One of the most pressing issues for many Professional MBA candidates is financing your education. You can begin the process of applying for financial aid before being admitted into the Professional MBA program, but no aid will be awarded until after you are admitted. Financial aid can be used to pay partial or full program costs.
Sources of Financial Aid
Professional MBA program participants are eligible to apply for three types of financial aid through the Texas A&M Scholarships & Financial Aid Office.
Federal Direct Loans
The William D. Ford Federal (Direct) Loan Program is provided and administered by the U.S. Department of Education. Students can borrow up to $20,500 per academic year. The most up-to-date information about interest rates is found here. Repayment begins 6 months after graduation or dropping below half-time enrollment. The maximum lifetime borrowing limit is $138,500 (including undergraduate amounts) in this program which was formerly referred to as the Federal Stafford Loan.
Federal Direct Graduate PLUS Loan
The William D. Ford Federal (Direct) Graduate PLUS Loan Program allows graduate students to borrow up to the total cost of attendance (minus other aid). Approval for this type of loan is based on a credit screening process. The most up-to-date information about interest rates is found here, with repayment beginning 6 months after graduation or dropping below half-time status.
Alternative (private) loans are administered by private lending institutions to be used for educational costs. They are not part of the federal student loan programs, may carry higher interest, and should be used when other options have been exhausted. Texas A&M Scholarships and Financial Aid maintains a lender list for private loan options.
How to Apply for Financial Aid
- Create an FSA ID: the FSA ID is used to confirm your identity when accessing your financial aid information and electronically signing your federal student aid documents.
- Complete the FAFSA online: he FAFSA is available beginning on October 1 and should be completed as soon as possible. The priority deadline for FAFSA submission is March 15. The FAFSA may be completed during the admissions process, but financial aid will not be awarded until program admission. The school code on the FAFSA for Texas A&M University is 003632.
- After May 17, if FAFSA is complete, apply for the Direct Grad PLUS loan.
- Apply for alternative loans: Further funding can be accessed through alternative loans from private lending institutions to cover additional costs. Texas A&M maintains an alternative loan lender list. International students who are not permanent residents are not eligible for federal loans. However, international students can apply for alternative loans through a private lending institution. This may require a creditworthy, U.S. citizen co-signer.
- Complete Master Promissory Note (MPN) for each loan type.
Documents required to complete the FAFSA
- Social Security number
- Driver’s license
- W-2 and 1099 wage forms
- Federal Income Tax Return
- IRS 1040, 1040A, 1040 EZ
- Foreign Tax Return
- Veterans benefits
- Current bank balances
- Current business net worth
- Farm/ranch net worth (if you have more than 100 employees)
- Investment net worth (not including retirement plan accounts, such as a 401K, 403B or annuity)
Veterans education benefits
There have been many changes to educational benefits for veterans in recent years. The most updated information can be found through the Veteran Services Office.
Post-9/11 GI Bill
Individuals with at least 90 days of aggregate service after September 10, 2001, or individuals discharged with a service-connected disability after 30 continuous days on active duty, are eligible to participate in the Post-9/11 GI Bill. The percentage of eligibility ranges from 40% – 100%.
VA tuition and fee payments are paid directly to Texas A&M and are applied as a 3rd party payment to the student’s billing account. Students must notify the Veterans Services Office if their VA chapter benefits will exhaust during the semester in which benefits have been requested as this may result a reduced tuition and fee payment from the VA. The VA will not pay for the following:
- Tuition and fees which are already being paid by other forms of financial assistance specifically intended to pay tuition and fees (ex. Tuition Assistance, Assistantships, ROTC tuition payments, tuition scholarships, etc.).
- The portion of Program Fees which consist of charges for books, supplies, travel, food, or accommodations (the student is expected to use their book and housing stipends to pay for such charges).
The Post-9/11 GI Bill pays up to 36 months of education benefits.
Book Stipends are sent directly from the VA to the student (not to the school) via direct deposit. Payment amounts are equal to $41.67 per credit hour up to 24 hours in a single academic year ($1,000 maximum). A lump sum payment is made each semester. These stipends are prorated based upon the percentage of benefit awarded.
Monthly Housing Payments are sent directly from the VA to the student (not to the school) via direct deposit. Benefits are paid in arrears (after the training period). For example, a student receives payment for August at the beginning of September. Payment amounts vary annually and are on the Department of Defense (DoD) Basic Allowance for Housing (BAH) rate for E-5’s with dependents please utilize zipcode 77843. The amount of this benefit varies from 40% to 100% depending on the length of active duty service. Payments are prorated for any partial months of attendance (ex. August & December). Payment amounts do not include enrollment break periods (ex. Winter & Summer break).
Other GI Benefits may be used in pursuing your MBA.
The Hazlewood Act provides qualified Veterans, spouses, and children with an education benefit of up to 150 hours of tuition and fees, which will defray a portion of the program cost. Applicants can receive financial aid to cover what the Hazlewood Act does not.