U.S. Student Loans

We will determine the loan type(s) and the actual loan amount you are eligible to receive each academic year. However, there are limits on the amount you may receive each year and the total amounts that you may borrow for undergraduate and graduate study (aggregate loan limits).

Your eligible Direct Loan amount is calculated by the following formula:

The Cost of Attendance = (COA) - (EFC) - (EFA)

Cost of Attendance (COA) includes loans, books, supplies, living expenses, personal expenses and transportation costs for the 8 or 12 month period you will be in school.

Expected Family Contribution (EFC) is based on the student's (and if applicable, the student's family's) income and assets, as reported on the FAFSA form. The EFC is reported on the SAR and the Institutional Student Information Record (ISIR). It is based on an eight month period of enrolment.

Estimated Financial Assistance (EFA) includes scholarships, grants, loans or work that is awarded on the basis of post-secondary enrolment.

Alternative/Private Loans are loans that provide supplemental funding above the Federal Direct Loans. Students must have a satisfactory credit history in order to qualify. Students may borrow up to their cost of attendance minus any financial aid that they receive for that year. Alternative loans have different interest rates, fees and repayment options that U.S. government loans.

1. Complete the FAFSA Application (external link, opens in new window)  (School code: G10720). For more information, please visit the FAFSA help guide (external link, opens in new window) .
2. As part of this process, you will be required to complete an online Master Promissory Note (MPN) form (external link, opens in new window)  for each type of loan you wish to apply for. You must also complete Entrance Counselling (external link, opens in new window) .
3. Complete the  (google form) Federal Student Aid Supporting Documents form (external link, opens in new window) 
4. Once your government loan is certified by TMU, we will email you your Direct loan award letter for the year. You will use this email as proof of funding for your Student Visa.
5. All official TMU communication will be communicated to students through their university email address. As a new student, you will need to activate your MyServiceHub account in order to create a university email address (after the first week of August).
6. Funds will be posted to your MyServiceHub account at the beginning of each term. All loan amounts issued are in U.S. dollars. The U.S. exchange rate is effective the day the funds are posted to your account.

Once funding is disbursed for FAFSA, Veteran Affairs, Sallie Mae, or Earnest, it can take up to 20 business days for loans to be received by our institution and to be posted to your MyServiceHub account. To confirm if your funding has been received and posted, follow the instructions to Complete an Account Inquiry.

If you are coming to TMU from the United States, you can apply for financial assistance through your country’s student loans program. If you need forms completed, email them as fillable PDFs to funding@torontomu.ca. Please make sure to email through your university email, along with your TMU Student Number and the type of loan you are applying for!

• Dual Citizenship students (U.S. and Canadian): Students cannot receive government student funding from more than one country per year.
• Department of Veteran Affairs: TMU participates in the GI bill benefit programs. Apply online on the U.S. Department of Veteran Affairs website (external link, opens in new window) . Maximums allowed under this program are listed on the Tuition and Fee Payment charts (external link, opens in new window) . The VA does not award benefits for distance learning, independent study, exchange program and internship abroad courses.
• Nursing (CE, Undergraduate and Graduate level): These programs are ineligible for Federal Direct loans.
• Distance education courses: Any course which does not include an in-person classroom attendance is ineligible for U.S. federal loan funding.
• Exchange/Internship programs: If any component of a program is taken at a partnering institution as an exchange, students are eligible for federal student aid.

Loans from previous study periods may be deferred while you are studying full time. For details on deferment, review the Federal Student Aid website (external link, opens in new window) .

Students must be enrolled full-time (4+ courses per semester) to maintain U.S. Direct Loan eligibility. A student may drop to half-time status (2-3 courses per semester) and still remain eligible. Students who drop below half-time status (1 course or withdraw entirely) will lose eligibility.

