Primary Care Loan
Loan types: Recommended (need-based)
Lender: Northwestern University
Servicer: Northwestern University Student Finance
Borrower: Medical students committed to primary health care practice
Application process: Apply through the Chicago campus Financial Aid Office.
Promissory Note: When your loan has been approved, the promissory note is mailed to your campus address. Sign the note and return it to Student Finance.
- Application fee: None
- Insurance fee: None
- Origination fee: None
Loan disbursement: An equal portion of your annual loan amount is applied to your student account each term.
Rate type: Fixed
Current rates: 5% (Exception: If you fail to fulfill your primary care service obligation, the rate will become 18% on the outstanding balance).
- In school: No
- In grace period: No
- In deferment: No
- In forbearance: Yes, and interest my capitalize at the end of the forbearance period.
Grace period: 12 months after graduation or separation. (Exception: There is no grace period after deferment).
Repayment period: 10 years
Payment schedule: Provided at your exit interview.
Repayment start date: 12 months after graduation or separation
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: $40 per month
Late charge: 5% of scheduled payment
Report to credit bureau: Yes
Deferment: Yes. See the Primary Care Loan deferment eligibility information on the U.S. Department of Health and Services website. Refer to your promissory note for details, and contact Student Finance with details and to apply. Annual certification is required.
Forbearance: Yes. Refer to your promissory note for details, and contact Student Finance with questions and to apply.
Cancellation: Yes, only in the event of death. Refer to your promissory note for details, and contact Student Finance with questions and to apply.
Repayment assistance: No
Federal loan consolidation: No
Delinquency and default: Transfer loan to collection agency, legal action.