Federal Sequestration and Student Loans
Effective March 1, 2013, under the terms of the Budget Control Act of 2011 the federal government imposed across-the-board budget cuts that affect higher education programs, including Federal Direct Loans.
Under sequestration, loan fees for 2014 have been increased by 20% to 1.051% for Direct Stafford Loans and 4.204% for Direct PLUS Loans.
As a result of this change, Duke University and the Department of Education must make modifications to their systems in order to process the new origination fee. While we make the changes to our system, we have to limit some of the functionality within ACES.
Students will not be able to accept their awards until the system modifications are in place. We expect to have this completed by mid-May, and will send students an email from the Student Loan Office once the system is ready to handle loan acceptance. Please be aware that this affects all students, not just those receiving loans.
Until then, students will only be able to review their aid package in ACES. Students will not be able to accept, decrease or decline any of their awards. It is important that students return to the Financial Aid section of ACES as soon as possible after the email notifcation in May.
New Repayment Option: PAY AS YOU EARN
Beginning December 21, 2012, borrowers may be eligible to enroll in the new Pay As you Earn plan. The Federal Student Aid website has more detail about the payment plan itself, eligibility, and whether or not this is the best repayment plan for the borrower.
New Tool Available for Managing Loan Debt
Duke student loan borrowers now have the ability to view all of their Duke student loans in one place. Students can see a comprehensive list of their Duke student loans, interest rates, and loan fees for each loan by logging into ACES and viewing the new page labeled "My Loan Info".