Endorser Addendum to Federal PLUS Loan Application and Master Promissory Note WARNING: Any person who knowingly makes a false statement or misrepresentation on this form is subject to penalties which may include fines, imprisonment, or both, under the United States Criminal Code and 20 U.S.C. 1097. Guarantor, Program, or Lender Identification Section A. Endorser Section Please print neatly in ink or type. Read the instructions carefully. 2. Social Security Number 5. Date of Birth (Month/Day/Birth Year) 1. Last Name First Name MI 3. Permanent Street Address (If P.O. Box, see instructions.) City State Zip Code 4. Home Area Code/Telephone Number ( ) 9. Employer (Name, Address, City, State, Zip) 10. Employer Telephone Number ( ) 6. E-mail Address 11. Endorser References: You must provide two separate references with different U.S. addresses who have known you for at least three years. Both references must be completed in full. Do not list either the PLUS Loan borrower or the student as a reference. Section B. Loan Description To be completed by the lender, endorser, and/or borrower. 12. Parent Borrower Name (last, first, middle initial) 13. Parent Borrower Social Security Number 14. Requested PLUS Loan Amount 15. Date Parent Borrower Signed Master Promissory Note 16. Student Name (last, first, middle initial) 17. Student Social Security Number Endorser Promise to Pay 18. Name and Address of School Name A. ________________________________________________________ B. ________________________________________________________ Permanent Address ________________________________________________________ ________________________________________________________ City, State, Zip Code ________________________________________________________ ________________________________________________________ E-mail Address ________________________________________________________ ________________________________________________________ Area Code/Telephone Number ( ) ________________________________________ ( ) ________________________________________ Relationship to Endorser ________________________________________________________ ________________________________________________________ 19. Endorser's Signature 20. Today's Date (Month/Day/Year) Notice to Endorser This is an addendum to the Federal PLUS Loan Application and Master Promissory Note (MPN) signed by the borrower of the Federal PLUS Loan. By signing this Addendum, you are agreeing to repay only the loan that is identified in Section B of this addendum, if the borrower does not repay the loan. No additional loans may be made to the borrower under this MPN. This section of the Addendum contains the terms and conditions of the MPN signed by the borrower. Important additional information is also contained in the Federal PLUS Loan Borrower's Rights and Responsibilities Statement accompanying this Addendum. As an endorser, you are not entitled to all of the same benefits as a Federal PLUS Loan borrower. For complete information regarding your rights and responsibilities as an endorser, please read the PLUS Loan Borrower Rights and Responsibilities Statement. Additional Note provisions follow In this Addendum, "lender" refers to, and this Addendum benefits, the original lender and its successors and assigns, including any subsequent holder of this Addendum and Master Promissory Note. Although I will not personally receive any loan proceeds, I promise to repay to the order of the lender the full amount of the loan described above and disbursed under the Master Promissory Note signed by the borrower (hereafter "MPN"), including unpaid principal, accrued interest, and other charges and fees if, upon demand by the lender, the borrower fails to repay the loan. If this debt is ever in default, I will pay reasonable collection costs, including, but not limited to, attorney's fees, court costs, and other fees. I understand that the lender can use the same collection methods against me that can be used against the borrower, such as suing me, garnishing my wages, etc. I understand that if this debt is ever in default that fact will become part of my credit record. I understand that this is an Addendum to the MPN. I will not sign this Addendum before reading it and the entire MPN, even if I am told not to read it, or told that I am not required to read it. I am entitled to a copy of this Addendum and a copy of the Federal PLUS Borrower's Rights and Responsibilities Statement. My signature certifies I have read, understand, and agree to the terms and conditions on this Addendum, the MPN, and the Borrower's Rights and Responsibilities Statement, as applicable. Under penalty of perjury, I certify that the information contained in the Endorser Section on this Addendum is true and accurate, and I am not the student on whose behalf the borrower is receiving the Federal PLUS Loan. I authorize the lender, the guarantor, or their agents, to investigate my credit record and report information concerning my credit to persons and organizations permitted by law to receive such information. I UNDERSTAND THIS IS A FEDERAL LOAN THAT I MUST REPAY IF THE BORROWER DOES NOT. 8. U.S. Citizenship Status (Check a or b, and if b is checked, list Registration No.) ❒ a. Citizen/National ❒ b. Permanent Resident /Other Eligible Non-Citizen If "b", Alien Registration No. 7. Driver’s License State and Number State #
Transcript
Endorser Addendum toFederal PLUS Loan Applicationand Master Promissory NoteWARNING: Any person who knowingly makes a false statement or misrepresentation on this form is subject to penaltieswhich may include fines, imprisonment, or both, under the United States Criminal Code and 20 U.S.C. 1097.
Guarantor, Program, or Lender Identification
Section A. Endorser Section Please print neatly in ink or type. Read the instructions carefully.2. Social Security Number
5. Date of Birth (Month/Day/Birth Year)
1. Last Name First Name MI
3. Permanent Street Address (If P.O. Box, see instructions.)
City State Zip Code
4. Home Area Code/Telephone Number
( )
9. Employer (Name, Address, City, State, Zip) 10. Employer Telephone Number
( )
6. E-mail Address
11. Endorser References: You must provide two separate references with different U.S. addresses who have known you for at least three years. Both references must be completed in full. Do not list either the PLUS Loan borrower or the student as a reference.
