Student Loans

Student Loans at KC:

If you apply for Financial Aid, you may be offered loans as part of your Financial Aid award package. A loan is federal funding that you borrow and pay back with interest.

You must repay a student loan even if your financial circumstances become difficult. Loans can’t be canceled because you didn’t get the education or job you expected, and they can’t be canceled because you didn’t complete your education. 

NOTE: Kilgore College does not participate in Parent Plus Loans or Alternative Private Student Loans due to our default rate.

Loan Deadlines:

  • Summer 2022 Student Loan Deadline: July 29, 2022 
  • Fall 2022 Student Loan Deadline: Nov. 25, 2022

Learn about how to borrow in a smart manner.

Cohort Default Rate:

What is a cohort default rate? A cohort default rate (CDR) is the percentage of a school’s borrowers who enter repayment on federal student loans during a fiscal year and default within the cohort default period. Default occurs when a student is in repayment, but fails to make their payment for 270 days or more.

The Department of Education calculates the school’s cohort default rate by dividing the number of borrowers from the school entering repayment in a cohort year and default within a 3 year period divided by the number of borrowers from the school entering repayment in the cohort year.

Cohort 2017-18 (FY 2018) Calculation: 15.1%

Search the Cohort Default Rate Database for previous cohorts or other institutions’ rates

Student Loans

Loan Options

With Direct Loans, you borrow from the federal government and have a single contact, loan servicer, for everything related to the repayment of loans. A Free Application for Federal Student Aid (FAFSA) must be on file to be eligible for student loans and to determine a student’s financial need.

Direct Subsidized Loans are loans made to eligible undergraduate students who demonstrate financial need to help cover the costs of higher education at a college or career school. The college determines the amount you can borrow, and the amount may not exceed your financial need. The U.S. Department of Education pays the interest on a Direct Subsidized Loan

  • while you’re in school at least half-time,
  • for the first six months after you leave school (referred to as a grace period), and
  • during a period of deferment (a postponement of loan payments).

Direct Unsubsidized Loans are loans made to eligible undergraduate, graduate, and professional students, but in this case, the student does not have to demonstrate financial need to be eligible for the loan. The school determines how much you can receive based on your cost of attendance and other financial aid you receive. You are responsible for paying the interest on an unsubsidized loan during all periods.

  • If you choose not to pay the interest while you are in school and during grace periods and deferment or forbearance periods, your interest will accrue (accumulate) and be capitalized (that is, your interest will be added to the principal amount of your loan).

Kilgore College does not participate in the Parent PLUS loan program.

Kilgore College does not offer or accept Private Student Loans. 

Direct Loan Borrower’s Rights and Responsibilities Statement

This Borrower’s Rights and Responsibilities Statement provides additional information about the terms and conditions of the loans you receive under the accompanying Master Promissory Note (MPN) for Federal Direct Stafford/Ford Loans (Direct Subsidized Loans) and Federal Direct Unsubsidized Stafford/Ford Loans (Direct Unsubsidized Loans). Please keep this Borrower’s Rights and Responsibilities Statement for your records. You may request another copy of this Borrower's Rights and Responsibilities Statement at any time by contacting your servicer.

View the William D. Ford Federal Direct Loan Program: Direct Subsidized Loan and Direct Unsubsidized Loan Borrower’s Rights and Responsibilities Statement

Applying for Loans

All financial aid students wanting to receive student loans must complete a Master Promissory Note and Entrance Loan Counseling at The Master Promissory Note is a legal document in which you promise to repay your loan(s) and any accrued interest and fees to the Department of Education. It also explains the terms and conditions of your loan(s). Entrance Loan Counseling helps you to understand your responsibilities regarding your loan(s).

Students who have previously received student loans at other institutions may also need to complete Exit Loan Counseling for the other institution(s); often schools will not release a transcript if this is not completed. Students must be enrolled in at least six hours (half-time) each semester at Kilgore College before any loans will be disbursed.

Loan Changes

Students will be required to submit a Loan Change Form an Aid Adjustment Form in order to alter their loan(s) in any way, including canceling, adding, reducing or increasing loans.

Students will only be allowed to make one change to their loans per semester, so they will need to be certain of the amount they request and decline. 

Types of Borrowers

For the purposes of how much student loan funding a student may receive, there are two categories of students:

  1. Dependent: under the age of 24, unmarried, and has no legal dependents at the time the Free Application for Federal Student Aid is submitted. If a student is considered dependent, then the income and the assets of the parent have to be reported on the FAFSA.
  2. Independent: at least 24 years old, married, a graduate or professional student, a veteran, a member of the armed forces, an orphan, a ward of the court, or someone with legal dependents other than a spouse, an emancipated minor or someone who is homeless or at risk of becoming homeless. Independent students do not report parental income and assets on the FAFSA.

