US Federal Loans

US citizens or permanent residents with a valid social security number may apply for Direct Loans. To be eligible to apply applicants need a high school diploma or equivalent qualification and must not have defaulted on any previous student loans.

You must meet the criteria set by the US Department of Education to be eligible for US loans. The basic eligibility criteria are listed on the Federal Student Aid website. There are additional criteria for foreign schools, which is outlined briefly below:

• be studying an eligible, degree-bearing programme
• be enrolled and continue to be enrolled at least half time at RWCMD
• maintain Satisfactory Academic Performance during your studies - see our SAP Policy for details
• undertake your study and or research within the UK (including your writing up period)

RWCMD has been approved to certify federal student loans for degree programs (Undergraduate degrees and Postgraduate degree).

RWCMD has not been approved to certify federal loans for students wishing to study:

• Foundation Course
• A course where attendance is considered less than half time
• A course that is offered in whole or part as online or distance learning

It is not normally possible for students in receipt of US loans to undertake any part of their study or research in the US.

If any part of your programme includes anytime outside of the UK, please email finance@rwcmd.ac.uk immediately as this may affect your eligibility for US loans.

These rules and regulations are set by the US Government. RWCMD does not have any discretion to change these regulations.

If you are not eligible for Title IV Federal Aid, you may be eligible for Private Loans.

The first step in applying for a loan is to complete a Free Application for Federal Student Aid (FAFSA). FAFSA applications may be made from 1 October each year. Students at foreign schools must complete this process on an annual basis.

Please note that we will not start processing your loan application until May/June of the summer before your start your course.

To complete a FAFSA online, please visit the Federal Student Aid (FSA) website. For information on how to complete your FAFSA, please view this video.

When completing your FAFSA you will need RWCMD's Federal Direct Loan School Code, which is G34783. Please note, we can only access your Student Aid Report (SAR) if you have included our School Code as one of your choices.

Once completed, the US Department of Education will process the information and send you a SAR which can be viewed, printed and retained for your records. This document lists the information you and your family have provided and informs you of your Student Aid Index (SAI). The SAI is used to determine eligibility for needs based Federal Student Aid and relates to the Subsidised portion of the Stafford Loan. Please check all information to make sure that it is accurate. It is also important that you check the comments section on your SAR, as there may be issues that you need to address and any unresolved issues may delay the processing of your loan.

Once you have completed your FAFSA we will be sent a copy, we will check that you are eligible for a loan.

If you are eligible for a loan and have received an offer from the College, we will send you a loan offer letter. Please note that if you are in receipt of any additional funds or scholarships you need to let us know at this stage as additional financial support will need to be deducted from the amount you can borrow.

The loan offer letter states the maximum amount you are able to borrow, broken down over the applicable loans for you. We require you to read and review the loan amounts outlined on this letter, then complete a Loan Request Form. One we receive a signed request form back we will check that you have also completed all the necessary tasks.

You must complete the Direct Subsidised and Unsubsidized Master Promissory Note (MPN) on the Federal Student Aid website.

The MPN is a legal document through which you promise to repay your Direct Loan. The MPN details the conditions of your Direct Loan and the terms under which you agree to pay it back. 

You will need to complete a new MPN each academic year.

If you are applying for a Graduate PLUS Loan or Parent PLUS Loan, you must complete a Direct PLUS Loan Master Promissory Note (MPN) on the on the StudentAid.gov website.

This is a legal document through which you promise to repay your Direct Loans and any accrued interest/fees. It also explains the terms and conditions of your loan. 

You will need to complete a new MPN each academic year.

Complete a credit check for the Direct PLUS Loans on the StudentAid.gov website (login required). If you have an adverse credit history, you may still receive a Direct PLUS Loan through one of these two options:

1. Obtaining an endorser who does not have an adverse credit history. An endorser is someone who agrees to repay the Direct PLUS Loan if you do not repay it. If you are a parent borrower, the endorser cannot be the child on whose behalf you are borrowing.
2. Documenting to the satisfaction of the US Department of Education that there are extenuating circumstances relating to your adverse credit history.

If a parent borrower is unable to obtain a PLUS loan due to an adverse credit history, the undergraduate dependent student may be eligible for additional Unsubsidised loans. Email finance@rwcmd.ac.uk for further information.

When we have received your loan request form back and have provided your MPN’s, Entrance Counselling (new students only) and credit check (if applicable), you will receive a notification letter from us outlining the amount of loans you will receive, your disbursement dates, and the period / academic year your loan relates to. The wording and format of this letter has been agreed with UK Visas and Immigration as acceptable proof of funding for visa applications.

This loan notification letter will be emailed to you.

The CoA is an estimate of your educational related costs for the academic year. The CoA will specify the total amount you may borrow through federal loans minus any other aid you may be receiving for that academic year such as bursaries or scholarships. If you are eligible for a Subsidized loan, your Student Aid Index (SAI) will also be deducted from a CoA figure to establish your ‘financial need’.

The CoA for students studying at RWCMD is set by the Finance Team. These educational costs relate only to you, the student. These costs cannot include costs for partners or children (other than childcare or nursery costs). We will take the average cost of the following into consideration for calculating your costs of attendance.

• Tuition Fees
• Accommodation and Living Costs
• Course costs
• Visa and Healthcare
• Transportation (2 return flights)
• Transportation (2 return transfers to London)
• Loan fees

Please note, whilst your CoA can include Travel, we cannot issue loan payments before the beginning of the academic year so you should not rely on your first payment to finance your travel to Cardiff.

While your costs may vary depending on your accommodation we expect your cost of attendance to be roughly in line with our estimates.