Section B. Loan Description To be completed by the lender, endorser, and/or borrower.12. Parent Borrower Name (last, first, middle initial) 13. Parent Borrower Social Security Number
14. Requested PLUS Loan Amount 15. Date Parent Borrower Signed Master Promissory Note
16. Student Name (last, first, middle initial) 17. Student Social Security Number
Endorser Promise to Pay
18. Name and Address of School
Name A. ________________________________________________________ B. ________________________________________________________
Area Code/Telephone Number ( ) ________________________________________ ( ) ________________________________________
Relationship to Endorser ________________________________________________________ ________________________________________________________
19. Endorser's Signature 20. Today's Date (Month/Day/Year)
Notice to Endorser
This is an addendum to the Federal PLUS Loan Application and Master Promissory Note (MPN) signed by the borrower of the Federal PLUS Loan. Bysigning this Addendum, you are agreeing to repay only the loan that is identified in Section B of this addendum, if the borrower does not repay the loan. Noadditional loans may be made to the borrower under this MPN. This section of the Addendum contains the terms and conditions of the MPN signed by theborrower. Important additional information is also contained in the Federal PLUS Loan Borrower's Rights and Responsibilities Statement accompanying thisAddendum. As an endorser, you are not entitled to all of the same benefits as a Federal PLUS Loan borrower. For complete information regarding yourrights and responsibilities as an endorser, please read the PLUS Loan Borrower Rights and Responsibilities Statement.
Additional Note provisions follow
In this Addendum, "lender" refers to, and this Addendum benefits, the original lender and its successors and assigns, including any subsequent holderof this Addendum and Master Promissory Note.
Although I will not personally receive any loan proceeds, I promise to repay to the order of the lender the full amount of the loan described above and disbursed under theMaster Promissory Note signed by the borrower (hereafter "MPN"), including unpaid principal, accrued interest, and other charges and fees if, upon demand by the lender, theborrower fails to repay the loan. If this debt is ever in default, I will pay reasonable collection costs, including, but not limited to, attorney's fees, court costs, and other fees.
I understand that the lender can use the same collection methods against me that can be used against the borrower, such as suing me, garnishing my wages, etc. I understandthat if this debt is ever in default that fact will become part of my credit record.
I understand that this is an Addendum to the MPN. I will not sign this Addendum before reading it and the entire MPN, even if I am told not to read it, or told that I am notrequired to read it. I am entitled to a copy of this Addendum and a copy of the Federal PLUS Borrower's Rights and Responsibilities Statement. My signature certifies I haveread, understand, and agree to the terms and conditions on this Addendum, the MPN, and the Borrower's Rights and Responsibilities Statement, as applicable.
Under penalty of perjury, I certify that the information contained in the Endorser Section on this Addendum is true and accurate, and I am not the student on whose behalf theborrower is receiving the Federal PLUS Loan.
I authorize the lender, the guarantor, or their agents, to investigate my credit record and report information concerning my credit to persons and organizations permitted by lawto receive such information.
I UNDERSTAND THIS IS A FEDERAL LOAN THAT I MUST REPAY IF THE BORROWER DOES NOT.
8. U.S. Citizenship Status (Check a or b, and if b is checked, list Registration No.)
❒ a. Citizen/National ❒ b. Permanent Resident /Other Eligible Non-Citizen If "b", Alien Registration No.
7. Driver’s License State and Number
State #
Federal PLUS/Graduate PLUS Endorser Qualification Form
Complete and return with your application in the postage paid envelope
ENDORSER INFORMATION
STUDENT INFORMATION (one student only)
SCHOOL INFORMATION
1. Last Name First Name MI 2. Social Security Number 3. Requested Loan Amount
PARENT INFORMATION4. Last Name First Name MI
8. College Name 9. City 10. State 11. School Code
12. Endorser Signature 13. Date
5. Last Name First Name MI 6. Social Security Number 7. Date of Birth
This application is for the Academic Period starting on (mo./yr.) ___ /___ and ending on (mo./yr.) ___ /___.
College has been decided (write in below) College is unknown/undecided
Determination of EligibilityI understand that the school ultimately determines the amount that I am eligible for, which is equal to expenses not met by other financial aid. I also understand that I must meet all Federal and school requirements before the school will certify my PLUS/Graduate PLUS loan eligibility.
Credit AuthorizationI am applying for a Federal PLUS loan. I will be qualified for the PLUS if I meet the federal credit requirements. I authorize you to obtain my credit report.
Privacy NoticeI understand your full Privacy Policy is available upon request, or at www.goalfinancial.net/privacy. By signing this form, I authorize, consent and agree you may obtain and share my application and credit report information as well as otherinformation about me with lenders and other third parties with whom you jointly offer financial product(s) in order toconsider and process my loan application.
