Student Loans & Federal Aid

SIPA students who are US citizens or permanent residents, and who are enrolled on at least a half-time basis (minimum of 6 credits per semester) may be eligible for one or more of the following aid programs:

• Federal Direct Unsubsidized Loans: annual maximum amount available is $20,500, and an origination fee of 1.057% is deducted at the time of disbursement.  Interest is fixed at 7.05% for loans made first disbursed on or after July 1, 2023 for the 2023/24 academic year (6.54% for loans disbursed prior to 7/1/23).  Interest accumulates while in school (temporarily not accumulating through 6/30/23). Lifetime aggregate limits apply, which include amounts borrowed as an undergraduate.
• Federal Graduate PLUS Loans: a credit-based loan that can be borrowed up to the full cost of attendance (which includes tuition, fees, room and board, books and other miscellaneous expenses) minus all other forms of aid including scholarships, Work Study and other loans.  An origination fee of 4.228% is deducted at the time of disbursement. Interest is fixed at 8.05% for loans made on or after July 1, 2023 for the 2023-24 academic year (7.54% for loans disbursed prior to 7/1/23).  Interest accumulates while in school (temporarily not accumulating through 6/30/23).  Information about the Graduate PLUS loan credit requirements can be found here.
• Federal Work Study: available on a limited basis to high-need students as determined by data on the FAFSA; annual earning limits typically start at $4,000.  Students whose aid package includes Work Study (and who accept their Work Study offer) will receive information about how to locate a job, which may be anywhere at Columbia (not necessarily at SIPA).  Work Study pay is not credited towards your tuition.  Like any salary from employment, Work Study earnings are potentially taxable income.  For information on using your work study allocation for off-campus employment, refer to the SIPA Career Advancement Center.  Please note students may work up to 20 hours per week during the academic year (including spring break) and 35 hours per week during eligible winter and summer breaks.  Also note that Work Study eligibility is not a requirement for SIPA Assistantships, which are not paid using Work Study funds.

SIPA satisfactory academic progress

• All recipients of federal financial aid must be meeting SIPA's standards for satisfactory academic progress.
• A cumulative grade point average of at least 3.0, satisfactory completion of a minimum of 2/3 of all credits attempted, and completion of the degree in no more than 150 percent of the published time frame normally required (for example, no more than 3 years for a 2 year program) is required for all federal loan borrowers and Work Study employees.

• Academic progress is reviewed on an annual basis.  Students found not to be meeting these standards will be notified by the Office of Financial Aid, and may be able to appeal their status.

How to calculate the amount to borrow

• The Unsubsidized Direct Loan and the Graduate PLUS Loan both have origination fees deducted at the time of disbursement (see above for details). These fees are subject to annual adjustment by Congress due to sequestration. 
• See above for annual maximum limits for each of these two loans.
• Review and apply for all available resources, including your own income and savings, assistance from your family, employer tuition benefits, and external fellowships and only borrow what you need. Loan amounts can be adjusted in either direction later; some students borrow a small amount and see what else they will need later, others later ask us to reduce subsequent disbursements. 

US citizen or permanent resident

Federal loans

• Complete the Free Application for Federal Student Aid, or FAFSA, for the appropriate academic year.  Summer 23, Fall 23 and Spring 24 make up the 2023/24 academic year.  Applicants for programs starting in Summer 24, Fall 24 or Spring 25 should complete the 2024/25 FAFSA, which will be available in December 2023.  The admissions application deadline does not apply to completing the FAFSA.
• Designate Columbia University: School of International and Public Affairs as a recipient by using our school code number: 002707.
• After you have been admitted, the SIPA Financial Aid Office determines your eligibility, and we will send you an email with a link to a portal called Net Partner, where you will be able to log in and view your complete financial aid and loan eligibility (note: this portal is not SSOL).
• The portal will provide next steps in the loan application process, including links to online forms you will need to complete.  For the Unsubsidized Direct Student Loan and the Graduate PLUS loan, you will need to complete the Master Promissory Note and online Entrance Counseling for each type of loan you borrow, using the same user ID and password used to complete your FAFSA.  These are only required the first time you borrow each loan.  If you are applying for the Graduate PLUS loan, you will need to complete the Graduate PLUS Loan Request Form to initiate each application (every time you apply).  You will find the link to this form on the Net Partner portal, on the Documents and Messages tab, under the heading "Graduate PLUS Application Instructions."
• About a week after completing the required forms, return to confirm our receipt as status updates require a few business days.

Private loans

• If you are interested in loans from private lenders instead of those from the federal government, FAFSA is not required.  Columbia provides a sampling of private loans.  Click here to learn about the differences between private loans and those from the federal government and what might better suit your needs. 

