education Program has no repayment fees for the Chase Health Stafford Loan. There is a .50% origination fee for loans first disbursed between July 1, 2009 and June 30, 2010.

The interest rate for a Chase Health Stafford Loan disbursed on or after July 1, 2006, is fixed at 6.80% (including periods when the borrower is in school, grace, deferment and repayment).

Loans disbursed prior to July 1, 2006, retain a variable rate capped at 8.25%.

Call a Chase Health Education Program Specialist toll-free at 1-800-211-6730, Monday - Friday between 8 AM and 7 PM Eastern.

Federal student loans, like Stafford and PLUS loans, usually have lower interest rates than private student loans and may include government-subsidized interest payments during qualifying periods of enrollment and deferment. Federal loans have standard rates and fees that don't vary by lender, though borrower benefits may. Chase provides funds for federal student loans but also offers the Chase SelectSM Health Professions Private Loan. Private loans are designed to supplement federal loans when federal loans aren't enough to cover the entire cost of your education.

You should always exhaust your federal student loan options before applying for private loans.

*Important Information:
Federal Loans—For loans that are guaranteed on or after June 1, 2008, the 0.25% interest rate reduction is available to borrowers in repayment who elect to have their monthly payments automatically deducted from a bank account by Chase. This interest rate reduction will begin when the borrower enrolls and begins having payments automatically deducted by Chase and will remain in effect as long as automatic payments continue without interruption. The reduced interest rate will return to the non-discounted rate if automatic payments are canceled, rejected or returned for any reason or during periods of deferment or forbearance. The 0.25% interest rate reduction will not lower the monthly payment amount but will instead reduce the interest that accrues, thereby reducing the total amount repaid and the time in which the loan is repaid. Chase may sell this loan to the U.S. Department of Education, and the U.S. Department of Education may continue to honor this automatic payment interest rate reduction. Visit ChaseStudentLoans.com/rates for current interest rates. Generally, Stafford and Grad PLUS borrowers have up to 10 years (excluding periods of authorized deferment and forbearance) to repay their loans. New borrowers after October 7, 1998, whose total outstanding principal and interest in Federal Family Education Loan Program (FFELP) loans exceeds $30,000, may repay on a level or graduated repayment plan for a period that may not exceed 25 years. There are no penalties for early repayment of FFELP loans. Contact Chase to learn more about repayment term options. Terms and conditions apply. Benefit programs are subject to change. Loans are subject to submission of a completed application, credit approval and other required documentation and verification, as applicable.

This information was current as of 07/07/2008.

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