As per U.S. government regulations, students must maintain certain academic standards in order to remain eligible for all types of U.S. Direct Loans (as per the Satisfactory Academic Progress for Financial Aid Eligibility, Federal Regulation - 34 CFR 668.34 (external link, opens in new window) ).  

The Satisfactory Academic Progress (SAP) Policy applies to all students applying for U.S. Direct Loans under Title IV of the U.S. Higher Education Act. These types of loans include Direct Loans (Subsidized and Unsubsidized), Direct Parent PLUS, and Direct Grad PLUS loans.

All students will have their academic progress reviewed at the end of each academic year. Students who have not fulfilled the SAP requirements will not be eligible for U.S. Direct Loan funds for the subsequent academic year(s). Once the academic results are available (generally early May, or the end of August if a student registers for courses in the Spring/Summer semester), a student’s academic record is verified to ensure they have met SAP.

• If a student has not met SAP and received U.S. Direct Loans, they are notified within 30 days of academic results being available.

• If a student who has applied but has not before received U.S. Direct Loans and has not met SAP in the previous year, the student is notified via email once the U.S. Direct Loan application is submitted.

To maintain U.S. Direct Loans eligibility, students must fulfill these requirements:

• Maintain a Cumulative Grade Point Average (CGPA) of 2.0 or higher,
• Have an overall course completion rate of 67% or more and complete your program within the allowed timeframe (see “Maximum Time Frame Eligibility” below for more details); and
• Undergraduate students must complete their degree within 150% of the published length of their degree completion time (in credits or in years, as applicable).
  • Graduate students must complete their program within the timeframe published by their program department (see below for more details).

Communication of information relevant to the prevention and management of defaults is a school-wide effort, and is not the responsibility of a single office. To promote success, school officials regularly examine their communication procedures for effectiveness and inclusiveness. Information regarding borrower’s academic progress and enrolment status are components of the information received by all relevant offices across campus, including the offices that disburse funds and authorize payments.

Accurate and timely communication among school entities and the Department not only ensures the right aid is getting to the right student, but such communication will help schools comply with regulations regarding the school’s standards of administrative capabilities, accurate and timely reporting of borrower’s enrolment status, and satisfactory academic progress.

It is a student's responsibility to read and understand the Satisfactory Academic Progress (SAP) Policy.

SAP is evaluated once each year, at the end of the winter term (early May). However, students taking spring/summer classes will be re-evaluated at the end of the spring/summer term (August). SAP requirements are defined as follows:

• Qualitative component: a minimum Cumulative Grade Point Average (CGPA) of 2.0
• Quantitative component (or pace): Complete at least 67% of a full course load each academic year; and
• Timeframe component (undergraduate): undergraduate students must finish their degree within 150% of the published length of degree completion time. On average:
  • The standard program length is 4 years for undergraduate programs
• Timeframe component (graduate): graduate students must finish their degree within the maximum length of the program. On average:
  • The standard program length is 1-2 years for masters programs
  • The standard program length is 4-6 years for PhD programs

Incomplete (INC) grades:

• Are considered attempted but not included in the CGPA calculation until being replaced by a final grade.
• Are counted in the pace calculation. Withdrawals are not counted towards the attempted credits.

Repeated course grades are included in the CGPA as per TMU grade regulations and are included in the pace calculation. The grade earned for the repeated course is substituted for the earlier grade in calculating your CGPA even if the newer grade is lower.  

Transfer Credits will be used to calculate the quantitative component (pace) of your eligibility, but will not count towards CGPA as per TMU transfer student regulations.

A student is considered to not have made SAP for maximum timeframe once the school has become aware that the student will not complete within the maximum timeframe and therefore, become ineligible for U.S. Direct Loans at TMU for that degree.

For undergraduate students, students must not use more than 150% of the published length of their program to complete their degree requirements.

For graduate programs, school defines the maximum time frame based upon the length of the program.

