Funding for your education. Borrowing for your future.
Student loans can help cover education costs when scholarships, grants, personal resources, and other financial aid aren't enough. But borrowing is also a financial commitment that can extend beyond graduation.
At University of the Cumberlands, we want students and families to understand their options, know what they are borrowing, and make informed decisions about how much debt they take on.
Before considering student loans, complete the Free Application for Federal Student Aid (FAFSA) to determine what federal, state, and institutional financial aid may be available to you.
University of the Cumberlands FAFSA School Code: 001962
Questions about student loans or financial aid?
Office of Financial Aid
606.539.4220
1.800.343.1609 and ask for Financial Aid
studentfinancial [at] ucumberlands.edu (studentfinancial[at]ucumberlands[dot]edu)
Types of Student Loans
Federal student loans are offered through the U.S. Department of Education and may be available to eligible students who complete the FAFSA.
Federal student loans are offered through the U.S. Department of Education and may be available to eligible students who complete the FAFSA.
Federal loans generally offer benefits and borrower protections that may not be available with private student loans. Before considering a private loan, review the federal financial aid available to you and consider how much you actually need to borrow.
Direct Subsidized Loans are available to eligible undergraduate students who demonstrate financial need.
With a subsidized loan, the federal government generally pays the interest while you are enrolled at least half-time and during certain other periods. The amount you may borrow depends on federal annual loan limits and your individual financial aid eligibility.
Direct Unsubsidized Loans are available to eligible undergraduate and graduate students and are not based on financial need.
Interest begins accruing after an unsubsidized loan is disbursed, including while you are enrolled. You are not required to make payments while enrolled at least half-time, but unpaid interest may increase the overall cost of borrowing.
First-time federal student loan borrowers may be required to complete:
Entrance Counseling
Entrance counseling explains how federal student loans work, including interest, repayment, responsible borrowing, and your rights and responsibilities as a borrower.
Master Promissory Note (MPN)
The Master Promissory Note is the legal agreement in which you agree to repay your federal student loan, along with applicable interest and fees.
Complete federal student loan requirements and manage your federal student aid at StudentAid.gov.
Federal PLUS Loans may provide additional borrowing options for eligible parents and graduate or professional students.
Eligible parents of dependent undergraduate students may apply for a Direct PLUS Loan to help pay education expenses not covered by other financial aid.
Parent PLUS Loans are credit-based and require an application. The parent borrower is responsible for repayment of the loan.
Before borrowing, families should review the student's complete financial aid offer, the amount they actually need, current interest rates and fees, and available repayment options.
Eligible graduate students may qualify for federal student loans. Available loan programs, borrowing limits, and requirements are established by the U.S. Department of Education and can depend on when a student borrows.
Graduate students should complete the FAFSA and review their individual financial aid offer to determine which federal loan options are currently available to them.
For current federal borrowing options, eligibility requirements, and loan terms, visit StudentAid.gov or contact the Office of Financial Aid.
Being eligible to borrow a certain amount doesn't mean you have to borrow it all.
Before accepting a student loan, consider:
- Your remaining education expenses after scholarships, grants, and other financial aid
- Personal or family resources available to help cover costs
- The interest and fees associated with the loan
- How much you have already borrowed
- Your estimated monthly payment after leaving school
- Your anticipated income and ability to repay the debt
Borrowing less today can mean paying less in principal and interest later.
Cumberlands' commitment to affordability is designed to help students reduce the financial burden of earning a college degree. Explore your complete financial aid options before deciding how much you need to borrow.
Private student loans are education loans offered by banks, credit unions, and other private lenders rather than the federal government.
Eligibility and loan terms vary by lender and may depend on credit history or require a co-signer. Interest rates, fees, repayment terms, and borrower protections can also differ substantially from federal student loans.
Students should understand their federal financial aid eligibility before considering a private student loan.
If you still have eligible education expenses after considering scholarships, grants, federal student aid, and personal resources, a private loan may be an option.
University of the Cumberlands provides access to FASTChoice, an online loan comparison tool that allows students and families to review information from private education lenders and compare available loan options.
When comparing private loans, consider more than the amount you can borrow. Review:
- Interest rate and whether it is fixed or variable
- Origination or other fees
- Co-signer requirements
- Repayment terms
- When repayment begins
- Options for financial hardship
- Co-signer release provisions, if available
- Total estimated cost of the loan
If you need assistance completing a private education loan self-certification form, contact the Office of Financial Aid at 606.539.4220 or studentfinancial [at] ucumberlands.edu (studentfinancial[at]ucumberlands[dot]edu).