International Student

• International students may borrow from lenders in the US, and most require borrowers to have a US citizen who can co-sign the loan for them.  Visit "ELM select for International Students" to find a list of lenders from whom international students at Columbia University have successfully borrowed. 
• Some of SIPA’s international students come from countries with student loan programs that can be used for study in the United States; if such loans are available, they may be preferable as they may not require a co-signer.
• International students should not complete a FAFSA, as it is only used to determine eligibility for aid available to US citizens and permanent residents.

Federal loans

• Most student loans come due six months after you graduate or cease enrollment on at least a half-time (6 credits per semester) basis.  For almost all loans available to graduate students, interest accumulates while you are in school.
• Unsubsidized Direct Student Loan and the Graduate PLUS loan, both from the federal government, outsource loan servicing and collections.  You will be repaying one of about ten contracted servicers, to which your loan/s will be assigned randomly.  To find who is going to be servicing your loan, log in to the US Department of Education's student loan borrower site using your FAFSA ID.  This site will provide details of all your federal student loans (including anything you borrowed at schools prior to attending SIPA), your servicer and their contact information.
• Do not wait until it’s time to start making your student loan payments to familiarize yourself with the terms of your loans, anticipated monthly payments and the various repayment options.  Most people shop for car loans with a monthly payment amount in mind, you wouldn’t borrow a mortgage without that information either; approach student loans the same way.  Be aware that there are a number of different repayment plans available for federal student loans designed to meet your needs and make your student loan debt manageable.  You may also find information from the Consumer Finance Protection Bureau, The Institute of Student Loan Advisors or the National Association of Student Financial Aid Administrators to be helpful.
• Some borrowers choose to refinance their student loans at a lower interest rate, and this can be beneficial for some depending on the amount you have borrowed and your interest rate.  However, refinancing is not available from the US Department of Education (the lender), only from private companies.  Loans that are refinanced do not qualify for benefits offered by the federal government, such as Public Service Loan Forgiveness.
• There are circumstances under which a borrower who would otherwise be in repayment can defer their payments, such as being enrolled in a degree program or graduate fellowship, military or Peace Corps service, unemployment and others.  Click here to learn more about how a federal student loan can be deferred.
• Please see our Student Loan Repayment Webinar for more information.

Private loans

Terms such as interest rates and maximum length of repayment will vary depending on lender policies, borrower credit rating, amount borrowed and other factors.  Repayment terms of up to 20 years and 9 month grace periods before repayment after graduation are not uncommon.  Your lender can provide you with specific information about options available to you. You can learn more about repaying loans from private lenders here. 

Federal loan repayment plans

Online calculators such as this US Department of Education Loan Simulator are available to help you estimate your monthly payments, but first you should familiarize yourself with the different repayment plans available:

• Standard Repayment, loan amount is paid in full in 10 years, with equal monthly payment amounts;
• Graduated Repayment, requires full repayment in 10 years, but with monthly payments that increase over time (regardless of your income or financial circumstances);
• Extended Repayment, gives up to 25 years to repay with smaller monthly payments;
• Income Driven Repayment, monthly payment amounts will change with your income, and you may not qualify for some if your debt is too low in relation to your income.  These plans allow 20 to 25 years for repayment, and must be used by borrowers seeking Public Service Loan Forgiveness:
  • Income-Based Repayment Plan;
  • Income-Contingent Payment Plan;
  • Pay As You Earn Plan; 
  • Revised Pay As You Earn Plan;
  • The new Saving On A Valuable Education (SAVE) Plan, which for many borrowers may be the best option, as it will place limits on the accumulation of interest.

In all plans, as is the case with any interest-bearing debt, the longer you take to repay your loan, the more interest will accumulate, and the more expensive it will be (the SAVE Plan addresses this for many borrowers).  Faster repayment always saves money, and there are no penalties for pre-payment. You do not have to decide which repayment plan you wish to use until it comes time to enter repayment, and you can work with your servicer to change plans if your needs change. 

Private Loans

Terms such as interest rates and maximum length of repayment will vary depending on lender policies, borrower credit rating, amount borrowed and other factors.  The different income-driven and extended repayment plans available on federal loans are not typically available for private loans.  Your lender can provide you with information about your monthly payment amount and options. 

Review the US Department of Education's repayment estimator using different repayment plans to compare the differences in monthly payments.  Another good calculator is available from finaid.org, and also offers information about accrued interest, factoring in salary increases, etc.

Meeting your student loan obligations will require careful financial planning and budgeting.  It is beneficial to familiarize yourself with the different repayment plan options and also to work out monthly budgets to make your student loan payments manageable.  You may find resources available from sites such as iGrad and Mapping Your Future to be helpful tools.

In 2007, Congress passed legislation that introduced the Public Service Loan Forgiveness Program.  This program was designed to encourage students to pursue careers in the public or non-profit sectors by forgiving a portion of their student loan debt.  This program could mean considerable savings on loan repayment for many SIPA students.