Please review the chart below to determine the maximum time allotted to receive U.S. Direct Loans, based on the published length of your program:

You must maintain a 67% completion rate for successful progression toward a degree. Once it has been identified that it is mathematically impossible for you to complete your program within the maximum timeframe, you will lose U.S. Direct Loan eligibility. Please refer to the chart below to ensure you are on track for completing within the allowed timeframe:

Completed Rate = Total credits completed in an academic year / Total credits attempted in an academic year

Students who are not meeting SAP requirements:

Students not fulfilling SAP requirements will receive an email to their university email address only. Upon receiving notification, a student may appeal within ten business days from the date of the email. The appeal submission must include:

• A letter from the student (including full name, the date, and TMU Student Number) explaining:
  • The student’s circumstances/reason(s) for not meeting SAP requirements;
    • Note: An appeal may be on the basis of a student’s illness or injury, death of a relative, or other special circumstances
  • What will change that will allow the student to satisfy SAP requirements in the future;
  • Any other relevant information.
• Supporting documentation relevant to the appeal.

The appeal must be submitted to the TMU Student Financial Assistance office over email (funding@torontomu.ca). The subject heading should read “U.S. Direct Loan SAP Appeal”.

Only complete files will be reviewed. The decision made by the TMU Student Financial Assistance office will be sent to the student’s university email address. The appeal decision may be:

• a reinstatement of eligibility for U.S. Direct Loans, or
• a financial probationary period with conditions, or
• a denial of U.S. Direct Loans.  

Any conditions pertaining to the financial probationary period status will also be listed in the email. Examples of conditions may include raising the CGPA by the end of the next semester, meeting with an Academic Advisor to develop an academic plan to ensure future academic success, etc. At the end of the subsequent semester, SAP will be re-evaluated according to the SAP policy and any conditions stipulated in the appeal decision. Failure to meet the SAP requirements or any appeal conditions will result in denial of U.S. Direct Loans.

Students cannot appeal SAP in the same year on different grounds if eligibility was not re-established after the first appeal.

Students may submit an appeal each time they are notified they have lost eligibility for U.S. Direct Loans for reasons of SAP.

If a student is denied U.S. Direct Loans after an appeal, but in subsequent years meets SAP requirements, it is the student’s responsibility to notify the TMU Student Financial Assistance via email funding@torontomu.ca. The student must explain that SAP requirements have been met and they wish to apply for U.S. Direct Loans. The TMU Student Financial Assistance office will verify SAP requirements have been met prior to originating and releasing any U.S. Direct Loans.

The U.S. Code of Conduct relating to Education Loans specifies that to prohibit a conflict of interest regarding private education loans, employees with responsibility for U.S. loans are prohibited from the following activities:

• Participating in revenue-Sharing arrangements with any lender
• Receiving gifts from a lender, a guarantor or loan servicer
• Contracting arrangement providing financial benefit from any lender or affiliate of a lender
• Directing borrowers to particular lenders or refusing or delaying loan certifications
  
• Offers of funds for private loans
• Call center or financial aid office staffing assistance
• Advisory Board compensation

U.S. federal aid regulations mandate a Return to Title IV Funds (R2T4) calculation when a student receiving Title IV financial aid withdraws from the University. If a student never attends, ceases enrolment, or withdraws from all courses in the term and the student received U.S. federal financial aid, the college must determine if these funds are required to be returned to the U.S. government within 45 days of the date of withdrawal.

The R2T4 calculation may result in a reduction of the student’s U.S. federal loan(s) if the student attended less than 60 percent of the term. The R2T4 calculation is based on the following:

• The number of days the student attended
• The number of days in the term
• The institutional charges assessed
• The total amount of U.S. Direct Loan aid awarded accepted and/or disbursed.

The amount of assistance that you have earned is determined on a pro-rata basis. For example, if you complete 30% of your semester, you earn 30% of the assistance you were originally scheduled to receive.

As a result, TMU and the student may be required to return any "unearned" U.S. federal aid received. TMU may be obligated to return funds on behalf of a student.