There are three categories of student borrowers for the purposes of disbursing loan payments:

  1. Returning students who are enrolled and have received student loans in the past.
  2. Students who are enrolled for one semester only and who have received student loans in the past.
  3. New students who have never received student loans, considered as “first time borrowers”.
Direct Loan Limits

The maximum amount you can borrow each year in Direct Subsidized and Unsubsidized Loans depends on your grade level and on whether you are a dependent student or an independent student. The following table shows the maximum amount of money you may borrow each academic year in Direct Subsidized and Unsubsidized Loans as well as the total or aggregate amount you may borrow:

Direct Stafford Loan Limits (Subsidized and Unsubsidized) Undergraduate Students:

  Dependent Independent
Freshman $5,500 total
Up to $3,500 subsidized
$9,500 total
Up to $3,500 subsidized
Sophomore $6,500 total
Up to $4,500 subsidized
$10,500 total
Up to $4,500 subsidized
Aggregate $31,000
Up to $23,000 in subsidized loans
Up to $23,000 in subsidized loans

The actual loan amount you are eligible to receive for an academic year is determined by your school and may be less than the maximum annual amounts shown in the chart above. These amounts are determined by a student’s demonstrated financial need and annual budget. You have the right to decline the loan or to request a lower loan amount. Complete a Aid Adjustment Form and specify the amount(s) you wish to receive.

Elimination of Subsidized Loan after 150% of Program

Congress permanently limited subsidized loans to 150% of the length of a student's academic program effective for new borrowers after July 1, 2013. You can find the published length of any program of study in the Kilgore College catalog. Those enrolled in a 2 year undergraduate degree can have a maximum of 3 years of subsidized loan eligibility to complete the degree (2 x 150% = 3). Those enrolled in shorter programs such as a certificate program will reach their 150% subsidized usage limit more quickly. If you reach the 150% limitation and are still in school, the interest subsidy will end for all outstanding subsidized loans disbursed after July 1, 2013. Although repayment does not begin, the student will become responsible for interest accumulation at this point. For additional reading and resources, please click here.

Disbursement Info

Students with excess funds on their account will be refunded the excess funds, including funds from qualifying grants, scholarships and student loans awarded to their student account. Students without excess funds on their account will not receive any sort of refund. Refunds occur 14 days after aid has been applied to your account.

Payment of loans is determined by the enrollment at the time of disbursement – or payment to the student account. Students who are enrolled half-time or above at the time of disbursement will retain their student loans for the term. If a student receives Title IV grants or loans and does not begin attendance in any courses within a payment period or period of enrollment, the student is considered to be ineligible for any Title IV aid. Any aid previously disbursed to that student would be removed from their account.

Exit Loan Counseling

Students who have received loans must complete Exit Loan Counseling if they either drop below 6 hours, or withdraw from all classes, or do not return for a subsequent semester.  Students who withdraw are expected to complete Exit Loan Counseling within 30 days of their withdrawal from classes or enrollment in less than 6 hours.”  Students who do not complete exit loan counseling will have an institutional hold placed on their account, which will prevent their ability to register or request a transcript until the exit counseling is performed, notification of the exit counseling is received by the financial aid office, and the hold is removed.

National Student Loan Data System (NSLDS)

All Direct Loans received by students will be submitted to the National Student Loan Data System (NSLDS), which will be accessible by guaranty agencies, lenders, and institutions determined to be authorized users of the data system. Students can access this website at any time after receiving student loans to locate loan amounts and lender information. Borrowers will find information regarding the federal student loans they have borrowed, including loan amounts, loan servicer contact information, and repayment information, in the Federal Student Aid portal.

Loan Repayment Calculator

Although you may select or be assigned a repayment plan when you first begin repaying your student loan, you can change repayment plans at any time. Contact your loan servicer if you would like to discuss repayment plan options or change your repayment plan. You can get information about all of the federal student loans you have received and find the loan servicer for your loans by logging in to the Federal Student Aid portal. 

Before you contact your loan servicer to discuss repayment plans, you can use this Repayment Estimator to get an early look at which plans you may be eligible for and see estimates for how much you would pay monthly and overall.