• Borrowers who pursue full-time careers in the non-profit or public service sectors can have their outstanding student loan balance forgiven after 120 months of repayment (payments need not be consecutive, but must be made on time in the minimum amount due) while employed in a qualified position. 
• This program applies to Federal Direct Loans, Graduate PLUS loans, and Federal Direct Consolidation Loans only.  It is not available for loans from private sector lenders, nor for loans from lenders outside the US.
• Borrowers with other federal loans such as Perkins Loans (pre-2016) or Federal Family Education Loans (pre-2010) may incorporate those loans into a Federal Direct Consolidation Loan so that they qualify for this program.  Loans from private lenders do not qualify for PSLF and cannot be changed to Federal Direct Consolidations Loans.
• Student loan borrowers who want to qualify for Public Service Loan Forgiveness must enroll in an income driven repayment plan when they are in repayment.
• The Biden Administration announced changes to the administration of the Public Service Loan Forgiveness Program in October 2021 that may make it easier for some SIPA students and alumni to qualify, including those who borrowed Perkins or Federal Family Education Loans, borrowers not previously enrolled in an income-driven repayment plan, as well as reconsidering applications previously denied.  More details about this flexibility can be found here from the US Department of Education.  This was originally a temporary change, but the Biden Administration intends to make it permanent.
• NOTE: The Supreme Court 2023 ruling striking down the Biden Administration's authority to cancel student loan debt was unrelated to the Public Service Loan Forgiveness program.  PSLF is written into law and will continue unless new statute eliminates it.

Useful online resources

• Federal Student Aid
• FinAid.org - information about Public Service Loan Forgiveness
• forgivemystudentdebt.org

Non-profit or public sector qualified employment may include any of the following:

• A Federal, State, county, local, or Tribal government organization, agency, or entity;
• A public child or family service agency;
• Volunteering full-time in the Peace Corps or AmeriCorps;
• A tax exempt 501(c)(3) organization;
• A Tribal college or university;
• Or;

A private non-profit organization that provides any of the following public services

• Emergency management
• Military service
• Public safety or law enforcement
• Public interest law services
• Early childhood education
• Public service for individuals with disabilities and the elderly
• Public health
• Public education or other school-based services
• Public or school library services

In most cases, the exact nature of the work does not matter, but it cannot include religious instruction, worship, or proselytizing.  Working for a labor union or partisan political organization also does not count as public service for purposes of this program, even if they are tax-exempt.  Recent legal interpretations have also determined that work at a 501(c)(6), which may include professional trade associations or chambers of commerce, or a 501(c)(19), which are veterans organizations, do not meet the qualifications for Public Service Loan Forgiveness.

More PSLF information that you may find useful, including a PSLF Help Tool and Employer Database, is available here.  

Federal Student Aid

Federal Student Aid (click on the link labeled Loan Forgiveness): summarizes existing full or partial loan cancellation and forgiveness programs for all federal student loans.  These provisions include the Biden Administration's loan cancellation proposal, service in the Peace Corps or AmeriCorps*VISTA program, the military, as a nurse or medical technician, law enforcement or corrections (including public defenders and prosecutors), a Head Start worker, a teacher in certain areas or subjects, child/family services or a provider of early intervention services.  Not all forgiveness/cancellation provisions apply to all loans, so review this site for more information if your career goals may entitle you to any student loan relief.

Office of Personal Management

Office of Personal Management: agencies of the federal government may elect to assist employees in the repayment of their student loans, including possibly paying them off for the employee in full.  However, this is not guaranteed, it is at the discretion of the employing office/division and is subject to availability of funds.

Another repayment option for federal student loans is to borrow a Federal Direct Consolidation Loan.  This option, as the name implies, consolidates existing federal loans and gives the borrower who may have several different types of loans and multiple servicers or lenders the convenience of one monthly payment to one servicer.  You may choose to consolidate all or some of your federal loans through this program.  Loans from private lenders do not apply to this program.

Loan Consolidation typically does not save money, and in some cases, some repayment benefits can be forfeited.  But in other cases, there are benefits available for Consolidation Loans not available for loans that can be consolidated; it can be advantageous, for instance, to consolidate Perkins Loans if you may qualify for Public Service Loan Forgiveness, which is otherwise not available for Perkins Loan debt. 

Most borrowers are eligible for deferment of payment on Stafford/Direct loans, Perkins loans or other educational debt while enrolled for at least a half-time (six credits) course load in a degree-granting program. At Columbia, the University Registrar’s Office submits enrollment records for all students to the National Student Clearinghouse, which is then accessed by all student loan lenders, who will then place your loan into deferment as long as you remain enrolled.  Loan deferments do not begin until your first semester classes begin.  Plan to make payments until your lender notifies you that your loan is officially deferred, typically the month after your enrollment begins.