RWCMD uses a standardized exchange rate to avoid fluctuations. The U.S. Department of Education states that students attending foreign (those outside of the United States) schools will have to tolerate such fluctuations.

It is important that you understand your rights and obligations when borrowing Federal US Loans. Students are advised to fully research and understand responsible borrowing and repayment before requesting Federal Student Loans. The Federal Student Aid web page has an estimate calculator where you can calculate your estimated loan repayments.

Interest rates

If you receive a federal student loan, you will be required to repay that loan with interest. It is important that you understand how interest is calculated and the fees associated with your loan. The interest rate varies depending on the loan type and (for most types of federal student loans) the first disbursement date of the loan.

Find out more about Interest rates

Fees

Most federal student loans have loan fees that are a percentage of the total loan amount. The loan fee is deducted proportionately from each loan disbursement you receive while enrolled in school. This means the money you receive will be less than the amount you actually borrow. You’re responsible for repaying the entire amount you borrowed and not just the amount you received

Find out more about fees

The first disbursement of loans will not be paid until students are enrolled at RWCMD. In case of any unforeseen events, please ensure you have personal funds in place to cover your living costs before you receive your first disbursement.

The disbursement dates for both undergraduate and postgraduate students are:

• Autumn Term beginning of week 3 following 2 weeks attendance
• Spring Term – Second Monday in January
• Summer Term – first Monday of Term

The actual amount of each disbursement in GBP(£) will be dependent upon the exchange rate used to convert USD($) to GBP(£) on that date.

Once you have enrolled at RWCMD, from each disbursement (after it has been exchanged into £ GBP) we will deduct an amount towards tuition and the remainder will be forwarded to you. You will need to open a UK bank account to avoid having to pay two foreign exchange charges.

You will receive an email notification when your loan has been processed in line with Federal regulations concerning your right to cancel.

Please note that it can take up to 14 days after the disbursement date for you to receive your refund.

NSLDS

RWCMD is required, in accordance with Federal Regulations, to report your enrolment status to the US Department of Education via the National Student Loan Data System (NSLDS) every month. Reporting students as studying full-time or half-time at RWCMD will defer any previous Federal US Loans taken out before you started your studies at RWCMD.

If you are not taking out Federal US Loans during your study at RWCMD, but you wish to defer your previous US Loans as you are now studying, please email finance@rwcmd.ac.uk.

Satisfactory Academic Progress

To remain eligible for Federal US Loans during the academic year, students must meet Satisfactory Academic Progress (SAP), and this will be measured before each disbursement of your loan. Students are advised to familiarize themselves with the SAP Policy.

Exit Counselling

Students coming to the end of their studies are required to complete Exit Counselling for each type of Federal US Loan borrowed. This is a condition of your loan terms.

You are required to complete Exit Counselling if you drop to less than half-time, withdraw from your studies or complete your studies.

It is essential that you email finance@rwcmd.ac.uk if you change the status of your studies as follows:

• Suspend
• Withdraw
• Transfer course
• Upgrade / downgrade
• Change from full-time to half-time or less than half-time

Under US federal law, the College is required to report any changes to your enrolment within tight timescales. For students who withdraw from their studies, suspend their studies for more than 180 days, or complete their studies earlier than expected, it may be necessary, to complete a Return to Title IV (R2T4) calculation, and arrange for the return any ‘unearned’ funds to the US Department of Education. Further information can be found in the Return of Title IV Funds Policy.

If you are thinking of changing the status of your studies and want to know what your US Federal Loan entitlement will be, please email finance@rwcmd.ac.uk.

It is the requirement of the U.S. Department of Education that Schools must provide a notice of the availability of all consumer information.

Read our consumer disclosure.

The Student Guide
Understand how US federal student aid works and learn about the different types of financial assistance available.

Mapping Your Future: Paying for College
Explore a range of resources to help you plan and pay for your education with student loans and financial aid.

College Cost Estimator
Use this calculator to estimate the cost of your college education and plan your finances effectively.

FAFSA Estimator
Estimate your eligibility for federal student aid by using the FAFSA estimator, a helpful tool for financial planning.

Repayment Simulator
Use this tool to simulate and plan for your loan repayment options, based on your loan balance and financial situation.

Loan Repayment Guide
Learn about your repayment options, including income-driven plans, consolidation, and more to manage your federal student loan debt.

Ombudsman Office: Disputes and Complaints
Access resources to resolve any disputes or issues with your US federal student loans through the Ombudsman office.

Royal Welsh College of Music & Drama – Eligibility for Federal Financial Assistance for Students from the United States of America

1. Background

The Royal Welsh College of Music & Drama recruits and admits students internationally and encourages applications from those eligible for Financial Assistance in accordance with the regulations of their home jurisdiction. This policy statement has specific relevance only to the United States of America, and the context of the Federal Loan regulations.

2. Requirement

To be eligible for Federal Financial Assistance, a student must possess a secondary school completion credential and demonstrate this to RWCMD on request. Alternative, a student may have a recognised equivalent of a secondary school completion credential.

3. Assessment of equivalent credentials

Admission to RWCMD is merit based, and measures are taken to ensure that no discrimination is made based on gender, ethnicity (race), religion, sexual orientation, age or disability.

With respect to secondary school completion credentials, it is assumed that those who have recently completed the secondary school stage of their education will possess the completion credential as described above. However, where students have significant life experience, including professional and/or performance experience, RWCMD will declare these to be recognised as equivalent. The method(s) of assessing this will be recorded explicitly, together with the evidential base for the assessment. The evidence will be retained on file during the life-cycle of the student.