15.3. STUDENT LOANS

A. Short-Term Institutional Loans

The University of Texas at Austin provides short-term Emergency Cash Loans and Tuition Loans to eligible students.

Emergency cash loans are short-term loans given for a 30-day term and are due in full on or before the due date. A student must be currently registered at least half time to obtain a cash loan. A half-time student can be any of the following:

• Undergraduate – enrolled in at least six hours during a semester
• Graduate / Pharm D – enrolled in at least five hours in a long semester or at least two hours during a summer semester
• Law – enrolled in at least five hours in a long semester or at least three hours during a summer semester

For more specific information, see the applicable catalog on the University catalogs website or contact the Texas One Stop.

A student can receive a cash loan before the first day of class if the student’s tuition fee bill has been paid (or has been deferred to the student’s financial aid award) and the Office of the Registrar has loaded the registration records for that semester.

Tuition loans are short-term loans given for up to a 90-day period (depending on when the loan was taken out) that are applied to a student's tuition bill. Any subsequent refund of tuition and/or fees will be applied to the outstanding tuition loan regardless of the loan due date. For details regarding tuition loan guidelines, please refer to the Tuition Loans website.

B. Long-Term Institutional Loans

The Office of Scholarships and Financial Aid (OSFA) and various departments on campus have long-term institutional loan funds available to students. Some of these funds are similar to federal loans in that repayment does not start until a borrower graduates, withdraws from the university, or drops below half-time student status. None of these loans are eligible to be included in federal consolidation loans.

For specific information about these loans, the student can contact the Texas One Stop or the department in which the student is majoring to find out if that department has long-term institutional loan funds available. 

C. Federal Perkins Loans

Federal Perkins loans are no longer being issued, as this program ended in 2018. The University continues to service existing Perkins loans. For more information regarding Perkins loans, please refer to the Perkins Loan Services website.

D. Nurse Faculty Loan Program Loans

The Nurse Faculty Loan Program (NFLP) is a loan program funded by the Health Resources and Services Administration (HRSA) Bureau of Health Professions that allows The School of Nursing to make loans to students who are enrolled in the school’s advanced degree nursing programs with the intention of becoming nursing instructors. This is not a need-based loan program; however, students must complete a Free Application for Federal Student Aid (FAFSA) because it is a federal loan program.

For additional information regarding NFLP loans, please refer to the School of Nursing Financial Support website or contact the School of Nursing directly.

E. Loan Reporting & Penalties

• Credit Bureau Reporting

  Tuition loans, long-term institutional loans, Federal Perkins, and NFLP loans are reported to the three national credit bureaus the month after the loan is disbursed. Emergency cash loans that are sent to collection agencies are also reported to the credit bureaus.

• Financial Hold

  When a loan is past due, it becomes a financial hold, which prevents receipt of university services that may include registering for class, obtaining new institutional loans, and receiving a diploma.

• Collection Agency Placement

  If a short-term or long-term institutional loan reaches four months past due, or a federal loan reaches six months past due, the loan is sent to a collection agency outside the university and a collection fee is added to the amount owed.
  
   

Part 15. Student Accounting - Table of Contents