Loans
Student Loans at RVC
At Rock Valley College, because of the relatively low cost of tuition, the RVC Financial Aid Office does not include student loans with the initial financial aid package as some other colleges or universities do. Federal Direct Loans are processed by request only. Loan applications are available by request at the Rock Valley College Financial Aid office (second floor of the Stenstrom Student Center). Only students that meet eligibility requirements will be given a loan request form.
How to Apply/Eligibility
- Have completed the Free Application for Federal Student Aid (FAFSA) and have a completed financial aid file with Rock Valley College.
- Meet all eligibility requirements (ex: satisfactory academic standards).
- Be enrolled in AND attending six financial aid eligible credit hours per semester.
- Complete a Master Promissory Note and the Online Entrance Counseling. Sign in at studentaid.gov to complete your Master Promissory Note and Online Entrance Counseling.
Understanding Your Loan Options
Federal Direct Loans
- There are two types of Federal Direct Loans: Subsidized and Unsubsidized. For more information, visit
- Subsidized Loan 鈥� This loan is based on financial need. The interest on this type of loan does not accrue while the borrower is actively enrolled/attending an approved program.
- Unsubsidized Loan 鈥� This loan is not based on financial need and interest starts accruing from the date of disbursement. Borrowers can choose to pay the interest while attending school to keep costs down, or let the interest capitalize and be added to the principal balance.
- Students should keep track of current and past Direct Loans through StudentAid.gov.
- To default means you failed to make your payments on your student loan as scheduled according to the terms of your promissory note, the binding legal document you signed at the time you took out your loan. Default occurs when you become 270 days delinquent in making payments on your loan. As of the time of this writing, the official 3-year cohort default rate for Rock Valley College is 0.0%, which is equal to the average national default rate of 0.0%. The current default rate of 0.0% is due to the temporary pause in student loan payments that occurred from March 2020 to September 2023 due to COVID-19.
- For a full review of the terms and disclosures, please review the Plain Language Disclosure for Federal Direct Subsidized and Unsubsidized Loans.
The One Big Beautiful Bill Act, signed into law on July 4, 2025, includes several important changes to federal student aid, including the Federal Direct Student Loan Program. Beginning with the 2026-27 academic year, the U.S. Department of Education (ED) will require annual Direct Loan limits to be prorated based on how many credits a student is enrolled in compared to full-time status. ED will also require annual eligibility to be recalculated based on any reduction in enrollment.
What This Means for You
- If you are enrolled full time (12 or more financial aid鈥揺ligible credit hours), you may be eligible for up to 100% of the per-semester total
- If you are enrolled less than full time, your loan eligibility will be reduced based on your enrollment intensity. For example, if you are enrolled half-time (6 financial aid鈥揺ligible credit hours), you may be eligible for up to 50% of the per-semester total
- If you add, drop, or withdraw from classes, your semester or annual total may be adjusted
- If you drop or withdraw before your loan is disbursed, future semester loan amounts may be adjusted
- If you drop or withdraw after your loan is disbursed, your annual total may be adjusted
Additional guidance from ED regarding specific proration calculations and implementation is expected at a later date.
Federal Loan Proration (2026-27) - Dependent Students
| Credits (Per Semester) | Enrollment Intensity | Dependent Students - First Year, Per Semester | Dependent Students - First Year, Annual Total | Dependent Students - Second Year, Per Semester | Dependent Students - Second Year, Annual Total |
|---|---|---|---|---|---|
| 12 | 100% | $2,750 | $5,500 | $3,250 | $6,500 |
| 11 | 91.67% | $2,521 | $5,042 | $2,979 | $5,958 |
| 10 | 83.33% | $2,292 | $4,584 | $2,708 | $5,416 |
| 9 | 75.00% | $2,063 | $4,126 | $2,438 | $4,876 |
| 8 | 66.67% | $1,833 | $3,666 | $2,167 | $4,334 |
| 7 | 58.33% | $1,604 | $3,208 | $1,896 | $3,792 |
| 6 | 50.00% | $1,375 | $2,750 | $1,655 | $3,250 |
| 1 to 5 | Below Half-Time Status | No Eligibility | No Eligibility | No Eligibility | No Eligibility |
Note: Amounts shown are examples based on equal enrollment each semester and are provided for illustrative purposes only. Final loan eligibility is subject to U.S. Department of Education guidance, which remains pending. Annual loan limits apply based on grade level and dependency status. Institutions may adjust loan amounts as needed to ensure annual limits are not exceeded. Based on individual eligibility, some students may qualify for less than the amounts shown above.
