Texas Higher Education Coordinating Board

Texas Higher Education Coordinating Board

School loans in Texas are administered by the THECB (Texas Higher Education Coordinating Board) under the Hinson-Hazlewood College Student Loan Program.

The Texas Higher Education Coordinating Board oversees three types of state student loans:

1. The College Access Loan (CAL) Program
• Annual limit= COA - financial aid
• Fees= 3% if borrower and cosigner both have good credit; 5% if only the cosigner has good credit
• Interest rate= 6.0% fixed or Prime + 3.91% (cannot go above 4% more than the rate when issued)
• Grace period= 6 months; $50 minimum monthly repayment up to 20 years
2. Health Education Loan Program (HELP)
• Annual limit= for pharmacy, nursing, and allied & public health- $12,500; for medicine, dentistry, osteopathy, podiatry, and veterinary- $20,000
• Fees= 3% if borrower and cosigner both have good credit; 5% if only the cosigner or borrower (cosigner not needed) has good credit
• Interest rate= 6% fixed
• Grace period= 9 months; 50 minimum monthly repayment up to 25 years
3. Federal Family Education Loan Program (FFELP)

   are the federal student loans originated and serviced by the Texas Higher Education Coordinating Board.

   If legislation to eliminate the FFELP is passed, these loans will become federal Direct student loans for the 2010-2011 school year.

   Some University of Texas schools (UT at San Antonio, UT Medical Branch in Galveston and UT-Pan American in Edinburg) use the direct federal student loan program.

Make sure to check your Texas FAFSA deadline.

A fourth student loan program, the Texas B-On-Time Loan Program (BOT) does not have funding for new applicants.

Only those who have already taken loans out under this program may apply for more funds. (These are zero interest loans, forgiven when a student graduates on time with a 3.0 GPA or better.)

Texas Student Loan Forgiveness Programs

• Requirements: student loan forgiveness for teachers employed full-time in Texas public schools and certified in and teaching an academic field with a shortage of teachers, or in a location with a shortage of teachers
• must have an outstanding balance, not being paid off by any other repayment program and must not bein default
• $5,000 annually with a total maximum of $20,000

Physician Education Loan Repayment Program

• Requirements: college loan forgiveness for physicians in an approved specialty at an approved site, accepts medicaid payments, must have received board certification within the last six years and employed for 12 months with no start-up assistance
• $13,000 for first year providers, $15,000 for second and third year providers, $18,000 for fourth year providers, $20,000 for fifth year providers

Nursing Education Loan Repayment Program

• Requirements: federal matching funds program for nursing student loan forgiveness for nurses employed at a critical shortage facility with a signed employment contract for 2-3 years
• 60% of qualifying loan balance for 2 years and 25% for the third year

Dental Education Loan Repayment Program

• Requirements: federal matching funds program for dental student loan forgiveness for dentists practicing at an approved facility which takes medicaid and have been employed for at least 12 months
• state annual amount is $10,000; after 24 months, additional federal matching funds of up to $20,000

Children's Medicaid Loan Repayment Program

• Requirements: for doctors and dentists who commit to providing medicare service to children for 4 years
• repayment schedule based on the number of medicare recipients treated: 1st year- $20,000 or $40,000; 2nd year- $15,000 or $30,000; 3rd year- $20,000 or $40,000; 4th year- $15,000 or $30,000

Doctoral Incentive Loan Repayment Program

• Requirements: student loan forgiveness program for doctoral degree holders who graduated from a Texas high school where less than 50% went to college or a low income school; or qualified for need-based aid in graduate school and must be employed as a full time faculty member or administrator for less than 12 months
• $20,000 per year for 5 years with a maximum lifetime of $100,000

Border County Doctoral Faculty Education Loan Repayment Program

• Requirements: student loan forgiveness program for doctoral faculty at a higher educational facility in a border Texas county
• $5,000 per year not to exceed 10 years

Texas Scholarships and Texas Education Grants

TEXAS (Towards Excellence, Access and Success) Grant

• for Texas residents with an EFC less than or equal to 4000 who have successfully completed high school, community college or technical school to use at a Texas public college to obtain a bachelor's degree
• amount awarded is equal to tuition and fees at a public college in Texas

Texas Educational Opportunity Grant Program (TEOG)

• for Texas residents who show financial need and are enrolled at least halftime in a Texas public 2 year school
• amount awarded is equal to tuition and fees at a public 2 year college in Texas

Tuition Equalization Grant Program

• for Texas residents (or for non-residents who are Merit award semifinalists) who show financial need and attend a private, not-for-profit college in Texas
• award is a maximum is $3,331 per school year unless exceptional need is demonstrated, (EFC under $1,000) in which case the maximum is $4,966

Top 10% Scholarship Program

• for Texas high school students that graduate in the top 10% of their class, demonstrate financial need and attend a public Texas college
• $2,000 scholarship award

Texas Public Educational Grant

• for Texas students with financial need who attend public institutions (colleges use their own budgets for these grants)
• award maximum is the student's financial need based on the FAFSA.

Educational Aide Exemption

- For educational aides who want to become teachers, the state will pay tuition and (some) fees at a public college or university.

Engineering Scholarship Program

- For engineering students at a public university, the state will give up to $5,000 per year.

Fifth Year Accounting Student Scholarship Program

- For accounting students who have already completed at least 120 hours of college course work, the state will give up to $5,000.

Professional Nursing Scholarships

- For nursing students enrolled in a Texas college and who have financial need, the state will give up to $2,500.

Vocational Nursing Scholarships

-For vocational nursing students enrolled in a Texas college and who have financial need, the state will give up to $1,500.

Texas Health Service Corps Program

- For resident physicians and fourth year medical students who commit to working in an underserved community, the state will give a stipend of $15,000 foreach yearof service.

Texas Historical Commission Preservation Fellows Program

-For minority students who are at least sophmores, the state will pay $5,000 for 8 weeks of work for the Texas Historical Commission.

The Texas Higher Education Coordinating Board also manages the $1000 Tuition Rebate Program which gives resident graduates of Texas public colleges a $1,000 rebate if they get their degree without going more than 3 credits over the amount they needed to complete their degree.

• adopted or in foster care
• blind
• children of disabled or deceased firemen, peace officers, game wardens, and corrections officers
• early high school graduates
• highest ranking high school graduates
• firefighters, veterens, or members of the National Guard
• senior citizens
• nursing faculty or children of nursing faculty members
• enrolled in high school and college
• children of parents who received TANF (Temporary Assistance to Needy Families)

Public school tuition will also be reduced for students who take more than 15 credit hours or who live outside a community college's taxing district. The Texas Higher Education Coordinating Board also tracks a number of private college grants and scholarships in Texas.

Here are national resources to check for available college grants and scholarships you may qualify for.