P.O.

Box 58429
Raleigh, NC 27658

Duke University
Application and Solicitation

Loan Interest Rate & Fees

Your Starting Interest Rate
(upon approval) will be:

Your Interest Rate during the life of the loan:

Your rate is variable and is the highest Prime Rate as stated in the Wall Street

8.25%
After the starting rate is set, your rate
will then vary with the market

Journal (index) plus a margin of 5.00% to the value of the index. The rate on new and
existing balances will change on the 1st day of each year to reflect any change in the
index. We will use the index value available to us as of 10 days before the date of any
APR adjustment. The maximum ANNUAL PERCENTAGE RATE will never be
greater than the maximum rate allowed by state law in North Carolina which is
currently 18.00%. There is a minimum ANNUAL PERCENTAGE RATE of 5.00%
(floor). The rate will not increase more than once a year, but there is no limit on the
amount that the rate could increase at one time. Any increase in the Annual Percentage
Rate will take the form of more payments of the same amount.

LOAN FEES
Origination Fee: a fee of 3% of the total amount disbursed will be charged to make each disbursal. Late Charge: If you are more
than fifteen (15) days late in making any payment, a late charge of $10.00 will be deducted from your payment for each late payment.
You may repay all or part of what you owe at any time without any prepayment penalty.

LOAN COST EXAMPLES

The total amount you will pay for this loan will vary depending upon when you start to repay it. This example provides estimates
based upon three (3) different repayment options available to you while enrolled in school.

Repayment Option
(while enrolled in school)

1. DEFER PAYMENTS
Make no payments while enrolled in
school. Interest will be charged and
added to your loan
2. PAY ONLY THE INTEREST
Make interest payments but defer
payments on the principal amount while
enrolled in school.
3. MAKE FULL PAYMENTS
Pay both the principal and interest
amounts while enrolled in school.

Amount Provided

Interest Rate

Loan Term

Estimated Total

(amount provided
directly to you or
your school)
$10,000

(highest
possible starting
rate)
8.25%

(how long you have to

pay off the loan)

Paid over 20 years

(includes associated
fees)
$24,679

$10,000

8.25%

20 years
starting after the
deferment period

$22,520

$10,000

8.25%

20 years
starting after your first
payment

$20,458

20 years
starting after the
deferment period

About this example

It is based on the starting rate currently charged and associated fees. Once the loan goes into repayment, loan amounts up to
$40,000 will have a term of 20 years, and for loan amounts more than $40,000, repayment will last 25 years. You may repay all or
part of what you owe at any time without any prepayment penalty. The rate is variable so it may increase as disclosed above. Any
increase in the Annual Percentage Rate will take the form of more payments of the same amount. EXAMPLE: If your loan was
$3,000.00 at 12% for 24 months and the rate increased to 13% after one year, you would have to make one additional payment.

REFERENCE NOTES
Eligibility Criteria
be enrolled at a regionally accredited graduate business
degree granting educational institution where it has been
approved for full participation in the federally guaranteed
student loan program by the United States Secretary of
Education and meets default rate requirements of Coastal
Federal Credit Union or its insurer,
meet the enrollment requirements approved for the school,
be at least a half-time student as defined by said education
institution,
be 18 years of age to apply,

meet specific credit requirements before you can be approved

for the loan.
Bankruptcy Limitations
If you file for bankruptcy you may still be required to pay
back this loan.
More information about loan eligibility and repayment
deferral or forbearance options is available in your loan
application and loan agreement.