The Northwestern University Loan (NU Loan) is offered in financial aid packages for U.S. and international students and parents of undergraduate students.
The chart below provides a partial list of the terms and conditions for the NU Loan:
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Since these details vary by origination date and exact loan type, borrowers should refer to their promissory note for the actual terms and conditions for their loans.
| Repayment |
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| Grace period |
Increases to 6 months for most NU Loans Exception: Undergraduate parent loans have no grace period. |
| Repayment Period |
Varies. The monthly payment may shorten the repayment period. Exceptions:
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| Payment Schedule | Provided at graduation if no interest has accrued or at the end of the grace period if interest has accrued and has to be capitalized. Exceptions: The repayment schedule for the undergraduate parent loan is mailed with the promissory note. Signature is required to acknowledge receipt of repayment schedule. |
| Repayment start date | 6 months after graduation or separation. Exception: Undergraduate parents must begin repayment within 45 days of initial disbursement of funds. |
| Prepayment | There is no penalty for early repayment. When you make your loan payment, specify that you wish it to be applied as a prepayment. |
| Minimum Payment | $100 per month |
| Late charge | 5% of monthly payment not to exceed $15 |
| Report to credit bureau | No |
| Deferment |
No |
| Forbearance |
For economic hardship, monthly payments may be reduced for 6-month intervals for a period up to 3 years. Refer to your promissory note for details, and contact the Student Loan Office with questions and to apply. A financial statement is required. Exceptions MD students can receive forbearance on loans as long as required to complete a residency or fellowship. |
| Cancellation | No |
| Federal loan consolidation | No, the NU Loan is a private loan |
| Delinquency and default |
Transfer billing to co-maker, transfer loan to collection agency, legal action |