My Representative is _____________________________________________ Ext.______
Regular Mail:Goal Financial, LLCEducation Loan CenterP.O. Box 57957Salt Lake City, UT 84157-0957
Express Mail:Education Loan CenterGoal Financial, LLC4548 South Atherton Drive Taylorsville, UT 84123
I am applying as an Endorser for a Federal PLUS loan
I am applying as an Endorser for a Federal Graduate PLUS loan
Endorser Addendum to Federal PLUS Master Promissory Note: Terms and Conditions
Disclosure of Loan Terms
Loans disbursed under this MPN are subject to theloan limits specified in the Higher Education Act of 1965,as amended (20 U.S.C. 1070, et seq.), and applicableU.S. Department of Education regulations (collectivelyreferred to as the "Act"). Under this MPN, the principalamount that I owe and am required to repay, will be thesum of all disbursements issued (unless I reduce orcancel any disbursements as provided below).
My lender will determine whether to make any loan tome under this MPN after my loan eligibility is determinedby my dependent’s school. At or before the time of thefirst disbursement for each loan, a disclosure statementwill be issued to me identifying the amount of the loan andadditional terms of the loan. Important additionalinformation is also disclosed in the Borrower’s Rights andResponsibilities Statement accompanying this MPN. TheBorrower’s Rights and Responsibilities Statement and anydisclosure statement I receive in connection with any loanunder this MPN are hereby incorporated into this MPN.
I may request additional loan funds to pay for mydependent’s educational costs. The school will determinemy eligibility and notify the lender. I will be notified of anyincrease or other change in the amount of my loan(s).
I agree that the lender may sell or assign this MPNand/or my loan(s) and acknowledge that any loan maybe assigned independently of any other loan to whichthis MPN applies. I agree that each loan is separatelyenforceable based on a true and exact copy of this MPN.
Loan Cancellation
I may pay back all or a portion of a disbursement withintime frames set by the Act and explained in the Borrower’sRights and Responsibilities Statement or other disclosurestatement I receive at or before disbursement. In suchcase, the origination fee and guarantee fee will be reducedor eliminated in proportion to the amount of thedisbursement returned. I will not incur interest chargesif I return the full loan amount as provided in the Act.
Interest
Unless my lender notifies me in writing of a lowerrate(s), the rate(s) of interest for my loan(s) is thatspecified in the Act. Interest rate information is presentedin the Borrower’s Rights and Responsibilities Statementaccompanying this MPN. The interest rate is presented in adisclosure that is issued to me.
Interest accrues on the unpaid principal balance ofeach loan from the date of disbursement by the lenderuntil the entire principal balance is paid in full. Thisincludes interest accruing during any period ofdeferment or forbearance. I agree to pay all interestcharges on my loan(s).
I will begin paying interest upon disbursement of myloan. If I do not make required payments of interestbefore the beginning of principal repayment, or during aperiod of authorized deferment or forbearance, I agreethat the lender may capitalize such interest to the extentpermitted by the Act.
Origination Fee and Guarantee Fee
For each loan, the federal government charges anorigination fee equal to the amount required by the Act.The guaranty agency(ies) that guarantee(s) my loan(s)
(in each case, the "guarantor") may charge a per loanguarantee fee not to exceed a maximum amountspecified in the Act. I will pay these fees, as identified inthe disclosure statement, which will be deductedproportionately from each disbursement of my loan(s). Iunderstand the origination and guarantee fees may berefundable only to the extent permitted by the Act.
Late Charges and Collection Costs
The lender may collect from me: (i) a late charge foreach late installment payment if I fail to make any part of arequired installment payment within 15 days after the dateit becomes due, and (ii) any other charges and fees thatare permitted by the Act for the collection of my loan(s). If Idefault on any loan(s), I will pay reasonable collection feesand costs, plus court costs and attorney fees.
Repayment
I must repay the full amount of the loan(s) madeunder this MPN and the accrued interest. I will repay theprincipal of each loan in periodic installments during arepayment period that begins on the day of the finaldisbursement for that loan.
My lender must provide me with a choice ofrepayment plans consistent with the provisions of theAct. My principal repayment period for each loan,exclusive of any period(s) of deferment or forbearance,generally lasts five years but may not exceed 10 yearsunless I am eligible for an extended repayment plan.
The lender will provide me with a repayment schedulethat identifies my payment amounts and due dates. Exceptas otherwise provided in the Act, the minimum annualpayment required on all my FFELP loans is $600 or theamount of interest due and payable, whichever is larger.Payments submitted by me or on my behalf (exclusive ofrefunds) may be applied first to charges and collectioncosts that are due, then to accrued interest that has notbeen capitalized, and finally to the principal amount.
If I am unable to make my scheduled loan payments,the lender may allow me to reduce my payment amount,to extend the time for making payments, or totemporarily stop making payments as long as I intend torepay my loan(s). Allowing me to temporarily delay orreduce loan payments is called forbearance. I agree thatthe lender may align payment dates on my loans or grantme a forbearance to eliminate a delinquency that persistseven though I am making scheduled payments.
I may prepay all or any part of the unpaid balance onmy loan(s) at any time without penalty. If I do not specifywhich loan(s) I am prepaying, the lender will determinehow to apply the prepayment in accordance with the Act.Upon repayment in full of each loan under this MPN, Iagree to accept written notification of such loan payoff inplace of receiving the original MPN.
