Student Loan Repayment Basics
Since the MHS scholarship program was implemented in the 1920's, there has been a self-help or co-payment component for the majority of those years. MHS is returning to the self-help component philosophy with the Class of 2011. Graduates from the Class of 2011 and beyond will be required to borrow $2,500 in Direct Subsidized Loan funds each academic year ($1,250 per semester, $833 per trimester, or $625 per quarter) before any CES funds are invested. For students graduating from post-secondary school within six (6) years of activating their CES funds, MHS may repay up to $2,500 in student loans per academic year IF the student has CES funds remaining after graduation!
Basic Loan Repayment Parameters
In order for Milton Hershey School to help repay student loans, the following conditions must be met:
- The student must GRADUATE with a post-secondary degree with six (6) years of activating CES funds;
- The student must have CES funds remaining after graduating from college;
- MHS will only help repay student loans used towards standard tuition, fees, room & board costs;
- MHS will only help repay student loans taken during terms when the student was eligible for CES funds;
- MHS actually calculates student loan repayment eligibility by term so $2,500 per academic year in potential loan repayment equates to $1,250/semester, or $833/trimester, or $625 per quarter;
- The student needs to provide MHS with a diploma, final academic transcript, and student loan repayment documents within six months of graduating from college in order for MHS help repay any loans.
Where to Find Your Specific Student Loan Information
Contact your student loan lender or servicer or go to one of these main federal loan websites and log in: www.nslds.ed.gov or https://studentloans.gov (1-800-557-7394)
Stafford Loan Borrowing Chart | ||
|---|---|---|
| Year in College | Direct Subsidized Loan Eligibility Amount | MHS Direct Subsidized Loan Borrowing Requirement |
| Year 1 | $3,500 | $2,500 |
| Year 2 | $4,500 | $2,500 |
| Year 3 | $5,500 | $2,500 |
| Year 4 | $5,500 | $2,500 |
| Year 5 (if needed) | $5,500 | $2,500 |
The CES program requires students to borrow only $2,500 in Direct Subsidized Loans per academic year. If you choose to borrow more than $2,500 to pay for books, supplies, or other educational costs, you can do so as long as you do not borrow more than the "Direct Subsidized Loan Eligibility Amount" listed above. However, any such "extra loans" are your responsibility to repay, not Milton Hershey School's responsibility to repay.
