Financing your Rice MBA


The Tuition for the Class of 2016 in Fall 2014-Spring 2015 is $50,400. An enrollment deposit of $2,000* is due upon acceptance. Tuition and fees are billed in 50 percent increments for Fall and Spring. All payments may be covered by the use of personal resources, financial aid, and private loans. Semester payment plans are also available through the Cashier’s Office. For additional assistance in creating your Education Financial Plan, please view the Estimated Annual Expenses form.

*The $2,000 non-refundable deposit is due upon acceptance into the program and serves as a guarantee of enrollment in the year for which you are accepted. Failure to enroll in that year results in forfeiture of the deposit and will require reapplication.  

Scholarships are only available to those applying to the Rice MBA Full-Time program. The Jones School has a limited number of scholarships available for students which are awarded on the basis of academic merit. Please note that merit-based scholarships are determined based on the strength of the entire application package including, but not limited to, GMAT score, undergraduate transcripts, work history, leadership experiences, etc. There is more scholarship money available in the early decision rounds and the scholarship budget is often depleted by the final round. If you are an international student, early application will allow extra time to arrange for your visa and funding or English proficiency study.

All admitted MBA Full-time students (both international and domestic), are considered for merit-based scholarships which can range from 10% to 100% of tuition. Scholarship funding may be applied toward any education-related costs (ie: tuition, fees, living expenses, etc.). There is no separate application process for scholarship consideration. Once your application is submitted, it is reviewed holistically and considered for scholarship awarding based on all required criteria within your application. If you are admitted to the Rice MBA Full-Time program, any scholarship award will be announced in your admission packet.

Rice University administers federal and private loans to cover program related expenses. Upon admission to the Jones School, you will receive detailed instructions about the loan application process from the JGSB Financial Aid Specialist.

Federal Financial Aid
Federal Direct Student Loans are issued through the Department of Education and are available to US Citizens and US Permanent Residents. The first step in the Federal Financial Aid process is to complete the Department of Education’s Free Application for Federal Student Aid (FAFSA). The FAFSA is available for completion as of January 1st for the coming academic year and Rice University’s FAFSA school code is 003604.

The FAFSA priority processing deadline for new and returning students each year is May 15. Please note, however, that you are not limited to this date as Financial Aid is processed throughout the academic year. Your FAFSA will begin to be processed by our institution and an award package will be created upon admission to the Jones School and submittal of your enrollment deposit. To expedite processing time we encourage students to complete the FAFSA at your earliest convenience.

Federal Direct Student Loan Options
As a rule, graduate students are eligible for Federal Direct Student Loans, but are not eligible for Federal Grants. The types of loans are as follows, but please remember that student-specific eligibility can only be determined once the completed FAFSA is received and processed by the JGSB Financial Aid Specialist in coordination with the Office of Financial Aid.

Federal Direct Unsubsidized Loan
The maximum academic year (Fall and Spring semesters) amount of the Federal Direct Unsubsidized Loan is $20,500.
  • 5.41% fixed interest rate
  • Interest accrues to the principle from the point of disbursement
  • You must be enrolled a minimum of half-time (4.5 credit hours) per semester to be eligible for this loan
  • A 1.072% origination fee is subtracted from the total
  • The loan will be disbursed in 50% increments (ie: 50% in Fall and 50% in Spring)
Federal Direct Graduate PLUS Loan (a.k.a.: Grad PLUS)
There is no particular academic year maximum, however, the amount borrowed may not exceed the cost of attendance.
  • 6.41% fixed interest rate
  • Approval by the Department of Education is based on a general review of credit history
  • Interest accrues to the principle from the point of disbursement
  • You must be enrolled a minimum of half-time (4.5 credit hours) per semester to be eligible for this loan
  • A 4.288% origination fee is subtracted from the total
  • The loan will be disbursed in 50% increments (ie: 50% in Fall and 50% in Spring)
For further information regarding Federal Direct Student Loans, please visit Rice University’s Office of Financial Aid and Federal Student Aid. Upon admission to the Jones School and submittal of your enrollment deposit, your FAFSA will be processed by our institution, and an award package will be created based on eligibility.