Acceleration and Default
At the option of the lender, the entire unpaid balance of aloan made under this MPN will become immediately dueand payable if any one of the following events occurs: (i)the dependent for whom I am borrowing fails to enroll as atleast a half-time student at the school that certified my loaneligibility, (ii) I fail to use the proceeds of the loan(s) solelyfor educational costs of the dependent student for whom Iam borrowing, (iii) I make a false representation(s) thatresults in my receiving any loan(s) for which I am not
eligible, or (iv) I default on the loan(s).
The following events will constitute a default on myloan(s): (i) I fail to pay the entire unpaid balance of theapplicable loan(s) after the lender has exercised itsoption under items (i), (ii), or (iii) in the precedingparagraph; (ii) I fail to make installment payments whendue, provided my failure has persisted for at least 270days for payments due monthly or 330 days forpayments due less frequently than monthly; or (iii) I failto comply with other terms of the loan(s), and the lenderor guarantor reasonably concludes I no longer intend tohonor my repayment obligation. If I default, theguarantor may purchase my loan(s) and capitalize alloutstanding interest into a new principal balance. Thenew principal balance and collection fees will becomeimmediately due and payable.
If I default, this will be reported to all national creditbureaus and will significantly and adversely affect mycredit history. I understand that a default will haveadditional adverse consequences to me as disclosed inthe Borrower’s Rights and Responsibilities Statement.Following default, the loan(s) may be subject to income-contingent repayment (including potential collection ofamounts in excess of the principal and interest) inaccordance with the Act.
Governing Law and Notices
The terms of this MPN will be interpreted inaccordance with the Higher Education Act of 1965, asamended (20 U.S.C. 1070 et seq.), other applicable federalstatutes and regulations, and the guarantor’s policies.Applicable state law, except as preempted by federal law,may provide for certain borrower rights, remedies, anddefenses in addition to those stated in this MPN.
If a particular loan under this MPN is made by theschool, or if the proceeds of a particular loan madeunder this MPN are used to pay tuition and charges at afor-profit school that refers loan applicants to the lender,or that is affiliated with the lender by common control,contract, or business arrangement, any lender holdingsuch loan is subject to all claims and defenses that Icould assert against the school with respect to suchloan. My recovery under this provision shall not exceedthe amount I paid on such loan.
If I reside in the state in which the principal office ofthe guarantor is located, the guarantor may sue toenforce the applicable loan(s) in the county in which theguarantor’s office is located. However, if I object to beingsued there and I mail a written objection to the guarantorthat is postmarked no later than 30 days after I amserved with the suit, the guarantor will either have thecourt transfer the suit to the county in which I live or willdismiss the lawsuit.
Any notice required to be given to me will be effectiveif sent by first class mail to the latest address the lenderhas for me or by electronic means to an address that Ihave provided. I will immediately notify the lender of anychange of address or status as specified in theBorrower’s Rights and Responsibilities Statement.Failure by the lender to enforce or insist on compliancewith any term on this MPN will not be a waiver of anyright of the lender. No provision of this MPN may bemodified or waived except in writing. If any provision ofthis MPN is determined to be unenforceable, theremaining provisions shall remain in force.
Notice to EndorserThis is an addendum to the Federal PLUS Loan Application and Master Promissory Note (MPN) signed by the borrower of the Federal PLUS Loan. By signing this Addendum, you are agreeing to repayonly the loan that is identified in Section B of this Addendum, if the borrower does not repay the loan. No additional loans may be made to the borrower under this MPN. This section of the Addendumcontains the terms and conditions of the MPN signed by the borrower. Important additional information is also contained in the PLUS Loan Borrower's Rights and Responsibilities Statementaccompanying this Addendum. As an endorser, you are not entitled to all of the same benefits as a PLUS Loan borrower. For complete information regarding your rights and responsibilities as anendorser, please read the Federal PLUS Loan Borrower Rights and Responsibilities Statement.
Guarantor, Program, or Lender IdentificationEndorser Addendum to Federal PLUSLoan Application and Master PromissoryNote Instructions and NoticesSection A. Endorser Section (To be completed by the endorser)
The Federal PLUS Loan Program allows a parent(s) toborrow on behalf of a dependent child who is anundergraduate. By completing a Master PromissoryNote (hereafter "MPN"), the parent may obtain multiplePLUS Loans for the same dependent student over amaximum 10-year period.
If the parent borrower is ineligible for a Federal PLUSLoan because of an adverse credit history, the parentmay obtain an endorser for the loan. The endorser mustbe a creditworthy U.S. citizen, permanent resident orother eligible noncitizen. If the parent secures anendorser for the Federal PLUS Loan, he or she is noteligible for the multi-loan feature of the MPN. In thiscase, the borrower must sign a new MPN and anendorser must sign a new Endorser Addendum for eachloan requested during the period in which the parent hasadverse credit.
Lenders participating in the Federal PLUS Loan Programmay elect whether to make loans with endorsers. Checkwith the lender for information on its endorser policies.
