Does Moody Bible Institute Permit Student Loans?

The Moody Bible Institute offers a tuition-paid education on its Chicago campus for all undergraduate students. The annual tuition is $12,768, with room and board fees of $12,820. The total cost of attendance is estimated to be $34,163 per year. To assist with these costs, the institute offers financial aid in the form of grants, scholarships, and loans. While the institute encourages students to explore alternative payment options, it does allow students to take out loans. Federal Direct Loans are available to eligible dependent and independent undergraduate students enrolled for at least six credits per semester. Additionally, eligible parents can borrow up to the full annual cost of their child's education through the Federal Direct PLUS Loan program. The institute also provides need-based and merit-based scholarships and grants to help students finance their education.

Federal Direct Loans

Subsidised Federal Direct Loans are need-based loans with flexible repayment options. They are available to undergraduate students who meet the basic eligibility requirements. The interest on these loans is paid by the federal government while the student is in school or during a period of deferment.

Unsubsidised Federal Direct Loans are non-need-based loans with flexible repayment options. They are available to undergraduate and graduate students with or without financial need. Students are responsible for paying the interest on these loans after the funds are disbursed.

To apply for a Federal Direct Loan, students must complete the Free Application for Federal Student Aid (FAFSA) and any other required processes, such as accepting the loan, completing a Master Promissory Note (MPN), and completing entrance loan counselling. It is important to carefully consider borrowing needs and only borrow what is necessary, as indebtedness can be a significant burden upon graduation.

At Moody Bible Institute, students may apply for Federal Direct Loans to help cover the cost of their education. The median federal loan debt among borrowers who completed their undergraduate degree at Moody Bible Institute is $18,149, with a median monthly payment of $192 (assuming a 10-year repayment period at 5.05% interest). The institute encourages students to explore other payment options and scholarships to minimise their loan debt.

PLUS Loans

The Moody Bible Institute offers a tuition-paid education on its Chicago campus for all undergraduate students. This is made possible through the Moody Grants, funded by gifts from donors, and by grants from federal Title IV programs (Federal Pell Grants and Federal Supplemental Educational Opportunity Grants), accepted on behalf of eligible students. Students are required to complete the Free Application for Federal Student Aid (FAFSA) to receive this grant.

The Institute also offers other financial aid options, including scholarships, grants, and loans. Students may apply for federal direct student loans to help cover the cost of education, although they are urged to secure funding through payment options other than loans. The Institute's Financial Aid Office seeks lenders that offer favourable loan products through an annual review of loan terms, customer service, borrower benefits, default prevention, and products available.

Scholarships

The Moody Bible Institute offers a variety of scholarships and grants to its students. The Institute awards scholarships and grants to students who are both worthy and in need of financial aid. The Institute relies on donations from its partners and donors to directly fund every scholarship and grant. As such, assistance is first awarded to students nearest to graduation.

There are two types of scholarships available: institutional scholarships and external scholarships. Institutional scholarships are awarded annually, up to $3,000 per academic year, and are based on a combination of need and merit. To be eligible, students must enrol in at least 6 credit hours per semester in a degree-seeking program. Need is determined by completing the FAFSA, while merit is determined by academic history, references, ministry involvement, and ministry intent upon graduation.

To apply for institutional scholarships, students must complete the FAFSA and fill out the Institutional Scholarship Application located in my.moody.edu under "Financial Aid". The Financial Aid Office will then review the application. If awarded a scholarship, the organisation will mail a cheque to the Moody Bible Institute, addressed to the student.

External scholarships are awarded by organisations not necessarily affiliated with the Moody Bible Institute. These scholarships are awarded based on academic achievement, talent, or other criteria. Students can research external scholarships and grants to see if they qualify for awards. Churches, denominations, ministries, and other organisations often present scholarships to active participants.

Some examples of endowed scholarships funded by generous donors include:

• The Moody Scholarship, funded by Mr. and Mrs. Kenneth and Jean Hansen, is awarded to students intending to serve the Lord Jesus Christ in future Christian service outside the North American continent.
• The scholarship funded by Mr. and Mrs. Hakon and Karen Torjesen, in honour of Agnes Gunderson Olness, is intended for students studying in the Institute's Communications (Broadcasting) Major and preparing for service in radio broadcasting ministry.
• The scholarship funded by Harold M. Faust, in memory of his brother Albert E. Faust, is awarded to upperclassmen of Moody's Missionary Aviation program who are training for service in missionary aviation and demonstrate an exemplary Christian life.
• The scholarship funded by Mr. and Mrs. Gene and Barbara Polk, is intended for students committed to serving the Lord in Christian ministry through the advocacy and restoration of victims of abuse or neglect.

Work-study programs

Moody Bible Institute is a fully accredited Christian college with campuses in Chicago, Illinois, and Spokane, Washington. The institute also offers online Bible degrees and certificate options.

The institute offers various financial aid options to help students cover the cost of their education. While Moody does charge tuition, it aims to keep its rates affordable. Federal financial aid can be applied to room and board, and other costs and fees, with the student covering the remainder.

Students may apply for federal direct student loans, which are available to eligible dependent and independent undergraduate students enrolled for at least six credits per semester. These include subsidized loans, where the federal government pays the interest while the student is in school, and unsubsidized loans, where the student pays the interest. The institute also recommends that students consider federal loans before private loans.

In addition to loans, students may qualify for need-based or merit-based scholarships, which do not need to be paid back. Need-based scholarships take into account a student's financial status, while merit-based scholarships are awarded for academic, athletic, or other achievements.

To help reduce student loan debt, Moody also offers work-study programs. These programs allow students to work on-campus jobs, which can provide income to help cover their educational expenses. During spring, summer, and winter break periods, students working on campus receive a 50% discount on their residence costs.

The institute encourages students to secure funding through payment options other than loans and to borrow only what they need. It also provides resources and guidance to help students make informed decisions about their financial aid options.

Private student loans

When considering a private student loan, it is important to keep in mind that the interest rates and fees you will pay are based primarily on your credit history or credit score. Many undergraduate students must apply with a co-signer due to their limited credit history. In some cases, a co-signer can also help you get a better interest rate and lower fees for your loan. Private lenders typically look for borrowers with strong credit scores, usually in the mid-600s or better, and a steady income that covers their monthly expenses.

It is worth noting that federal student loans are generally a better choice than private loans for several reasons. Firstly, you don't need a credit history, income, or a co-signer to obtain a federal loan. Secondly, federal loans tend to have lower interest rates and offer benefits like income-driven repayment plans and student loan forgiveness opportunities. Additionally, federal loans provide flexible repayment options, such as deferment and forbearance, which may not be available with private loans.

Before taking out any student loan, it is essential to carefully consider your options and understand the terms and conditions of the loan. It is recommended to explore federal student loans, scholarships, grants, and work-study programs as alternative sources of funding before resorting to private student loans.

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