How to Finance Your Education at

The American University of Rome

Below is an outline of how to access US Federal and private loan programs at The American University of Rome. 

The aid process is similar to applying for aid at a US based institution; however there are some key differences that do make applying for aid outside the US different.

For financial aid purposes, AUR is defined as a “foreign” school because it is located outside the US territory.  Therefore AUR is currently not allowed to:

·        receive the FAFSA application electronically;

·        to access aid other than Federal Stafford, and Parent PLUS loans;

·        or to use the Master Promissory Note (MPN) for more than one year at a time.

By being proactive however, and following the steps outlined below, you should still be able to access your aid in a timely manner.  There are no deadlines to apply for financial aid.  However, in order for aid to be applied to your financial account by the time tuition is due, you should apply by June 15 for the Fall semester, and apply by October 15 for the Spring semester.  Otherwise, you will be responsible to pay for tuition in full.

What will I be eligible for?

STAFFORD LOANS

US citizens and eligible permanent residents of the United States are eligible for Federal Stafford Loans. The Federal Stafford Loan is a low-interest federal loan program available to undergraduate students. The program includes both subsidized (based on need) and unsubsidized (not based on need) loans. For unsubsidized loans, interest begins to accrue (accumulate) as soon as the loan is disbursed; for subsidized loans, interest begins to accrue when repayment begins (six months after you leave school or your attendance drops below half time).

Your Stafford loan eligibility will vary based on the information from your FAFSA and your grade level.  See chart below.

Additional amounts may be borrowed each year above the Stafford amounts through the Parent PLUS Loan Program. The maximum amount you may borrow is established by AUR based on the Cost of Attendance (COA). The parent borrower has a maximum of 10 years to repay the loan; payments begin 60 days after the loan has been disbursed. The interest rate is fixed at a maximum of 8.5%, although many lenders offer borrower benefits which may reduce this rate. PLUS Loans also have an origination fee of up to 3%, but again different lenders may assist the borrower with this fee. Like Stafford, funds for the loan are provided by private lenders and guaranteed by the Federal government. Repayment of principal and interest begins at the time the loan is disbursed.

Completed Federal Parent PLUS loan applications will be certified by the Admissions and Financial Aid Office in Rome once all the required paper work is received. Loan approval or denial will be communicated to the borrower by the lender. A credit history is not required for loan approval; however, adverse credit may cause a loan to be denied. Students whose parents are denied a PLUS Loan due to poor credit may borrow a limited amount of additional funds from the unsubsidized Stafford Loan program or the parent may have an endorser.

NOTE: Current federal legislation prohibits US citizens enrolled in a college outside of the United States from receiving Pell Grants, SEOG, Perkins Loans and Federal Work Study funds even though they may be eligible for such assistance.

There may also be private, credit-based loans available to you; however your total aid can never exceed the COA.

If you are studying abroad, you will process your aid through your home university in the United States.

*Amounts effective for loans disbursed after July 1, 2008

Accessing the Loans in Four Basic Steps

STEP 1:  Completing the FAFSA.

Complete the FAFSA on line at www.fafsa.ed.gov and list AUR’s Federal School Code:  G31025-00

AUR cannot currently receive this information electronically.

How does AUR receive the information?

To process your aid, you need to obtain and submit the Eight-Page SAR that is available after you complete the FAFSA.  The normal SAR receipt you are mailed by the Department of Education is not enough.

Two different ways to get the Eight-Page SAR

1.  When you submit your FAFSA online do not list your email address and the Eight-Page SAR should be mailed to you.

2.  If you submitted your FAFSA already you may call +1-800-4FEDAID and request the Eight-Page SAR. 

STEP 2:  Obtaining a lender

It is up to you as the borrower to decide which lender you would like to use.  However, AUR may recommend a particular group of lenders, or way of applying that will help your aid process run more smoothly.  If you wish to choose a lender not recommended by AUR, contact the financial aid office immediately, or your aid may be delayed.  We recommend you choose a lender who has experience in dealing with non-US schools. Not all lenders deal with non-US schools and as a result often give misinformation and delays.

Lenders:

IEFC:  International Education Finance Corporation (IEFC) is a company that specializes in students studying outside the United States.  IEFC provides Stafford and Parent PLUS loans through Bank of America, Chase and Wachovia. Apply online at www.iefc.com. 

Sallie Mae: Sallie Mae has a specialist team for students at foreign schools. Sallie Mae offers the Signature Loan as their Private Loan option. Apply online at www.salliemae.com/international.

You can e-sign your loans with IEFC and Sallie Mae if you choose.  If you do not you must follow the instructions below.

After you apply online print three copies of your Stafford and/or PLUS Master Promissory Note (MPN).  One copy is for your records, the second copy is for AUR and the third copy is for the lender.

STEP 3:  Send your information to AUR for certification.  Note: Upon receipt of your tuition deposit, your loans will be certified by the Financial Aid Office.

1.  The Eight-Page SAR

2.  Any Master Promissory Notes (MPN) or private Loan applications should be printed from the website, and signed. – not required if you have E-signed your forms.     

These documents should be mailed to the following address:

Mara Nisdeo

Director of Admissions and Financial Aid Administrator

C/O The American University of Rome

Via Pietro Roselli, 4

00153 Rome - Italy

STEP 4: Complete Loan Entrance Counselling on-line

Go to www.mapping-your-future.org to learn your rights and responsibilities regarding Stafford loans.   

PRIVATE LOANS FOR STUDENTS

Some students take advantage of private loan programs that enable them to borrow money for education costs. Interest rates are higher than for federal student loans, and many have significant origination fees. For these reasons and out of concern for student debt levels upon graduation, we encourage you to consider these loans only as a last resort.

Sallie Mae International: Apply online at www.salliemae.com/international

For further questions please contact Mara Nisdeo or Anna Colasante at (01139) 0658330919 or at m.nisdeo@aur.edu or a.colasante@aur.edu