If you are willing to serve as an endorser for theborrower identified in Section B, read, complete andreturn this form to the lender, guarantor, or programidentified in the upper right hand corner of this form.If you have questions regarding this form, contactthe lender, guarantor, or program.
In completing this form, use a dark ink, ballpoint pen ortypewriter. Do not complete this form in pencil. If youare making several copies, press firmly on a hardsurface. If an item has been completed for you and isincorrect, cross out the incorrect information and printthe correct information. Incorrect, incomplete, orillegible information may cause the processing of theloan to be delayed.
Item 1: Enter your last name, then your first name andmiddle initial.
Item 2: Enter your nine-digit Social Security Number.An application without the endorser's Social SecurityNumber will not be processed. Read the Privacy Actand Financial Privacy Act Notices in theseinstructions before completing this item.
Item 3: Enter your permanent home street address,apartment number, city, state and zip code. If you havea Post Office Box and a street address, list both.
Item 4: Enter the area code and telephone number forthe address listed in Item 3. If you do not havea telephone, enter N/A.
Item 5: Using only numbers, enter the month, day, andfour-digit year of your birth. (For example, for June 24,1982, you would enter 06/24/1982). Be careful not toenter the current year.
Item 6: Enter your preferred e-mail address for receivingcorrespondence. If you do not have an e-mail address,or do not wish to provide it, enter N/A. If you provide ane-mail address, the lender or holder of your loan(s) mayuse it to communicate with you.
Item 7: Enter the two-letter abbreviation for thestate that issued your driver's license followed bythe driver's license number. If you do not have a driver’slicense, enter N/A.
Item 8: Indicate your U. S. citizenship status.
Item a: Check this box if you are a U. S. citizen, orU. S. national. A U.S. citizen includes citizens of the50 states, the District of Columbia, Puerto Rico, theU.S. Virgin Islands, Guam, and the Northern MarianaIslands. A U.S. national includes all U.S. citizens andcitizens of American Samoa and Swain's Island.
Item b: Check this box if you are a permanent
resident/other eligible non-citizen. Write in youreight- or nine-digit Alien Registration Number."Permanent Resident" means someone who canprovide documentation of this status from the U.S.Immigration and Naturalization Service. "OtherEligible Non-Citizen" includes individuals who canprovide documentation from the U.S. Immigrationand Naturalization Service that they are in the UnitedStates for a purpose that is not temporary, with theintention of becoming a citizen or permanentresident. This category includes refugees, personsgranted asylum, Cuban-Haitian entrants, temporaryresidents under the Immigration Reform and ControlAct of 1986, and others.NOTE: If your citizenship status is not one of thecategories described above, you are not eligible tobe an endorser.
Item 9: It is important that the lender be able to reachyou during the process of making this loan and duringrepayment. Enter your employer's name and address,including city and state, and zip code. If you are self-employed, enter the name and address of your business.If you are not employed, enter N/A.
Item 10: Enter the area code and telephone number ofyour employer. If you are self-employed, enter the areacode and telephone number of your business. If you donot have a business telephone number, enter N/A.
Item 11: Enter the requested reference information fortwo adults with different U.S. addresses who haveknown you for at least three years. References withaddresses outside the U.S. are not acceptable. If areference does not have a telephone number or e-mailaddress, or does not wish to provide an e-mail address,enter N/A. If an e-mail address is provided, the lender orholder of your loan(s) may use it to communicate withthe reference. All requested items must be completed orthe processing of the loan will be delayed.
Section B. Loan Description (To be completed by the lender, endorser, and/or borrower)This Endorser Addendum refers to the loan andsupporting MPN identified in this section.
Note: Items 12-18 may be prefilled by the lender. Besure to review this information for accuracy andcompleteness. If you do not agree to endorse the fullamount the borrower requested, reduce the amount inItem 14, and initial the change. Go to Item 19 andfinish completing the form.
Item 12: Enter the Parent borrower’s last name, firstname, and middle initial.
Endorser Promise to Pay (To be completed by the endorser)
Item 19: Sign your legal name, including your first name,middle initial, and last name.
Item 20: Enter the date you are signing this Addendumin month/day/year format.
By signing, you:
a) Acknowledge that you have read, understand,and agree to the provisions in the EndorserAddendum, and
Item 13: Enter the Parent borrower’s nine-digit SocialSecurity Number.
Item 14: Enter the maximum amount of Federal PLUSLoan the borrower requested.
The borrower’s requested loan amount is the maximumloan amount that can be approved unless the amount theendorser agrees to is less than the borrower’s request.
Item 15: Enter the date the Parent borrower signed theMPN in month/day/year format.
Item 16: Enter the name of the student for whom theFederal PLUS Loan is sought, recording the last namefirst, then the first name and middle initial.
Item 17: Enter the student’s nine-digit Social SecurityNumber.
Item 18: Enter the name and city/state of the school thestudent will attend (or is attending).
b) Agree to repay the loan in full according to theterms and conditions in this Addendum if theborrower does not.
