Dependent Students Base Max Additional Unsubsidized
Freshman (0-29 credits) $3,500 $2,000 (max-$5,500 total)
Sophomore (30+ credits) $4,500 $2,000 (max-$6,500 total)
Independent Students Base Max Additional Unsubsidized
Freshman (0-29 credits $3,500 $6,000 (max-$9,500 total)
Sophomore (30+ credits) $4,500 $6,000 (max-$10,500 total)
Financial Aid Office, 2755 E. Napier Avenue
Benton Harbor, MI 49022
Phone: 269-927-8112/ Fax: 269-927-8183
FEDERAL DIRECT LOAN UPDATE FORM | 2020-2021
LMC Student ID
All students (unless cancelling your entire loan) must complete Section A including the acknowledgments. Please
check one of the following and then complete only the related sections regarding the updates that you want regarding
your Federal Direct Loans.
To Cancel a previously accepted loan – Complete Section B (Section A not required)
To Reduce the amount on a previously accepted loan – Complete Section C (and Section A)
To Reinstate & Accept a previously Declined/Cancelled loan – Complete Section D (and Section A)
To Increase an already Accepted loan – Complete Section E (and Section A)
Section A – Enrollment Information, Loan Information, and Student Loan Acknowledgments
1) Indicate the number of credit hours you will be enrolled for during each of the semesters for which you are
requesting a loan. Note: You must enroll in a minimum of six credit hours each semester you request a loan.
Fall: Below 6 Credit Hours 6-8 Credit Hours 9-11 Credit Hours 12+ Credit Hours
Below 6 Credit Hours 6-8 Credit Hours 9-11 Credit Hours 12+ Credit Hours
Below 6 Credit Hours 6+ Credit Hours
2) Have you already accepted Student Loans through your Wavelink Account? Yes No
3) Have you completed all of the requirements for the Student Loans (Master Promissory Note, Loan Entrance
Counseling, and Financial Avenue)? Yes No
4) Loan Information
• Subsidized—Loans are need-based for which interest is paid by the government while in school at least half time.
• Unsubsidized—Loans where the student is responsible for paying the interest that accrues from the time the
loan is disbursed.
• 150% Subsidized Loan Limit—Limit on the number of credit hours (50% more than the normal number of credit
hours it takes to complete a program) for which you can borrow subsidized loan. Once over this 150% threshold,
a student is only eligible for unsubsidized loan funding.
• Origination Fees and Interest Rates—The origination fee is a loan processing fee that the federal government
takes out of the loans before disbursement to help run the program. The current origination fee is 1.059%, and
the current interest rate is 4.53%.
• Loan Limits—LMC students cannot borrow beyond the sophomore level. The full “Base” amount can be fully or
partly Subsidized depending on eligibility. If not eligible, then it is Unsubsidized.
Please Borrow Responsibly!
Dependent Students: $31,000 (only $23,000 can be subsidized)
These are LOANS that MUST be Repaid!
Independent Students: $57,500 (only $23,000 can be subsidized)