Institutional Loans

1.    What is an Institutional Loan?

An Institutional loan is a low interest loan with a fixed rate in which LMU is the lender and financing and payments are handled directly through the school and its subsidiary.

2.    What are the terms and conditions of an Institutional loan?

·    Must complete FAFSA online and meet general requirements to be eligible for financial aid.

·    Must be a US citizen or eligible non-citizen.

·    Students must be enrolled full-time each semester, and maintain satisfactory academic progress.

·    Meet other eligibility requirements specific to the amount and type of loan.

3.    What are the differences between each Institutional Loan?

·    The LMU California Student Loan is for California residents only and has a 0% interest rate.

·    The Fritz B. Burns and Jack Shandler loans are for non-CA residents and have a 1% interest rate.

·    The Miyawaki Hawaii loan is for Hawaii residents and has a 0% interest rate.

4.    How do I apply?

Students do not apply for these loans.   Funding is limited and eligible students who apply for financial aid are awarded as funding permits.

5.    How do I accept the loan?

If you are offered an institutional loan, you must accept it via your Prowl account no later than 30 days after the start of the semester for which the loan was offered. 

6.    Are there other requirements to receive an institutional loan?

Students are required to complete a promissory note and other private loan disclosures prior to disbursement of an institutional loan.  All requirements are posted as missing requirements on your PROWL account.  All requirements are completed online via a link provided in an email notification sent to the students’ LMU lion email account by LMU’s contracted servicer (ECSI).

7.    How long before I receive funding for my loan after I complete the requirements?

After you complete all loan requirements, the Office of Student Financial Services (link) updates your PROWL account to show that the requirements are completed and your loan funds will disburse to your Student Account.  No disbursements are earlier than 10 days prior to the start date of the semester for which you accepted the loan. Delay in completing loan requirements will delay disbursement of these funds to your student account.

8.    I am an independent student without a co-borrower; can I still qualify for an Institutional loan?  

Independent students are also required to have a co-borrower to qualify for this loan. The co-borrower can be the parent, other relative or friend who agrees to accept responsibility as co-borrower for the loan. 

9.     My loan was not approved due to my/co-signers credit, am I able to appeal?

Loans offered greater than $5000 require a credit worthy co-borrower.  If your co-borrower does not pass the credit check, the financial aid office will notify your co-borrower of what is required to appeal.

10.  I no longer need the loan but have already been funded, what are my options?

You may cancel this loan at any time and the funds will be reversed from your student account.

11.  Do I need to reapply for the same loan every year?

To be considered for an institutional loan in future years, you must apply for financial aid by completing the FAFSA by LMU’s priority processing deadlines.