Important Notices
Privacy Act Notice
The Privacy Act of 1974 (5 U.S.C. 552a) requires thatthe following notice be provided to you:
The authority for collecting the requested informationfrom and about you is §428(b)(2)(A) et seq. of theHigher Education Act of 1965, as amended (20 U.S.C.1078(b)(2)(A) et seq.), and the authority for collectingand using your Social Security Number (SSN) is428B(f) of the HEA (20 U.S.C 1078-2(f)). Participatingin the Federal Family Education Loan Program (FFELP)and giving us your SSN are voluntary, but you mustprovide the requested information, including your SSN, toparticipate.
The principal purposes for collecting the informationon this form, including your SSN, are to verify youridentity, to determine your eligibility to receive aloan(s) or a benefit on a loan(s) (such as a deferment,forbearance, discharge, or forgiveness) under theFFELP, to permit the servicing of your loan(s), and, ifit becomes necessary, to locate you and to collect onyour loan(s) if your loan(s) become delinquent or indefault. We also use your SSN as an accountidentifier and to permit you to access your accountinformation electronically.
The information in your file may be disclosed to thirdparties as authorized under routine uses in theappropriate systems of records. The routine uses ofthis information include its disclosure to federal,state, or local agencies, to other federal agenciesunder computer matching programs, to agencies thatwe authorize to assist us in administering our loanprograms, to private parties such as relatives, presentand former employers, business and personal
associates, to credit bureau organizations, toeducational and financial institutions, to guarantyagencies, and to contractors in order to verify youridentity, to determine your eligibility to receive aloan(s) or a benefit on a loan(s), to permit theservicing or collection of your loan(s), to counsel youin repayment efforts, to enforce the terms of theloan(s), to investigate possible fraud and to verifycompliance with federal student financial aid programregulations, to locate you if you become delinquent inyour loan payments or if you default, to providedefault rate calculations, to provide financial aidhistory information, to assist program administratorswith tracking refunds and cancellations, or to providea standardized method for educational institutionsefficiently to submit student enrollment status.
In the event of litigation, we may send records to theDepartment of Justice, a court, adjudicative body,counsel, party, or witness if the disclosure is relevantand necessary to the litigation. If this information,either alone or with other information, indicates apotential violation of law, we may send it to theappropriate authority for action. We may sendinformation to members of Congress if you ask themto help you with federal student aid questions. Incircumstances involving employment complaints,grievances, or disciplinary actions, we may discloserelevant records to adjudicate or investigate theissues. If provided for by a collective bargainingagreement, we may disclose records to a labororganization recognized under 5 U.S.C. Chapter 71.Disclosures may also be made to qualified
researchers under Privacy Act safeguards.
Financial Privacy Act NoticeUnder the Right to Financial Privacy Act of 1978 (12U.S.C. 3401-3421), the U.S. Department of Educationwill have access to financial records in your studentloan file maintained by the lender in compliance withthe administration of the Federal Family EducationLoan Program.
Paperwork Reduction NoticeAccording to the Paperwork Reduction Act of 1995,no persons are required to respond to a collection ofinformation unless it displays a currently valid OMBcontrol number. The valid OMB control number forthis information collection is 1845-0069. The timerequired to complete this information is estimated toaverage 1.0 hours (60 minutes) per response,including the time to review instructions, searchexisting data resources, gather and maintain the dataneeded, and complete and review the informationcollection. If you have any comments concerning theaccuracy of the time estimate(s) or suggestions forimproving this form, please write to:
U.S. Department of EducationWashington, DC 20202-4651
If you have any comments or concerns regardingthe status of your individual submission of this form,contact the lender, guarantor, or program identifiedin the upper right-hand corner of this form.
Borrower’s Rights and Responsibilities Statement (Endorser's Copy)
Note to Endorser: If you are the endorser of a FederalPLUS Loan, you are not entitled to all of the samebenefits as a Federal PLUS Loan borrower, and not allof the terms and conditions of a Federal PLUS Loanapply to you. However, you should read the entireBorrower's Rights and Responsibilities Statement.Important information that applies to you as anendorser has been highlighted.
The Federal Family Education Loan Program (FFELP)includes the following loans:
■ Subsidized Federal Stafford Loan (formerlyknown as Guaranteed Student Loan [GSL]),
■ Unsubsidized Federal Stafford Loan,■ Federal Insured Student Loan (FISL),■ Federal Supplemental Loans for Students (SLS),
also known as ALAS,■ Federal PLUS (parent) Loan,■ Federal Consolidation Loan.
The FFELP is authorized by Title IV, Part B of theHigher Education Act of 1965, as amended.
1. Governing Law — Loans disbursed under thisMaster Promissory Note ("MPN") are subject to theHigher Education Act of 1965, as amended (20 U.S.C.1070 et seq.), and applicable U. S. Department ofEducation regulations (collectively referred to as the"Act"). NOTE: Any change to the Act applies to theterms of any loan(s) disbursed on or after theeffective date of the change.
2. Use of this MPN — I may receive more than oneloan under this MPN over a period not to exceed 10years. I may receive loans under this MPN for onlythe dependent identified on the MPN. I may receiveloans under this MPN from the original lender, or alender who assumes the right to offer loans underthis MPN, even if my dependent changes schools andeven if the guaranty agency changes. I may request inwriting that no further loans be disbursed under myMPN. If I wish to use a new lender, I must sign a newMPN. I must also sign a new MPN before receiving anew loan, if requested to do so by my lender.
