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The ºù«Ӱҵ No Interest Institutional Loan Program (also known as the Permanent Restricted Loan Fund) is a loan program administered through ºù«Ӱҵ. The Financial Aid Office packages this loan into qualifying students' award packages. Please note that this loan cannot be consolidated with any other loan program, including federal loan programs, once the student leaves the College.

Occidental uses ECSI (an outside company) to administer the billing and other services for this loan, which includes processing payments and all deferments or cancellations.

Terms and Conditions of the ºù«Ӱҵ No Interest Loan

The ºù«Ӱҵ No Interest loan has a minimum monthly payment of $50 per month, which may increase based on the amount borrowed, and repayment is scheduled over 10 years. The interest rate is 0%, however, it increases to 5% if the loan enters default. There is also a $4.00 late payment fee assessed for every missed and/or late payment. Before leaving ºù«Ӱҵ, each student with this loan must complete an exit interview and will then enter into repayment upon leaving the College. Once the borrower enters into repayment, they are given an initial grace period of 6 months. Please note that this program offers no grace period after deferment periods — once a deferment ends, the loan immediately returns to repayment.

Deferment Provisions

The ºù«Ӱҵ No Interest loan program offers the following deferment provisions. Deferment forms can be found in the Forms section of this website. During deferment, the borrower is not required to pay loan principal and interest does not accrue.

In School Deferment: The borrower must be enrolled at least part-time at an eligible academic institution.

Unemployment Deferment: A borrower may defer for up to three years if they are seeking and unable to find full-time employment.

Economic Hardship Deferment: A borrower is entitled to an economic hardship deferment for periods of up to one year at a time, not to exceed three years cumulatively.

Temporary Total Disability Deferment: An affidavit from a qualified physician is required to prove disability. A borrower is temporarily totally disabled if they are, due to illness or injury, unable to attend an eligible school or to be gainfully employed during a reasonable period of recovery.

Military Service Deferment: A borrower is entitled to a military service deferment if they are a member of the U.S. Army, Navy, Air Force, Marines, or Coast Guard.

Cancellation Provisions

This loan cannot be cancelled.

Discharge (Complete Loan Cancellation) Provisions

The ºù«Ӱҵ No Interest loan (in its entirety or the remaining balance) can be discharged due to death or total and permanent disability. In cases of death, Occidental must receive an original or certified copy of the death certificate. Total and permanent disability is defined as the inability to work and earn money because of an injury or illness that is expected to continue indefinitely or to result in death. The borrower must submit a physician's certification of total and permanent disability, certifying that the borrower is 100% disabled according to the Perkins Loan Program definition of disability.

Defaulted ºù«Ӱҵ Loans

We strongly encourage any borrower who is struggling to make payments to reach out to us before their loan reaches default status — we are here to help explore your options. If a borrower does default on their ºù«Ӱҵ No Interest loan, the loan will negatively impact their credit report and the following penalties may apply:

• The remaining loan principal balance is accelerated, making the entire remaining loan amount payable immediately
• The loan is sent to a collection agency after acceleration, where the borrower will incur all collection costs
• The borrower becomes ineligible for deferments
• The interest rate increases from 0% to 5%