As part of the Higher Education Opportunity Act, lenders offering private loans for postsecondary educational expenses are required to provide certain disclosures. These disclosures include, but are not limited to, the loan terms and features at the time of the application and before the funds are disbursed to the University.
These disclosures provide information to borrowers and co-signers about the terms of the loan. Students must complete a self-certification form that notifies them about additional student loan programs that may offer less costly alternatives. As the borrower of the loan, if you wish to cancel the loan after the final loan disclosure is sent, you have a three-day rescission period.
(click the links below to view loan disclosure information for each lender)
Student Loans Code of Conduct
Our Student Loan Code of Conduct establishes guidelines intended to prevent conflicts of interest between the university, lenders, students, and parents participating in the financial aid process.
Student Loan FAQs
Understanding your student loan options can help you make informed decisions about paying for college and managing your education expenses. Whether you are an undergraduate student, graduate student, parent, or preparing to repay your loans, these answers can help you understand the student loan process and where to find additional assistance.
University of the Cumberlands students may be eligible for federal student loans or may choose to use private student loans to help pay eligible education expenses. Federal loan options vary based on factors such as your enrollment, degree level, dependency status, financial need, and other financial aid you receive.
Before considering a private student loan, students should review their eligibility for federal financial aid by completing the Free Application for Federal Student Aid (FAFSA).
Yes. Students seeking federal student aid, including federal student loans, must complete the Free Application for Federal Student Aid (FAFSA). Information from the FAFSA helps determine your eligibility for federal financial aid.
Completing the FAFSA does not obligate you to borrow a student loan. If loans are included in your financial aid offer, you can decide whether borrowing is right for you.
Direct Subsidized Loans and Direct Unsubsidized Loans are federal student loans, but they differ primarily in eligibility and how interest is handled.
Direct Subsidized Loans are available to eligible undergraduate students who demonstrate financial need. The federal government generally pays the interest on subsidized loans while you are enrolled at least half-time and during certain other periods.
Direct Unsubsidized Loans are available to eligible undergraduate and graduate students and are not based on financial need. Interest begins accruing after the loan is disbursed, including while you are enrolled.
Federal student loan limits depend on several factors, including whether you are an undergraduate or graduate student, your year in school, dependency status, cost of attendance, other financial aid you receive, and how much you have previously borrowed.
Your financial aid offer will identify the amount of federal student loans for which you are currently eligible. The amount offered is not necessarily the amount you need to borrow.
No. A student loan offer represents the amount you are eligible to borrow, not necessarily the amount you should borrow.
You can choose to borrow less than the amount offered. Before accepting a loan, consider your remaining education expenses, other financial resources available to you, and your ability to repay the loan after leaving school. Borrowing only what you need can reduce your total debt and the amount of interest you may pay over time.
Eligible graduate students may qualify for federal Direct Unsubsidized Loans. Federal loan eligibility and borrowing limits are determined according to federal requirements and can be affected by factors such as your cost of attendance, other financial aid, enrollment, and previous federal student loan borrowing.
Federal student loan programs and borrowing requirements can change, so graduate students should review their individual financial aid offer and current information from Federal Student Aid before making borrowing decisions.
Parents of eligible dependent undergraduate students may have federal borrowing options to help cover education expenses not met by other financial aid.
Because parent loan eligibility, borrowing limits, credit requirements, interest rates, fees, and repayment terms can differ from student loans, families should carefully review current federal requirements before borrowing.
Federal student loans are funded through the federal government and have terms and borrower protections established by federal law. Depending on the loan, these may include federal repayment options and other borrower benefits.
Private student loans are offered by banks, credit unions, and other private lenders. Interest rates, fees, credit requirements, repayment terms, and borrower protections vary by lender.
Students should carefully compare their options and understand their federal financial aid eligibility before deciding whether a private student loan is necessary.
A private student loan may be an option when you have remaining eligible education expenses after considering scholarships, grants, personal resources, and available federal financial aid.
Private loans are credit-based, and terms vary among lenders. Before borrowing, compare interest rates, fees, repayment terms, co-signer requirements, and borrower protections. Borrow only what you need to cover eligible education expenses.
University of the Cumberlands provides access to FASTChoice to help students compare private student loan options and lender information.
Student loan funds are intended to help pay eligible education expenses included in your cost of attendance. Depending on your circumstances, these expenses may include tuition, fees, books, supplies, housing, food, transportation, and certain other education-related costs.
The amount of financial aid you can receive is limited by your cost of attendance and other applicable financial aid requirements.
