If I have been admitted to the program but am unable to begin my doctoral studies in the first year, may I borrow money in the following year?
After admission to the CDIP, you must begin your doctoral studies as a full-time student before the 2017/2018 academic year ends. If you must delay the onset of your studies to the following year, it will be necessary to reapply to the program.
Do I have to pay for tuition before I receive a check?
It is the responsibility of the student to pay for required fees and tuition at the time of enrollment at the doctoral institution. The program issues funds only after obtaining certification from your university of your enrollment as a full-time doctoral student.
Am I required to borrow each year?
No, you are not. You can remain in the program without borrowing as long as you are enrolled full-time, update your status (using the online GSSR Form) and send in your Student Enrollment Verification Forms each term.
What qualifies for enrollment verification?
The Student Enrollment Verification Form must be completed by the campus registrar's office and must include the university stamp/seal.
How will funds be disbursed during the year?
Funds are disbursed according to the academic calendar of your doctoral institution. For campuses on the semester term, funds are disbursed for Fall and Spring semesters. If you borrow $10,000 for the 2017/2018 fiscal year, you will receive $5,000 per semester. For campuses on the quarter system, you will receive $3,333 for the first two quarters and $3,334 for the third quarter.
When can I expect my first check?
Upon receipt of all completed loan documents in the Chancellor's Office, documents are processed and a check request is sent to our accounting department. This process requires an approximate 3-week turnaround time from the date documents are received by our office. Due to limited staffing, we do not return phone calls regarding the tracking of paperwork received.
Will the check be sent to the university or to me?
Checks are mailed to you directly at the address listed on your Student Enrollment Verification Form. This form is required for each check disbursement. It is the participant's responsibility to submit the required paperwork within the first month of the current term.
Can I receive a disbursement for being enrolled fulltime in the summer?
Yes, however you cannot exceed the $10,000/year.
I've received my first check, how do I get my next disbursement?
EACH semester or quarter, it is the responsibility of the student to submit a current CSU Student Enrollment Verification Form completed by the university verifying enrollment. The university can use their official verification enrollment form however the CSU Student Enrollment Verification Form must be completed by the student and attached. You will not be reminded for subsequent terms.
How does loan cancellation work?
After you obtain the doctoral degree, if you secure an instructional faculty position at a CSU campus, your loan balance will be cancelled in increments of 20% of the original loan balance for each year of full-time teaching, or 10% for part-time teaching, subsequent to earning the degree. The yearly interest due on the loan is also cancelled. All participants in the program need to know that cancellations of CDIP loan principal and interest are considered "additional income" for tax purposes and thus subject to tax reporting and withholding. Download the Loan Cancellation Statement (.pdf) for your records.
How do I pay back the loan if I cannot find a job in the CSU?
If you are not in a CSU teaching position, repayment will begin one year from the date of your doctorate degree with no interest accruing during that year. In case of severe economic hardship, a recipient may request one 6-month deferment of loan repayment. This deferment does not in any way reduce the amounts due and interest continues to accrue during the deferment. Download the 15-Year Payback Plan Schedule (.pdf) for your records.
Is there a maximum number of years I can take to complete my PhD program?
You have 10 years to complete your doctoral degree. If you have not received your degree in 10 years, repayment of your loan will begin.
Is there a penalty to pay off the loan early?
There is no penalty if the total amount of the loan is paid prior to the billing date, at which time interest begins to accrue.
Where do I send my forms?
CSU, Office of the Chancellor 401 Golden Shore Long Beach, CA 90802 Attention: CDIP/Elizabeth Sanchez
Q: What loans are eligible for cancellation?A: CDIP only provides loan cancellation for amounts borrowed through CDIP; cancellation is not available for other student loans.
Q: Only loans in good standing are eligible for cancellation. What is considered good standing?A: The CDIP loan is in good standing when it is current and no payments are past due.
Q: Can I get loan cancellation for teaching before completing my doctorate?A: No. Loan cancellation is only provided for post-doctoral teaching.
Q: Can I get loan cancellation for non-instructional faculty employment within the CSU?A: No. Loan cancellation is only provided to CDIP scholars employed in instructional faculty (tenured/tenure-track and lecturer) positions.
Q: Can I get loan cancellation for instructional faculty employment outside the CSU?A: No. Loan cancellation is only provided for teaching in the CSU.
Q: How do you define full-time teaching?A: At semester campuses, full-time teaching is defined as teaching at least 24 weighted teaching units (WTUs) in an academic year. At quarter campuses, full-time teaching is defined as teaching at least 36 WTUs in an academic year.
Q: How do you define part-time teaching?A: At semester campuses, part-time teaching is defined as teaching at least 12 WTUs in an academic year. At quarter campuses, part-time teaching is defined as teaching at least 18 WTUs.
Q: Does teaching during summer or other special sessions count?A: Teaching in summer or other special sessions can be used to supplement WTUs earned in the regular academic year.
Q: Can I get loan cancellation if I teach less than part-time?A: No. Individuals must teach at least part-time to earn loan cancellation.
Q: What are the tax implications of loan cancellation?A: The CSU is required to report the cancelled loan principal and foregone interest as imputed income and required to withhold Federal taxes on such income. The current withholding rate as of the 2018 tax year is 29.65% (22% for Federal income, 6.2% for Social Security, and 1.45% for Medicare). Forgone interest is not calculated on remaining loan balances below $10,000, or during the one-year grace period immediately following completion of the doctorate (or post-doc employment). The program is not authorized to provide any advice on taxation. Questions about taxes should be directed to a tax professional.