HMS uses the unit loan concept to package financial aid awards and to assure that high-need students have top priority for scholarship funds. The unit loan is a package of loans offered before any HMS scholarship is considered. Only students whose financial need exceeds the total unit loan are eligible for HMS scholarship aid:

Financial Need minus Unit Loan equals HMS Scholarship

For 2008-2009, the unit loan for incoming students is $24,500. Students whose computed need exceeds $24,500 will be offered HMS scholarship. The cornerstone of the unit loan package is the Federal Direct Stafford Loan (6.8% fixed interest rate), which meets up to $8,500 of need. Various low-interest campus-based loans (interest of 5-7%) comprise the rest of the unit loan. While in school, interest does not accrue and payments are not required.

*Special Note for International Applicants: The federal portion of the unit loan is only available to U.S. citizens and permanent residents. Aid from federal programs will be removed from the financial aid packages of international students and replaced with institutional loan funds.

The unit loan amount is fixed for each class at matriculation and remains unchanged for that class for the duration of HMS enrollment. The composition of the unit loan is subject to change from one academic year to the next depending on funding levels. The Financial Aid Committee reserves the right to adjust the aid package of late applications when funding is limited.

Sample Cases

Applying the policies described above, the following examples show two types of financial awards:

If the student in either sample case were unable to obtain the full-calculated family contribution, s/he would have to make up the shortfall from other resources.  These might include additional Federal Direct Unsubsidized Stafford Loans, Federal Direct PLUS Loans, private supplemental loans, or job earnings.