What is a Loan?

A loan is money you borrow and must pay back with interest.  If you decide to borrow loans, make sure you know the terms and conditions of the loan.  It is important to understand that a loan is a legal obligation that you will be responsible for repaying with interest so you are encouraged to be a responsible borrower. 

You may receive the following types of loans while attending LU:

  1. Federal
  2. State
  3. Alternative

A loan payment calculator is available for your use to estimate how much your monthly payment may be before you decide to borrow loans. For more detailed information on types of loans and eligibility requirements please view the Financial Aid Handbook.

More Information

Please note that if you and/or your parent enter into an agreement regarding a TIV, HEA loan, the loan will submitted to the National Student Loan Data System (NSLDS) and accessible by authorized agencies, lenders, and institutions determined to be authorized users of the data system as determined by the U.S. Department of Education.

The Federal Student Aid Ombudsman Group is a resource available to help with unresolved disputes related to federal student loans.  Before contacting the Ombudsman Group, you should try to resolve problems with your student loan yourself. Contact information for FSA Student Loan Ombudsman is listed below:

Online assistance: http://studentaid.gov/repay-loans/disputes/prepare

Telephone: 877-557-2575

Fax: 606-396-4821

FSA Ombudsman Group
P.O. Box 1843
Monticello, KY 42633


Federal vs. Private Loans

Avoiding Scams

Federal Loan Interest Rates and Fees