Loan Programs

Below is a list of loan programs through which you could have borrowed while attending HLS.  The general loan terms and repayment details are listed in summary form.  You should always refer to your promissory note and to your lender's web site for the most accurate borrower specific information.

Direct Stafford Loans (Subsidized and Unsubsidized):
• The annual loan maximum is $20,500 unsubsidized funding (up to $8,500 subsidized funding was available through the 2011-2012 academic year based on financial need)
• For loans made on or after July 1, 2006 through June 30, 2013 the interest rate was fixed at 6.8%
• For loans made on or after July 1, 2013 the rate is fixed annually.  The rate for 2013-2014 academic year loans is 5.41%.
• You have a six month grace period, with repayment beginning in the seventh month.
• For the subsidized portion of this loan, interest does not accrue until 6 months after the last day of class which for May graduates is May 15, 2014 (Federal regulations state that your graduation date is the last day of class and not the actual date you receive your diploma.)
• Interest accrues from the date of disbursement on the unsubsidized portion. You had the choice of paying interest as it accrued or not. If you paid interest on a regular basis, your loan amount at the time of repayment, will consist of the principal amount only. If you chose to defer payment of the interest while you were in school, and through your grace period, then the amount of money that accrued during your deferment period will be added to the principal amount for a new loan amount. You have the option of paying all of the accrued interest prior to the end of your grace period in order to avoid paying interest on interest. Most students cannot pay the interest while they are in school and therefore, the interest that accrues during your enrollment will be capitalized once at the time of repayment. 

Direct Grad Plus Loans:
• All Grad Plus loans have a fixed interest rate and are unsubsidized loans.For Loans borrowed prior to July 1, 2013 the interest rate is 7.9% and after July 1, 2013 the rate is 6.41%.
• Grad Plus loans taken out prior to 7/1/08 begin repayment 30 - 60 days after the last day of class, which for May graduates is May 15, 2014. GradPLUS loans taken out after 7/1/08 are eligible for a 6 month Post Enrollment Deferment from the last day of class. This will be an automatic deferment and your “last day of class” date will be reported to the lender by Harvard Law School's Registrar's Office.
• If you are unable to make payments immediately, you can apply for a deferment or forbearance through your lender. 

• The Department of Education has designated a servicer for your Direct Stafford and GradPLUS loans.  To find out who your specific lender and servicer is, log in to the National Student Loan Data System for specific address and phone contact information. You will receive a 0.25% interest rate reduction if you opt to make your payments electronically. Any Direct loan can be consolidated however your interest may be higher if you consolidate your loans through the government loan consolidation program.  You will want have a conversation with your lender regarding consolidation prior to completing any application.  You can also read more about consolidation at the Department of Education site. There are many different types of repayment options. If you do not choose a repayment option you will automatically be defaulted to the Standard Option. Students going into LIPP will want to remain in the Standard repayment option. You can view all of these repayment plans and use the calculators by going toStudentLoans.gov

Standard: Under the Standard Repayment Plan, each of your monthly payments will be at least $50 and may be more if necessary to repay the loan within 10 years (excluding periods of deferment and forbearance)
Extended: Under the Extended Repayment Plan, the minimum payment amount is $50, and may be more if necessary to pay off our loan in the maximum number of repayment years. The repayment period generally varies from 12-30 year according to the total loan amount. The higher the loan amount the longer the repayment period will be.
Graduated: Under the Graduated Repayment Plan, the payments start out low and increase every two years. The repayment period generally varies from 12 -30 years, depending on the total amount borrowed. Your stating monthly payment amount will be the larger of the following two calculations:
     50% of the amount that would be required under the Standard Repayment Plan, or
     the amount of interest that accrues monthly on the loan.
Income Based Repayment, Income Contingent, Income Sensitive and the Pay as you Earn plans are all repayment plans that are based on your income and a number of other factors.   Before considering this plan you should contact our office to see if you qualify for LIPP.

Perkins:
• The annual loan maximum is $8000 - Most HLS students received between $3600 and $2500 during their time at HLS.
• All of your Perkins loans have a 5% fixed interest rate.
• You have a nine month grace period, with repayment beginning in the tenth month.
• Interest does not accrue until nine months after the last day of class which, for May graduates, is May 15, 2014 (Federal regulations state that your graduation date is the last day of class and not the actual date you receive your diploma.)
• Harvard University is the lender and servicer of your Perkins loan unless you decided to consolidate this loan.  If you consolidated, your new lender would be your consolidation agency.
• If you consolidated your Perkins loan with your Direct or FFELP Stafford loans, then your grace period is now six months and no longer nine months and your interest rate is now the consolidated rate.
• Consolidating your Perkins loan will also make you ineligible for federal loan cancellation or postponement. If you are going into a job that qualifies for federal loan cancellation, such as Peace Corp/Vista, Nonprofit Family Service Agency, U. S. Armed Forces in hostile area, Law Enforcement (District Attorney), you may not want to consolidate your Perkins loans. Refer to the Student Loan Office's Perkins Loan Cancellation and Postponement form.
• Perkins loans that are eligible for LIPP will not receive a double benefit, therefore, if you are not paying on your Perkins loan because it is being cancelled, LIPP will not use the Perkins loan in it's calculation of eligibility. Contact the LIPP office with specific Perkins cancellation and postponement questions.
• There is only one repayment option for Perkins loans: fixed monthly payment amount for a maximum of 10 years depending on total amount borrowed (minimum monthly payment of $40).
• See Lender Contact Information for lender and servicer specific address and phone number.

