May 2012: This program will be discontinued as of June 30, 2012.
The importance of computers as teaching, work-related, and/or research tools for University employees will continue to increase in the coming years. It is often very advantageous for an employee to own a computer for use in his/her residence or office. To make it possible for an increasing number of employees to own a computer, the University has set up a revolving fund to provide loans to full-time employees of the University to purchase computer systems. (Non full-time employees, faculty on visiting appointments, retirees, and employees employed under one (1) year are not eligible.)
The following paragraphs describe the policies which govern the implementation of the revolving fund, the procedures by which a University employee may apply for a loan, and the guidelines by which the application for a loan is evaluated.
- This fund is intended to be used for the purchase of computer hardware, including peripherals and appropriate software. It is not intended to supplant the University's responsibility to provide essential resources to employees for the conduct of their normal work-related responsibilities.
- The maximum amount of money loaned to the employee is 85% of the purchase price of the computer resources, or $3,000, whichever is less. The minimum amount of money for which an application will be considered is $500. The loan is interest free during the payroll deduction authorization period.
- Interest shall accrue at the annual percentage rate of 12% on the unpaid balance upon termination or if the payroll deduction authorization is revoked.
- To pay back the revolving loan account, a payroll deduction authorization must be signed by the employee to deduct a minimum of $25.00 per pay period for a maximum of 60 pay periods. Equal payments are required. This payroll deduction authorization will include permission for the University to deduct any balance due from final paychecks in the event that the employee leaves the employment of the University. The employee must receive the minimum wage for the time period covered by that check. If there is a balance, the employee is responsible for immediate and complete payoff.
- Loan approval is authorized by the Information Technology (IT) Department. Multiple vendors can be used under the loan program, including mail order companies. Employees must purchase the equipment with their own cash or credit cards. The Computer Loan Application/Contract will be reviewed upon receipt of the completed and signed document and an attached copy of the sales receipt within 30 days of the purchase date. The equipment should be delivered directly to the employee's choice of address.
- Tax, service, maintenance, insurance, parts, and furniture for the computer are the responsibility of the University employee, and cannot be included in the loan.
- An employee is not eligible for a new computer loan until their existing computer loan is paid in full.
- Additional software and hardware (e.g., a printer, scanner, laptop not a second desktop computer) may be added onto the existing loan and cannot exceed the maximum of $3,000. A 15% down payment of the purchase price is required. Upon submission of a new application/contract, payroll deduction authorization will reflect the new pay period amount and maturity date. The payroll deduction amount may be adjusted based on the original loan maturity date. The employee will receive a copy of the approved application/contract within 10 days.
- Print the Computer Loan Application on the bottom of this page.
- Completed applications should be returned to IT Department, Christopher Center, Suite 410, for approval. Any questions, please contact IT at 219.464.6763.
- Decisions regarding loan applications will be communicated to the applicants by the IT office within ten (10) days of the approval/denial date with a copy of the application/contract.
- A copy of the approved application/contract will be forwarded to the Payroll Department for processing.
- A reimbursement request will be completed by the IT Department and forwarded to the Finance Office for processing.
- The Finance Office will assume all further communications and arrangements with the successful applicants.
Guidelines for Evaluation of Loan Applications
- Employee's status and length of service to Valparaiso University.
- Proposed computer resources' suitability to meet the intended applications.
- Availability of revolving funds for the program (funds are limited).
A PDF version of this policy is available on the HR website.
Download the COMPUTER LOAN APPLICATION/CONTRACT (login required).