The State Board of Higher Education is the policy-setting body for the North Dakota University System and its financial aid.
Guidelines for statewide scholarships and grants for college are managed by this office.
North Dakota students are encouraged to apply for free grants before taking out loans. Some of these grants are:
Tuition Waivers at NDUS schools- Available for: senior citizens, peace officers, fire fighters, state employees, military dependents of officers killed or MIA, tribal members and economically disadvantaged persons
North Dakota Scholars Program- Full tuition scholarship at NDUS schools (or equivalent amount for private schools) for high school juniors who score in the upper five percentile of all North Dakota ACT test takers
ND State Student Incentive Grant Program- need-based grants of $600-$1,000 per year
North Dakota Indian Scholarship Program- for American Indian students in amounts ranging from $500-$2,000 per year
All North Dakota aid programs require the FAFSA,
so check the state FAFSA deadline.
All federal student loans now come from the Direct loans program.
The Federal Family Education Loan Program (FFELP) which ended July 1, 2010 had been guaranteed (in North Dakota) by the Bank of North Dakota (BND)- the only state-owned bank in the country.
No special discounts or waiving of fees are offered on federal school loans.
However, the state does offer private student loans through the Bank of North Dakota:
The Dakota Education Alternative Loan Program
There are 3 different loans within this program:
Dakota Education Alternative Loan
fixed rate of 7.3% or variable rate of LIBOR + 1.5% (ND resident) or LIBOR + 2.5 (out of state resident)
minimum of $500- maximum of cost of attendance (CoA) minus other financial aid
repayment is 10 years with a 6 month grace period for students enrolled for half time or greater
good credit or a good credit cosigner- after 24 on-time payments- cosigner release
Medical Dakota Education Alternative Loan
fixed rate of 7.3% or variable rate of LIBOR + 1.5% (ND resident) or LIBOR + 2.5 (out of state resident)
minimum of $500- maximum of cost of attendance (coa) minus other financial aid
repayment is 15 years with a 6 month grace period
cosigner only required for first and second year students- third and fourth year do not need a cosigner
Dakota Education Alternative Loan (DEAL) Consolidation Loan
interest rate is fixed at 7.56% or a variable rate may be chosen
minimum of two loans may be consolidated- all loans consolidated must be education loans
standard term for repayment is 20 years; can be 10-25 years
a cosigner may be required- loan start date can be delayed until grace period ends
Students who have at least one federal student loan through the Bank of North Dakota should join Upromise. They are eligible to have their rewards from the Upromise program go directly towards their principal loan balance.
Student Loan Forgiveness Programs
The North Dakota University System oversees two student loan forgiveness programs:
The Technology Occupations Student Loan Forgiveness Program
for graduates in a technology related field who have been employed in a technology occupation in North Dakota for one year
amount forgiven- $1,000 per year up to 3 years
for Federal and DEAL loans
Teacher Shortage Loan Forgiveness Program
for teachers who have been employed for one year in North Dakota public schools in an area or grade identified as a teacher shortage area
amount forgiven- $1,000 per year up to 3 years
for Federal and DEAL loans
The North Dakota legislature has passed a bill which (starting August 2009) will allow dentists working in North Dakota nonprofit dental clinics to apply for student loan repayment grants of up to $60,000. ($30,000 per year for two years) There is a three year work requirement.
The North Dakota University System uses college grants and scholarships to encourage students to go to college in North Dakota. For out of state schools, the DEAL loans are most useful in making up tuition gaps.
North Dakota University System North Dakota Student Financial Assistance Program Department 215 600 East Boulevard Avenue Bismarck, ND 58505-0230 Phone: (701) 328-4114 Fax: (701) 328-2961
The North Dakota University System uses college grants and scholarships to encourage students to go to college in North Dakota. For out of state schools, the DEAL loans are most useful in making up tuition gaps.