Harvard Law School Loans:
• Harvard Law School loans have a fixed interest rate ranging from 5 -7% depending on the award year.
• Most students receive Unsubsidized Harvard Law School loans with the exception of international students who receive the first $8500 in subsidized funds in the 11-12 academic year (in order to mimic the federal loan program) and students with dependants.
• Your Unsubsidized Harvard Law School loans accrue interest from the date of disbursement, whereas your subsidized Harvard Law School loans do not accrue interest until the loan is in repayment.
• Your loan has a six month grace period with the first payment due in the seventh month after the last day of class which for May graduates, is May 15, 2014
• The Harvard Law School loans cannot be consolidated
• There is only one repayment option for Harvard Law School loans: 10 years of a fixed monthly payment amount (minimum monthly amount of $50).
• Harvard University is the lender and servicer of these loans.
• See Lender Contact Information for lender and servicer specific address and phone number.

CitiAssist Student Loans:
• All of your CitiAssist Law loans have been sold to Discover Student Loans and are now serviced by Discover..
• CitiAssist loans have a variable interest rate that adjusts quarterly. This means that your repayment amount will change every three months based on the interest rate for the quarter. Interest accrues on all of your CitiAssist Law loans from the date of disbursement and is capitalized once at the time of repayment.
• The grace period is nine months.
• Your length of repayment is based on the total amount you borrowed up to a maximum of 20 years.
• You will have a level repayment where you pay both interest and principal on a monthly basis.
• You may receive a 0.25% interest rate reduction during repayment as long as you make your payments electronically through Citibank's E-Z Pay and recieve electronic statements only (no paper statements).
• Citibank does not offer any deferment, forbearance, or consolidation provisions on their private loans.
• See Lender Contact Information for lender and servicer specific address and phone number

Discover Student Loans:
• You chose to have either a variable or a fixed interest rate with your Discover loan.  Keep in mind that a variable interest rate will adjusts quarterly. This means that your repayment amount will change every three months based on the interest rate for the quarter.
• Interest accrues on all of your Discover loans from the date of disbursement and is capitalized once at the time of repayment.
• The grace period is nine months.
• Your length of repayment is based on the total amount you borrowed up to a maximum of 20 years.
• You will have a level repayment where you pay both interest and principal on a monthly basis.
• You may receive a 0.25% interest rate reduction during repayment as long as you make your payments electronically through Auto Debit Reward and for variable interest rate borrowers you can earn a 2% Graduation Reward on your outstanding principal balance, which can be redeemed as  a deposit to your bank account or as a credit to your student loan balance. .
• Discover does not offer any deferment, forbearance, or consolidation provisions on their private loans.
• See Lender Contact Information for lender and servicer specific address and phone number.

Sallie Mae Smart Option Loan:
• You chose to have either a variable or a fixed interest rate with your Smart Option loan.  Keep in mind that a variable interest rate will adjusts quarterly. This means that your repayment amount will change every three months based on the interest rate for the quarter.
• Interest accrues on all of your Smart Option loans from the date of disbursement and is capitalized once at the time of repayment.
• The grace period is six months.
• Your length of repayment is based on the total amount you borrowed and can be anywhere from 5 - 15 years.
• You may receive a 0.25% interest rate reduction during repayment as long as you make your payments electronically through auto debit. May qualify for  2% Smart Reward if enrolled in UPromise - remember to ask your lender for this information.
• Sallie Mae does not offer any deferment, forbearance, or consolidation provisions on their private loans.
• See Lender Contact Information for lender and servicer specific address and phone number.

Chase Select and International Loans:
• All Chase loans have a variable interest rate based on 3-Month LIBOR + margin.
• Your loan has a six month grace period which begins after the last day of classes which for May graduates is May 15, 2014 (Federal regulations state that your graduation date is the last day of class and not the actual date you receive your diploma.
• Students have 20 years to payback loans that are less than $30,000 and 25 years for loans that are greater than $30,000.
• The default repayment plan is the maximum. Contact Chase Loan Servicing to change our repayment schedule.
• You may receive a 0.25% interest rate reduction during repayment as long as you enroll in automated ACH payments.
• See Lender Contact Information for lender and servicer specific address and phone number.

Harvard University Employee Credit Union Loans:
• All HUECU loans have an initial fixed rate, then after 5 years switches to a variable rate program based on Prime + margin.
• Your loan has a six month grace period which begins after the last day of classes which for May graduates is May 15, 2014. (Federal regulations state that your graduation date is the last day of class and not the actual date you receive your diploma.)
• There are both standard and graduate repayment plans. The optional graduated repayment provides lower payments during the first two years of repayment. Contact HUECU loan servicing for more information.
• You have 15 years to repay loans that are less than $40,000. You have 20 years to repay loans that are greater than $40,000. You are able to repay early at anytime with no penalty.
• You may receive a 0.025% interest rate reduction for entering into the auto-debit program.
• See Lender Contact Information for lender and servicer specific address and phone number.

Last modified: February 25, 2014