3. Maximum Program Loan Amounts — Under theFederal PLUS Loan Program, I may borrow amountsunder this MPN not to exceed my dependentstudent’s estimated cost of attendance minus anyestimated financial aid he or she has been or will beawarded for the period of enrollment.
4. Use of Loan Money — I must use the loan moneyfor authorized educational costs incurred by mydependent student for attendance at the school thatcertified my eligibility for the time period shown onmy disclosure statement. Authorized expensesinclude the following:
Important Notice: The Borrower's Rights and Responsibilities Statement provides additional information about the terms and conditions of loans you receive under the FederalPLUS Loan Application and Master Promissory Note (MPN). Please keep a copy of this statement because it applies to present and subsequent loans received under the MPN.You may contact your lender at any time for another copy of this statement.
■ Equipment,■ Dependent child care,■ Transportation,■ Commuting expenses,■ Rental or purchase of a personal computer,■ Origination fee and guarantee fee, and/or■ Other documented, authorized costs.
5. Loan Fees — I will be charged an origination feeand may be charged a guarantee fee for each loanmade under this MPN. Neither fee may exceed therate specified for that fee in the Act. The amount ofthese fees will be deducted proportionately from eachdisbursement.
6. Disbursement of Loan Money — My loan moneywill be disbursed to my dependent's school byelectronic funds transfer (EFT), master check (onecheck covering multiple students), or individualcheck. If my loan money is disbursed by individualcheck, the check will be copayable to me and theschool and sent to the school.
Generally, my loan money will be disbursed to mydependent's school in multiple installments based onthe academic terms at the school. If the school doesnot have academic terms, my loan money willgenerally be disbursed in at least two installments,one at the beginning and one at the midpoint of mydependent student’s enrollment period for theapplicable loan.
If my loan money exceeds the amount owed to theschool, the school will forward the remainder of myloan money to me or, if I authorize, to my dependent.
If my dependent student is enrolled in a foreignschool, my loan money will be disbursed directly tome or to the foreign school in one installment by acheck made copayable to me and the foreign school.
7. Change of Status — I must notify my lenderor any subsequent holder of my loan(s) if any of thefollowing events take place before my loan(s) is repaid:
■ I change my address, telephone number,or e-mail address,
■ I change my name (for example, maiden nameto married name),
■ My dependent student fails to enroll A) at least halftime, or B) for the loan period certified, or C) at theschool that certified my eligibility for a PLUS Loan,
■ My dependent student withdraws from school orbegins attending less than half time,
■ My dependent student transfers to another school,■ My dependent student graduates or his or her
expected graduation date changes,■ I change my employer or my employer’s address
or telephone number changes, or■ I have any other change in status that would
affect my loan status (for example, the loss ofeligibility for an unemployment deferment byobtaining a job).
Note to Endorser: You must notify the lender ifyou change your address, telephone number,e-mail address, name, or employer, or if youremployer's address or telephone numberchanges.
8. Effect of Federal Loans on Other Student Aid —My receipt of a Federal PLUS Loan(s) may affect mydependent student’s eligibility for other financial aid.Therefore, it may be beneficial to contact the schoolto determine my dependent student’s eligibility forgrants, work-study funds, subsidized loans, andother forms of student assistance before I apply fora Federal PLUS Loan(s).
9. Interest Rates — For Federal PLUS Loans firstdisbursed on or after July 1, 1998, the interest ratewill be a variable rate, adjusted annually each July 1,not to exceed 9%. The actual interest rate applicableto each of my loans will be disclosed to me. Afterreviewing the actual interest rate, I may cancel orreduce any loan obtained under this MPN inaccordance with the provisions of Item 11, LoanCancellation.
10. Payment of Interest — It is my responsibility topay interest on the unpaid principal amount of myloan(s) from the date of disbursement until theloan(s) is paid in full. I am responsible for payment ofall interest that accrues on my loan(s).
Under certain circumstances, for example, duringdeferment, I will not be required to make principalpayments, but interest charges on my Federal PLUSLoan(s) will accrue. This interest may be paid orcapitalized (added to the principal of my loan(s)). If Iinform my lender that I wish to pay interest as itaccrues, but I do not submit the payments, my lendermay capitalize that interest. If I inform my lender thatI do not wish to pay interest as it accrues, my lenderwill capitalize such interest. Capitalized interestincreases the principal balance of my loan(s) andthe total amount of interest charges I must pay.
Interest on my loan(s) will be capitalized as providedunder the Act. Generally, capitalization may occur nomore frequently than quarterly. (See the chartentitled, "Capitalization of Federal PLUS LoanInterest," for further information on capitalization.)The charts entitled, "Repaying Your Loans" allow meto estimate the cost of capitalization and the effect itwill have on my monthly payments. If my totaloutstanding balance exceeds the maximum on thechart, I understand I must add two or more estimatesof the monthly payment amounts together toapproximate more closely the total monthly paymentfor my total debt amount.