Contact:
Salomon Medina
JGSB Financial Aid Specialist
Phone: 713-348-3886
Email:jgsbfina@rice.edu  
Applying for a Private Loan

Private Loans
are an additional funding option to be used in combination with, or as an alternative to, Federal Direct Student Loans. These types of loans are available to US Citizens, US Permanent Residents, and may also be available to International Students with a US Citizen or US Permanent Resident co-signer. The application process is student-initiated with the lender and approval is based on a credit review as determined by the lender. A sample list of private lenders is available from the Office of Financial Aid in the Private Loans section. For International Applicants, additional funding information is also available through the Office of International Students and Scholars and in the International Applicants section. Please note that you are not limited to the list of lending institutions and if you do not see your desired lender, please contact them to obtain their lender code and notify the JGSB Financial Aid Specialist via e-mail.
The primary sources of funding for International Applicants are personal resources, a lending institution in the home country, or a private loan through a domestic bank with a US Citizen or US Permanent Resident cosigner. US law mandates that you demonstrate adequate funding to obtain your visa for enrollment. Further information is available through the Office of International Students and Scholars.

In the interest of assisting our students with the funding process, our office has compiled a list of educational and funding-related websites for your convenience. Please note that you are not limited to the lending institutions or organizations listed here and you must research, apply individually, and work directly with the funding resource. We are continuously working to expand and improve this information for your benefit and if you have any suggestions for additions or questions, please contact the JGSB Financial Aid Specialist.

International Loan-Granting Organizations1
The following loan opportunities may not require a US citizen or permanent resident co-signer. Please note there is additional funding information available on the Office of Financial Aid and the Office of International Students and Scholars websites.

Banco de México-FIDERH (Fund for Development of Human Resources) is a federal trust managed by the Central Banco de México that offers affordable low-interest loans to Mexican students for graduate studies either in Mexico or abroad. The Jones Graduate School of Business participates in a collaboration agreement with FIDERH. Applicants approved for funding through FIDERH are also eligible for an institutional scholarship of a minimum of 25% of tuition*.
*Funding awarded as an admissions merit scholarship will be considered toward meeting the institution’s portion of the joint agreement.
CONACYT (National Council on Science and Technology) is a member of Mexico’s department of education and offers scholarship and stipend opportunities to Mexican nationals seeking to study abroad.
 
FUNED (Mexican Foundation for Education, Science and Technology) is a non-profit private organization which offers Mexican nationals low-interest loan funding. Applications are accepted and processed by FUNED year-round. A joint funding agreement exists between CONACYT and FUNED. The combined resources of monthly stipends, scholarships, and loan funding potentially available to an applicant is approximately $23,700 per year. In addition, the Jones Graduate School of Business participates in a collaboration agreement with FUNED. Applicants approved for funding through FUNED are also eligible for an institutional scholarship ranging from 25-100% of tuition*.
*Funding awarded as an admissions merit scholarship will be considered toward meeting the institution’s portion of the joint agreement.

Global Student Loan Corporation
is a third-party loan facilitator that assists in providing educational loans without a US citizen or permanent resident co-signer to citizens of India. The interest rate is approximately 13.0% based on HSBC’s Retail Lending Rate which is occasionally reset. There will be a one-time administration fee of 2.75% paid by the borrower. There will also be a site-use fee of approximately $75. Borrowers may have up to 15 years to repay.

The Leo S. Rowe Pan American Fund grants interest-free educational loans to outstanding students, from Latin American and Caribbean OAS member countries, to help them finance their higher education studies in the United States. These loans are granted with the understanding that loan recipients commit to repaying the loan in full within a term of, at most, fifty-three months after completion of the studies or research program for which the loan is granted and to returning to their home countries within a year after completion of their studies in the US.

Domestic Loan-granting Organizations: Sample Lender List
The following list of private lenders work closely with Rice University offering loans to international students. A primary requirement for application is that you must secure a US citizen or permanent resident co-signer. The Office of Financial Aid provides a list of private lenders that they have researched through an electronic RFI (Request for Information) process. In addition, a blind survey through List Assist is utilized as the determination method for the following list. Please note that you are not limited to this list and may apply with any lending institution of your choosing. It is your responsibility to choose the lender that is right for you and all questions regarding the application process and terms of lending should be directed to the lender.
*These lending institutions do not require the student borrower to have a social security number. International Applicants may need to contact the lender before beginning the loan application to receive an ID number to utilize in place of a social security number.