If you are having trouble making your loan payment(s), contact your loan servicer as soon as possible. You may be able to change your repayment plan to one that will allow you to have a longer repayment period or to one that is based on your income. Also ask your loan servicer about your options for a deferment or forbearance, or loan consolidation.

 If you don’t make your student loan payment or make your payment late, your loan may eventually go into default. If you default on your student loan, that status will be reported to credit bureaus, and your credit rating and future borrowing ability will be damaged. In addition, legal action can be taken to require payment through garnishment of wages and withholding of tax refunds.

Find out what you need to know about repaying student loans.

Loan Forgiveness, Cancellation or Discharge

You must repay your loans even if you don’t complete your education, can’t find a job related to your program of study, or are unhappy with the education you paid for with your loan.  However, certain circumstances might lead to your loans being forgiven, canceled, or discharged. Forgiveness, cancellation, and discharge of your loan means that you are no longer expected to repay your loan.

If you are employed in certain public service jobs and have made 120 payments on your Direct Loans (after Oct. 1, 2007), the remaining balance that you owe may be forgiven. Only payments made under certain repayment plans may be counted toward the required 120 payments. You must not be in default on the loans that are forgiven. For more information, go to Public Service Loan Forgiveness.

The Teacher Loan Forgiveness Program is intended to encourage individuals to enter and continue in the teaching profession. Under this program, if you teach full-time for five complete and consecutive academic years in certain elementary and secondary schools and educational service agencies that serve low-income families, and meet other qualifications, you may be eligible for forgiveness of up to a combined total of $17,500 on your Direct Subsidized and Unsubsidized Loans and your Subsidized and Unsubsidized Federal Stafford Loans. If you have PLUS loans only, you are not eligible for this type of forgiveness.

There are other situations that may allow you to qualify to have your federal student loan forgiven, canceled, or discharged. Find out whether you qualify due to bankruptcy, disability, the closure of your school, or other circumstances.

Confidentiality and FERPA

For more information, visit the FERPA page.

Fresh Start for Federal Student Loan Borrowers in Default

On April 6, 2022, the U.S. Department of Education (ED) announced an initiative - called “Fresh Start” - to help eligible borrowers in default. Fresh Start will continue through one year after the COVID-19 payment pause ends.

The Fresh Start initiative restores Title IV aid eligibility for borrowers with loans in the following categories that defaulted prior to the start of the student loan repayment pause on March 13, 2020:

  • William D. Ford Federal Direct Loan Program loans (Direct Loans);
  • Federal Family Education Loan (FFEL) Program loans, including Federal Insured Student Loans (FISL); and
  • Federal Perkins Loans (Perkins Loans) that are serviced by the Department's Debt Management and Collections System (DMCS).

If you’re not sure whether your loans qualify, you can call the Default Resolution Group at 1-800-621-3115 (TTY for the deaf or hard of hearing 1-877-825-9923). Students who qualify for the Fresh Start initiative will receive a letter of eligibility that can then be submitted to the Office of Financial Aid.

For information about Financial Aid:

Financial Aid Office
Main Contact for General Questions
(903) 983-8211
Devall Student Center (DEVAL), 2nd Floor
(903) 988-7528
Jackie Kelley
Financial Aid Department
(903) 983-8171
Devall Student Center (DEVAL), 235
(903) 988-7528
Brooke Cates
Student Loans & Athletics Coordinator
Financial Aid Department
(903) 983-8641
Devall Student Center (DEVAL), 2nd Floor
Larry Dorsey
Veteran Certifying Official & Benefits Specialist
Financial Aid Department
(903) 988-7420
Devall Student Center (DEVAL), 2nd Floor
Sonya Olvera
Assistant Director
Financial Aid Department
(903) 983-8183
Devall Student Center (DEVAL), 236
Jason Robbins
Verification & Work Study Program Coordinator
Financial Aid Department
(903) 983-8210
Devall Student Center (DEVAL), 2nd Floor
Beverly Taylor
Financial Aid Specialist
Financial Aid Department
(903) 236-2058
KC-Longview Hendrix Bldg. (LVHDX), 200-E
(903) 988-7528
Darlene Hatfield
Scholarship Coordinator
Financial Aid Department
(903) 983-8299
Devall Student Center (DEVAL), 231
James Horton
PT - Veterans Certifying Official & Benefits Specialist
Financial Aid Department
(903) 988-3733
Devall Student Center (DEVAL), 2nd Floor
Taylor Hamlet
Appeals & Verification Specialist
Financial Aid Department
(903) 983-8217
Devall Student Center (DEVAL), #222