JCC DIRECT STUDENT LOANS Frequently Asked Questions (FAQs)

Please view our Important Changes webpage for financial aid rules and regulations changes.

What is a Direct Student Loan?

The U.S. Department of Education provides Direct Student Loans (also called Direct Stafford Loan or William D. Ford Direct Loan) to eligible college students based on financial need and other specific eligibility requirements. There are two types of Direct Loans; you will learn more about each type during entrance counseling.

  • Subsidized - the federal government pays the interest on this loan while you are enrolled at least half-time in 6 credit hours. A new federal regulation affecting new borrowers limits the time period during which you can receive Direct Subsidized loans to 150% of the standard length of the program in which you are enrolled. For a 2-year associate degree program, the maximum period a new borrower can receive subsidized loans is 3 years (150% of 2 years = 3 years). 
  • Unsubsidized – You are responsible to pay the interest from the date your loan funds are disbursed until it is paid in full. You may choose to pay the interest charged on the loan or allow it to be capitalized (added to the loan principal) until you start repayment after you cease enrollment.  Whenever possible, we recommend that you pay the interest as it is assessed to minimize your total cost of borrowing.  Click here to learn more about federal student loans, such as annual and lifetime loan limits, fees and interest rates, and repayment terms and conditions.

To apply for a Direct Loan at JCC you must:

  1. Complete the annual FAFSA (Free Application for Federal Student Aid). If your application is selected for Verification, you must complete that process before you will receive your JCC Financial Aid Award Notification of the kind and amount of Direct Loan you can apply for.
  2. If you are a first-time borrower, complete your Direct Loan Master Promissory Note (MPN) and Entrance Counseling for undergraduate students at As you complete these online requirements, list Jamestown Community College, Jamestown, NY regardless of the campus you attend. Previous Direct Loan borrowers should select View Completed Counseling and ensure Jamestown Community College is listed under School(s) Notified. If not, use Notify Additional School - Select School to add JCC. We must receive electronic confirmation of your entrance counseling before we can process your loan.
  3. To accept a loan that was offered to you in your JCC Financial Aid Award Notification letter, print the loan acceptance form via your Banner account at After you sign in, click on the Financial Aid tab and select '2. Your Eligibility Requirements'. Select the appropriate aid year and click the Direct Stafford Loan Form link. If you do not have the link, please refer to your JCC Financial Aid Award Notification letter for further information.
  4. Loans are typically processed for the full academic year, with half disbursing in the fall semester and the remaining half disbursing in the spring semesters. Students graduating at the end of the fall semester are subject to proration which may affect the amount of loan you can borrow. Please refer to your entrance counseling for more information.
  5. JCC will send you confirmation when your loan has been approved, or an explanation if your request is denied.  You will receive truth-in-lending and disclosure information from your Direct Loan servicer after funds are disbursed.
  6. Please notify your Direct Loan servicer and JCC of any changes to your name or address.

Do I need a student loan?

The JCC Direct Student Loan Request form will help you determine how much to borrow. Borrowing for college is an important decision in planning for your future. A student loan can be a very powerful tool to help you reach your educational goals; however, it will become a permanent part of your personal financial record and MUST be repaid. We encourage you to first consider all other available resources and caution you to be a conservative borrower. You can read more about the Direct Student Loan program in Funding Education Beyond High School: The Guide to Federal Student Aid available online at

I completed the FAFSA, why do I need to submit the JCC Direct Student Loan Request form?

One of the benefits of attending our community college is that you can receive an affordable and outstanding education.  Completing the loan request form will help you determine your actual borrowing needs, and in turn can help reduce your overall level of debt, preserve your lifetime loan eligibility for future educational needs, and help prevent difficulties in meeting your minimum repayment obligations. Consider this element of financial literacy as an important part of your education.

Am I eligible for a loan?

  • Not all students are eligible to receive a Direct Student Loan. It is the institution’s responsibility to carefully monitor each student’s financial needs and academic eligibility. Federal regulations require that we use information from your federal Student Aid Report, your student loan request form, and institutional records to confirm your eligibility for a student loan. You must meet federal student aid requirements, be enrolled in at least 6 credit hours of coursework required for your degree program, attend those classes, and be in good academic standing.
  • Any change in your level of enrollment, attendance, or academic standing after your loan is approved will cause a delay while your record is reviewed and may result in reduced loan eligibility.
  • In some instances, the loan amount requested may be reduced because federal regulations prohibit colleges from approving, or disbursing, a loan for more than a student is eligible to receive. 

How will I receive my loan money?

  • Loans you are authorized to receive will be temporarily applied to your student bill until your funds are actually received. During the first three weeks of the semester, students with a refund due to pending loan disbursements can charge their textbooks at the college bookstore.
  • When the funds are credited to your account, you will be notified via your official JCC student e-mail account, instructing you to view your bill on Banner. Loans approved after a scheduled disbursement date will disburse within two weeks.
  • Federal regulations do not allow first time freshman borrowers to receive loan proceeds until 30 days after classes begin.
  • After your loan funds are received and applied to your student bill, the business office will issue any refund in excess of student charges within 14 days via US mail. 

What else should I do?

  • Monitor your loans at the National Student Loan Data System.
  • Watch your mail and respond to any further requests for information or action on your part.
  • Maintain a filing system at home to keep track of your loan documents. You’ll need this information later when it’s time to repay your loan.
  • Notify your lender of any changes to your name or address, or enrollment status (such as dropping below 6 credit hours), or if you withdraw from college.
  • Complete Exit Counseling at when you reduce your enrollment to less than half-time (6 credit hours), or when you graduate or withdraw from JCC.

Questions? Contact the JCC Financial Aid Office at 716.338.1009 or 800.388.8557 ext 1009. Cattaraugus County Campus students may call 716.376.7512 or 800.388.8557 ext. 7512.