Additional Resources

1. Disclaimer: The above list of lending institutions is solely the product of research by the Jones Graduate School of Business (JGSB). Neither the JGSB nor Rice University receive any form of compensation, monetary or otherwise, from the organizations listed and the university does not assume any liability for these entities. Students must research, contact the organization directly, and confirm their eligibility to apply for funding through these lending institutions. If you have any questions please contact the JGSB Financial Aid Specialist. 

For military and VA funding information click here. Please contact our financial aid specialist, Salomon Medina, at 713-348-3886 or through email at smedina@rice.edu with any questions.
What is the FAFSA?
The FAFSA is the Free Application for Federal Student Aid and must be completed each year for the coming academic year. Rice University’s school code is 003604.

Ex: The 2012-2013 FAFSA may be completed as early as January 1, 2012 and applies for the Fall 2012 – Spring 2013 academic year. We strongly encourage you, however, to file your tax return prior to completion of the FAFSA.

Your eligibility for Federal Direct Student Loans is determined by the Department of Education through the FAFSA application. If you are planning to cover the cost of tuition and fees from means other than Financial Aid (ie: Private Loans, personal resources, etc.) you do not need to complete the FAFSA. We do suggest, however, that students complete the application as an anticipatory measure. Having your FAFSA application already in our system will greatly facilitate the speed with which we may serve you should the need for Financial Aid arise at some point during the academic year. The priority processing deadline for the FAFSA is May 15th, but FAFSA applications and Financial Aid Award packages are processed throughout the year.

Who is eligible to apply for FAFSA?
Permanent Residents and U.S. citizens are eligible to apply for Federal Financial Aid.

What information does the FAFSA require?
The following information will be requested:
  • Personal identification information
  • The previous year’s IRS tax return
  • Other financial information such as your checking and savings balances, etc.
  • You must also create a FAFSA PIN if you do not already have one. The PIN is a 4 digit unique identifier which acts as your electronic signature for both the FAFSA and Federal Direct Student Loan applications.
Should I apply for the FAFSA even if I have not made my final school selection?
We encourage all eligible students to complete the FAFSA application as early as possible. Even if you have not made your final school selection, the FAFSA application will be required by all schools at which you decide to apply for Federal Financial Aid. Please note you must only complete the application once per academic year and you may add up to 10 school codes. Rice University’s FAFSA school code is 003604.

How long does it take to process the FAFSA?
The Department of Education generally processes the FAFSA application within 3-5 business days. Although the FAFSA application is received by the institution shortly after completion, institutional processing of the FAFSA information and awarding for incoming students will begin in mid to late April; for returning students this will take place once grades post for the Spring semester. You will be notified once your financial aid award package is ready for your review and of the steps to secure the funds.

What is a Financial Aid Award Package?
This is the term used to identify the “package” of awards a student is offered based on eligibility as a result of the FAFSA and scholarship applications. For many students, the Financial Aid Award Package is a combination of Federal Direct Unsubsidized and Federal Direct Graduate PLUS Loans. If you receive an institutional scholarship from the JGSB scholarship committee or from a third-party organization, the award is included as part of the Financial Aid Award Package.

Are there funding options other than Federal Direct Student Loans?
Yes. An alternative medium of funding is a Private Loan for which you may apply with a lender of your choice. Information is available on the Office of Financial Aid website under the Private Loans link. There is also the option of semester payment plans that may be arranged with the Cashier’s Office.

Are institutional scholarships or grants available?
No. The Jones School only offers merit-based scholarships. Institutional grants are not available to graduate students.

What happens after I complete the FAFSA?
Once you are admitted to the Jones School and your enrollment deposit is submitted, your FAFSA will be processed and a Financial Aid Award Package will be created that will detail the types and amounts of each Federal Direct Student Loan available to you. A notification will be sent directing you to your ESTHER account to complete the loan application processes and sign the Master Promissory Note(s) (MPN) – this is a legal contract between you and the Department of Education to repay the borrowed funds.

When do I begin repayment and what options are there for Federal Student Loan repayment?
There is a 6 month repayment Grace Period for Federal Student Loans which begins at the end of enrollment in the degree program. There are several loan repayment options, however, the default Standard Repayment Plan is set at 10 years. For detailed information concerning Federal Direct Student Loan programs, repayment options, and repayment calculators, please see the Department of Education’s Student Aid website. An additional website that will be helpful for tracking all Federal Financial Aid received is the National Student Loan Data System (NSLDS).