If the amount of the loan funds returned exceeds any existing credit on the student’s account, the student will owe the funds to the University. The student should make arrangements with TMU's Collections Services to repay the outstanding amount to the University as soon as possible.

A letter from the Financial Aid Office will be sent via a student’s university email address indicating the type and amount of aid returned to the U.S. Department of Education on their behalf.

Funds returned to the U.S. Department of Education on behalf of a student are used to repay the current year’s loans in the following order:

1. Unsubsidized U.S. Direct Loan
2. Subsidized U.S. Direct Loan
3. Parent PLUS for Undergraduate students
4. Grad PLUS for Graduate students

Withdrawal Date: The date the student withdraws from school, as determined by the school.

For a student who ceases attendance at an institution that is not required to take attendance, the student's withdrawal date is any of the following:

• The date, as determined by the institution, that the student began the withdrawal process prescribed by the institution
• The date, as determined by the institution, that the student otherwise provided official notification to the institution, in writing or orally, of his or her intent to withdraw
• If the student ceases attendance without providing official notification to the institution of his or her withdrawal, the midpoint of the payment period
  

A school that is not required to take attendance is always permitted to use the last date of an academically related activity that the student participated in as the student’s withdrawal date.

Date of Determination: The date the school determined that the student withdrew completely or ceased attendance from school. This may be the date the student begins the official withdrawal process at the school, or the date the institution becomes aware that the student has ceased attendance. For a school that is not required to take attendance, a student who has not notified the school of their intent to withdraw, the last possible date of withdrawal for the student is the date the school terminates the student’s enrolment (unless the school can document that the student continued his or her attendance after the midpoint).

As per the Higher Education Opportunity Act (HEOA) of 2008, the U.S. government requires institutions offering U.S. Direct Loans to disclose consumer information. If you require further information about the content, please contact Student Financial Assistance.

U.S. Department of Education regulations state that a school must return loan funds if a student has not completed a minimum of 60% of the payment/enrolment period.

If a student received more loan funding than was "earned," the excess funds must be returned by the school and/or the student. The amount of money to be returned is determined by a calculation that includes the number of school days completed and the amount of institutional charges fees paid ("Return to Title IV" Calculation).

If you withdraw from TMU, you may be required to:

• Repay the school any "unearned" U.S. Direct Loan funds that the University returned on your behalf (as stipulated by U.S. Department of Education regulations), and/or
• Repay part or all of your loan(s) to the designated servicer

If the student did not receive all of the funds that were earned, the student may be eligible for a post-withdrawal disbursement. Loans must be offered to the student within 30 days, allowing the student at least 14 days to respond. The student may choose to decline some or all of the loan funds.

The date of withdrawal is the date the student informs the school of the withdrawal or the midpoint of the payment period or, if applicable, the last date of academic attendance as determined by the institution’s attendance records. (Date of Determination: must determine the withdrawal date no later than 30 days after the end of the earlier of (1) the payment period or the period of enrolment (as applicable), (2) the academic year, or (3) the student’s educational program.)

Once a student's tuition and ancillary fees are paid, refunds of remaining funds are available for payment of book and living expenses.

To request a refund, please login to your MyServiceHub account and submit a refund request.

Exit Counseling provides students with information about repayment plans. It is mandatory for all graduating students with subsidized, unsubsidized and PLUS loans.

Online Exit Counselling (external link, opens in new window)  must be completed during the final term of studies and prior to graduation. An acknowledgement will be sent to the University upon completion. If you withdraw from the University, you are obligated to fulfill this requirement.

Study Abroad Students

Students participating in a Study Abroad Program are NOT eligible to receive U.S. Financial aid or alternative loans through TMU. You will be paying your tuition fees to the other school (abroad). You must therefore make arrangements with that school for financial aid.