Federal Loan Proration (2026-27) - Independent Students
| Credits (Per Semester) | Enrollment Intensity | Independent Students - First Year, Per Semester | Independent Students - First Year, Annual Total | Independent Students - Second Year, Per Semester | Independent Students - Second Year, Annual Total |
|---|---|---|---|---|---|
| 12 | 100% | $4,750 | $9,500 | $5,250 | $10,500 |
| 11 | 91.67% | $4,354 | $8,708 | $4,813 | $9,626 |
| 10 | 83.33% | $3,958 | $7,916 | $4,375 | $8,750 |
| 9 | 75.00% | $3,563 | $7,126 | $3,938 | $7,876 |
| 8 | 66.67% | $3,167 | $6,334 | $3,500 | $7,000 |
| 7 | 58.33% | $2,771 | $5,542 | $3,063 | $6,126 |
| 6 | 50.00% | $2,375 | $4,750 | $2,625 | $5,250 |
| 1 to 5 | Below Half-Time Status | No Eligibility | No Eligibility | No Eligibility | No Eligibility |
Note: Amounts shown are examples based on equal enrollment each semester and are provided for illustrative purposes only. Final loan eligibility is subject to U.S. Department of Education guidance, which remains pending. Annual loan limits apply based on grade level and dependency status. Institutions may adjust loan amounts as needed to ensure annual limits are not exceeded. Based on individual eligibility, some students may qualify for less than the amounts shown above.
Repayment Options
Borrowers who receive new federal student loans on or after July 1, 2026, will have access to only two repayment options: a new Standard Repayment Plan and a new income-driven repayment plan called the Repayment Assistance Plan (RAP). If a borrower does not actively select a repayment plan, they will be automatically placed in the new Standard Repayment Plan.
Standard Repayment Plan
- Fixed repayment terms of 10, 15, 20, or 25 years, based on the total amount borrowed
- Borrowers will be assigned to this plan if another option is not selected
- This plan is required for new Parent PLUS loans
Repayment Assistance Plan
- Monthly payment equal to 1鈥�10 percent of income, based on adjusted gross income
- Minimum monthly payment is $10
Borrowers who do not receive any new loans on or after July 1, 2026, may continue to use the current Standard, Graduated, Extended, or Income-Based Repayment (IBR) plans. They may also choose to enroll in RAP. These borrowers may switch between, enter, or remain in existing income-driven repayment plans through July 1, 2028.
The Rock Valley College Financial Aid Office will continue to monitor these changes and will provide updates as new information or official guidance from the U.S. Department of Education becomes available. Thank you for your patience as we work through these updates.
Resources
Important Disclaimer: The information provided here by RVC Financial Aid staff is intended to help students understand recent changes to federal student loan programs. While this information reflects our good faith understanding of evolving federal requirements, it is not official guidance and should not be considered final or authoritative. For official information and updates, students should refer to federal government sources, including Federal Student Aid at StudentAid.gov.
Private Loans
Students that wish to receive a private student loan to help fund their education will need to apply with their lender. Rock Valley does not have a preferred lender list. If approved, the lender should notify the school that the student has been approved for a private student loan. The Financial Aid Office will then send out notification to the student鈥檚 RVC Student Email account to confirm that the student wishes to proceed with the private loan. The private student loan will not be processed until the RVC Financial Aid Office receives this confirmation from the student that they would like to proceed with the private loan.
- Private student loans are generally more expensive than federal student loans and are generally not recommended for Rock Valley College students. Federal Direct Subsidized or Unsubsidized Loans should always be considered first prior to seeking out private loans.
- Private loans often require an established credit record or a cosigner.
Parent Plus Loans
- Parent Plus Loans have higher interest rates and fees when compared to Federal Direct Subsidized Loans and Federal Direct Unsubsidized Loans and are not generally recommended for Rock Valley College students. Please note that loans are limited to the total cost of attendance minus whatever other aid the student may already be receiving. The parent is responsible for paying back the entire loan and a credit check will be required. See the Rock Valley College Financial Aid Office for more details.
- For a full review of the terms and disclosures, please review the Plain Language Disclosure for Federal Direct PLUS Loans.
Disbursements: When will I get my money?
- Full Year Loans: The first half of the loan will be disbursed prior to the first week of the fall term, and the second payment will be disbursed the first week of the spring term. If the student is a freshman first-time borrower, the fall disbursement will be delayed until 30 days into the semester (per Federal regulations).
- One Semester Loans for Fall/Spring: The first half of the loan will be disbursed prior to the first week of the term, the second payment will be disbursed about midterm of the semester. If the student is a freshman first-time borrower, the first disbursement will be delayed until 30 days into the semester (per Federal regulations).
Important Information
Entrance/Exit Counseling
All students who accept a Federal Direct Loan will be required to complete the Entrance Counseling, which is essentially an overview of your rights and responsibilities regarding your loan. In contrast, the exit counseling will be required if the student withdraws, graduates or drops below the half-time enrollment minimum. Information provided covers interest rates, repayment plan options, loan consolidation, loan forgiveness and loan discharge. Entrance and Exit Counseling for federal student loans can be completed at after logging in.
Loan Code of Conduct
Review the RVC Student Loan Code of Conduct
Loan Counseling Sessions
As a first time student loan borrower, you are required to complete an in-person loan counseling session. There is a limit to the number of attendees for the loan counseling sessions. We apologize, but because of restricted space family members may not be able to attend. If you have any questions, do not hesitate to call the Financial Aid Office at (815) 921-4150.
After logging in, students will need to select 鈥淪chedule an Appointment鈥� at the top of the page and then select 鈥淔inancial Aid Loan Counseling鈥� to register for an upcoming student loan counseling session.