Entrance counseling helps first-time federal student loan borrowers understand their responsibilities as borrowers, including how loans work, how interest affects repayment, and the importance of repaying what they borrow.
The Master Promissory Note, or MPN, is a legal agreement in which you promise to repay your federal student loan and any applicable interest and fees according to the terms of the loan.
Students who are required to complete these steps can do so through StudentAid.gov.
Student loan funds are generally applied to your student account after all required loan documents and eligibility requirements have been completed and the scheduled disbursement date has been reached.
The timing of a loan disbursement can vary based on your enrollment, loan type, academic calendar, completion of required documents, and other factors. Contact the Office of Financial Aid if you have questions about the status or timing of your financial aid.
Repayment requirements depend on the type of federal student loan you have. Many federal student loans provide a period of time after you graduate, leave school, or drop below half-time enrollment before payments are required.
Because repayment requirements can vary by loan type and federal rules can change, review your federal student aid account and information from your loan servicer before leaving school.
Log in to StudentAid.gov to view information about your federal student loans, including your loan balance and the organization currently servicing your loans.
Your loan servicer can provide information about your account, payments, repayment plan, and available options if you experience difficulty making payments.
Federal student loan repayment options depend on factors such as the types of loans you have and when those loans were borrowed.
Federal repayment programs changed beginning July 1, 2026. Borrowers may have access to options including the Repayment Assistance Plan (RAP) and Tiered Standard Plan, while borrowers with older loans may have additional repayment options.
Because eligibility varies by borrower and loan, use the Federal Student Aid Repayment Calculator at StudentAid.gov to review current repayment plans, determine which options may be available to you, and estimate potential monthly payments.
If you are having difficulty making federal student loan payments, contact your loan servicer as soon as possible rather than waiting until you miss multiple payments.
Depending on your loans and circumstances, you may have options that can make repayment more manageable. Your loan servicer and StudentAid.gov can provide current information about repayment plans and other assistance for which you may qualify.
Private student loan borrowers should contact their lender directly because repayment assistance and hardship options vary by lender.
Missing federal student loan payments can lead to delinquency and, if unresolved, eventually default. Default can have serious financial consequences.
If you are struggling to make payments, contact your loan servicer as early as possible to understand your options. If your federal loans are already in default, visit StudentAid.gov for current information about resolving your default and returning your loans to good standing.
Federal student loans can generally be repaid early without a prepayment penalty. Paying more than your required monthly payment or making additional payments can reduce the amount of interest you pay and help you repay your loan sooner.
If you have private student loans, review the terms of your loan or contact your lender for information about additional payments and early repayment.
The University of the Cumberlands Office of Financial Aid can help you understand financial aid and student loan information related to your enrollment at Cumberlands.
For questions about federal student loans that have already entered repayment, including your monthly payment, repayment plan, or account status, contact your federal loan servicer or visit StudentAid.gov.
Office of Financial Aid
Phone: 606.539.4220
Toll Free: 1.800.343.1609 and ask for Financial Aid
The Department of Education publishes federal Cohort Default Rates for every institution once per year. The current national cohort default rate is 0.0% and the current official cohort default rate for University of the Cumberlands is 0.0% due to suppression caused by the COVID-19 payment pause and subsequent 12-month repayment on-ramp, which prevented borrowers from accruing the 270 days of delinquency required for default within the applicable measurement window. For additional information regarding the default rate process and to access University of the Cumberlands cohort default rate information, enter the following code in the OPE-ID field: 001962 at the Student Loan Default link.
What is the Cohort Default Rate?
The Cohort Default Rate (CDR) is a measure used by the U.S. Department of Education to help determine a college or university’s eligibility to participate in federal student aid programs. Schools may face sanctions if their default rate exceeds 40% in a single year or remains above 30% for three consecutive years.
A student loan goes into default when the borrower does not repay the loan according to the terms outlined in the Master Promissory Note (MPN). For most federal student loans, default occurs after no payment has been made for more than 270 days.
Defaulting on a federal student loan can have serious consequences, including the loss of eligibility for future federal student aid and possible legal or financial action. At University of the Cumberlands, we encourage students to stay informed about their loan responsibilities and seek assistance early if they are having difficulty making payments.
For Washington State residents seeking information and resources about student loan repayment or seeking to submit a complaint relating to your student loans or student loan servicer, please visit www.wsac.wa.gov/loan-advocacy or contact Student Loan Advocate at loanadvocate [at] wsac.wa.gov (loanadvocate[at]wsac[dot]wa[dot]gov).