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Student Loan Repayment Basics

Since the MHS scholarship program was implemented in the 1920s, there has been a self-help or co-payment component for the majority of those years. Graduates from the Class of 2011 and beyond are required to borrow $2,500 in Direct Subsidized Loan funds each academic year ($1,250 per semester, $833 per trimester, or $625 per quarter) before any CES funds are invested. For students graduating from post-secondary school within six (6) years of activating their CES funds, MHS may repay up to $2,500 in student loans per academic year IF the student has CES funds remaining after graduation.

MHS does not allow CES recipients to borrow any of the $2,000 Direct Unsubsidized Loan that the college will offer each year. The student must decline these Direct Unsubsidized Loans each year. If somehow a student accepted any Direct Unsubsidized Loan in any year, those loans (principal and interest) are the student’s responsibility to repay. The same is true of any Direct Subsidized Loan exceeding $2,500 in any year.

Basic Loan Repayment Parameters

In order for Milton Hershey School to help repay student loans, the following conditions must be met:

  • The student must GRADUATE with a post-secondary degree with 6 years of activating CES funds;
  • The student must have CES funds remaining after graduating from college;
  • MHS will only help repay student loans used towards standard tuition, fees, room & board costs;
  • MHS will only help repay student loans taken during terms when the student was eligible for CES funds;
  • MHS actually calculates student loan repayment eligibility by term so $2,500 per academic year in potential loan repayment equates to $1,250/semester, or $833/trimester, or $625 per quarter;
  • The student needs to provide MHS with a diploma, final academic transcript, & student loan repayment documents within six months of graduating from college in order for MHS help repay any loans.

Where to Find Your Specific Student Loan Information

Contact your student loan lender or servicer or go to one of these main federal loan websites and log in:

www.nslds.ed.gov * https://studentloans.gov (1-800-557-7394)

*You will need your FSA ID and password (https://fsaid.ed.gov) to access this loan website.

Direct Loan Borrowing Chart

Year in College

Direct Subsidized Loan Eligibility Amount

MHS Direct Subsidized Loan Borrowing Requirement

Year 1



Year 2



Year 3



Year 4



Year 5 (if needed)



The CES program requires students to borrow only $2500 in Direct Subsidized Loans per academic year. If you choose to borrow more than $2500 to pay for books, supplies or other educational costs, you can do so as long as you do not borrow more than the “Direct Subsidized Loan Eligibility Amount” listed above. However, any such “extra loans” are your responsibility to repay, not Milton Hershey School’s responsibility to repay.

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CES Information

At Milton Hershey School, it is important to see graduates continuing their education and leading productive and successful lives post-graduation. The Continuing Education Scholarship  was established to provide scholarship assistance to eligible graduates pursuing full-time study. Learn more about your status and eligibility. 

View CES Information