Effective July 1 2010, Chaffey College will no longer participate in the Federal Student loan program. This change in policy is due to the increasing Cohort Default rate, the increase in student loan indebtedness and recent legislation which has changed the way in which the cohort default rate (CDR) for federal student loans is calculated.  High default rates can potentially lead to a loss of all federal financial aid programs including the Federal Pell Grant. The decision by the College to no longer participate in the Federal Student Loan Program was made in an effort to protect the availability of future federal financial aid.

The Reconciliation Act of 2010 (H.R. 4872) included an increase to the Federal Pell Grant program which allows the College to award students their Pell Grant on a continual basis year round (if eligible) as well as an increase to the Pell Grant award amount.

While we understand the change to the loan policy may have an effect on students, our hope is that the increase to the Pell Grant program will give students additional assistance with their educational costs, further ensure academic success, and, not obligate students in loan debt.