Exchange Students

U.S. students studying on an official TMU exchange are considered to be TMU students for U.S. Financial Aid. This means that:

• you pay tuition and fees to TMU
• you apply for U.S. loans following TMU procedures

Important: U.S. Department of Education regulations stipulate that you can receive U.S. Direct Loans while on exchange only if:

• you attend a school that participates in the U.S. Direct Loan Program, and
• the school attended is located outside and/or inside of the U.S.

The U.S. Federal School Code List (external link, opens in new window)  (updated quarterly) will determine whether your intended international exchange school participates in Title IV Federal Student Aid Programs.

If you are not eligible to receive subsidized/unsubsidized/PLUS loans while on exchange, you may wish to explore a Sallie Mae loan (external link, opens in new window) .

According to U.S. government regulation, TMU students are not eligible for U.S. Direct Loans if research, work, internship, externship or special study is performed in the US. Students intending to pursue any portion of their program in the U.S. or a foreign country should communicate with our Financial Aid office.

Earnest is a private lender offering private student loans, student loan refinancing, and scholarships. With Earnest, you may be considered for:

• Low interest rates
• Your choice of payment and loan term 
• A 50% longer grace period for repayment of your loan
• Annual “skip a payment” benefits
• Competitor rate matching - find a lower rate with one of our competitors, and we’ll match it!

How to apply: 

1. Complete the Earnest Loan application (external link, opens in new window)  on the Earnest Loan website.
2. Afterwards, please complete the  (google form) Earnest Loans Google Form (external link, opens in new window)  to notify Earnest office that you applied, and to confirm some details we need to complete your Earnest loan assessment.
3. The Earnest office will generate your Earnest loan assessment. They will be in touch with you via your university email and/or the email address you provide on your  (google form) Earnest Loans Google Form (external link, opens in new window)  submission to confirm your Earnest loan assessment.
4. At the beginning of each semester you apply for funding (fall, winter, and/or spring and summer), funds will be posted to your MyServiceHub account. All loan amounts issued are in U.S. dollars. The U.S. exchange rate is effective the day the funds are posted to your account.

If your Earnest loan funding is more than the fees owed on MyServiceHub, you can request a refund to have the remaining credit balance on your account mailed to you as a cheque.

If you have any questions, please email funding@torontomu.ca (opens in new window)  or want to learn more? Explore Earnest (external link) .

U.S. students studying at TMU can apply for Sallie Mae loans. If you decide to apply for both FAFSA Direct Loans and Sallie Mae, your Sallie Mae loans will impact your FAFSA Direct Loan assessment, as your Sallie Mae funding is counted as a resource toward your financial need calculation.

1. Complete the Sallie Mae application (external link, opens in new window)  on the Sallie Mae website.
2. Once your application is submitted to Sallie Mae, please complete the  (google form) Sallie Mae Loans Google Form (external link, opens in new window)  to notify our office that you applied, and to confirm some details we need to complete your Sallie Mae assessment.
3. Our office will generate your Sallie Mae loan assessment. We will be in touch with you via your university email and/or the email address you provide on your  (google form) Sallie Mae Loans Google Form (external link, opens in new window)  submission to confirm your Sallie Mae loan assessment.
4. At the beginning of each semester you apply for funding (September/fall, January/winter, and/or May/spring and summer), funds will be posted to your MyServiceHub account. All loan amounts issued are in U.S. dollars. The U.S. exchange rate is effective the day the funds are posted to your account.

If your Sallie Mae funding is more than the fees owed on MyServiceHub, you can request a refund to have the remaining credit balance on your account mailed to you as a cheque. 

If you have any questions, please email funding@torontomu.ca for further assistance.

Students may qualify for financial aid through the U.S. Department of Veterans Affairs.

To determine if you are eligible, please visit the Veterans Affairs' Education Benefits Eligibility (external link, opens in new window)  page.

To apply, please visit the Veterans Affairs' How to Apply (external link)  page.

If you have any questions, please email funding@torontomu.ca for further assistance.