I may be able to claim a federal income tax deductionfor interest payments as well as possible tax credits.For further information, I may refer to the IRSPublication 970, available at http://www.irs.gov.
Capitalization of Federal PLUS Loan Interest
What is Capitalization?
Capitalization is a process whereby a lender addsunpaid interest to the principal balance of a loan(s).I am responsible for paying the interest due on myFederal PLUS Loan(s) from the date the lenderdisburses the loan funds until the loan(s) is paid infull.
If I am granted a deferment or forbearance and Ichoose to defer and capitalize interest charges, theprincipal balance of my loan(s) will increase eachtime my lender capitalizes unpaid interest. As aresult, I will pay more interest charges over the life ofthe loan(s). When I resume repaying my loan(s), mymonthly payment amount may be higher or, if myloan(s) is subject to the $50 minimum payment, Imay be required to make more payments.
I should contact my lender if I have any questionsor need more information.
This chart compares the monthly payments on a loan(s) where interest is paid while the loan is in adeferment or forbearance status and a loan(s) where the interest is capitalized. This example uses an interestrate of 9% and represents the loan amount outstanding when the borrower first enters repayment. This is anestimate only. The actual interest capitalized will depend on factors such as disbursement date, number ofdisbursements, the variable interest rate, and the frequency of capitalization. The estimate of interestcapitalized in these examples is based on quarterly capitalization over a 12-month period.
11. Loan Cancellation — I understand that the termsof a full or partial loan cancellation depend on whenI request the cancellation.
■ At any time before my loan money is disbursed,I may decline all or part of my loan money bynotifying my lender or my dependent's school.No origination fee, guarantee fee, or interest will becharged on the amount of a loan that is declined.
■ If the school receives the money by EFT andcredits it to my dependent's account, I may cancelall or a part of that loan by informing the schoolwithin 14 days after the date the school sends mea disbursement notice, or by the first day of theschool’s payment period, whichever is later. (Theschool can tell me the first day of the paymentperiod). If I cancel all or a portion of a loan asdescribed in this paragraph, the school will returnto my lender the cancelled amount of the loanmoney and the loan fees will be reduced oreliminated in proportion to the amount returned.
■ At any time within 120 days of disbursement,I may pay back all or a part of that loan. The loanfees will be reduced or eliminated in proportionto the amount returned.
12. Repayment — All of my loans made under thisMPN must be repaid.
The repayment period for each loan made under thisMPN begins on the date of the final disbursement forthat loan. This means that each loan I receive underthis MPN will start repayment on a different date. Myfirst payment on each loan will be due within 60 daysof the final disbursement of that loan. My lender willnotify me of the date my first payment is due. Myrepayment schedule may include all of my FFELPloans that are owned by the lender.
I must make payments on my loan(s) even if I do notreceive a bill or repayment notice. Billing informationis sent to me as a convenience, and I am obligatedto make payments even if I do not receive any notice.My minimum annual payment required on all myFFELP loans will not, unless the lender otherwiseagrees, be less than $600, except as provided in
a graduated or income-sensitive repayment plan.Notwithstanding the preceding sentence, myminimum annual scheduled payments will not beless than the amount of interest due and payable.
My repayment period for each loan generally lasts 5years but may not exceed 10 years (except under anextended repayment plan).
I will be given the opportunity to choose one ofthe following repayment plans (for the followingrepayment plans, the time limits shown do notinclude periods of deferment and forbearance):
■ Standard Repayment Plan — If I choose thisplan, I will make fixed monthly payments andrepay my loan(s) in full within 10 years from thedate the loan(s) entered repayment. Paymentsmust be at least $50 a month and will be more ifnecessary to repay the loan(s) within the requiredtime period.
■ Graduated Repayment Plan — If I choose thisplan, I will usually make lower monthly paymentsat first, and my payments will increase over time.No single payment will be more than three timesgreater than any other payment.
■ Extended Repayment Plan — If I choose thisplan, I will make monthly payments based on fixedannual or graduated repayment amounts over aperiod not to exceed 25 years. Payments mustbe at least $50 a month and will be more ifnecessary to repay the loan(s) within the requiredtime period. I am only eligible for this plan if (i) atthe time I sign this MPN I have no outstandingbalance on a FFELP loan made before October 7,1998, and (ii) I accumulate outstanding FFELPloans exceeding $30,000.
■ Income-Sensitive Repayment Plan — If I choosethis plan, my monthly payments will be adjustedannually, based on my expected total monthlygross income from all sources. I may contact mylender at any time for more information about thisrepayment plan option.
Under each plan, the number or amount of paymentsmay need to be adjusted to reflect annual changesin the variable interest rate or to reflect additional
loans I incur.
If I do not choose an income-sensitive, graduated,or extended repayment plan within 45 days afternotification of my repayment choices, or if I choosean income-sensitive repayment plan but do notprovide the required documentation within thelender-specified time frame, my lender will requirethat I repay the loan(s) under a standard repaymentplan. I may change the repayment plan on myloan(s) once a year.
Note to Endorser: If you are making payments onthe borrower's Federal PLUS Loan, you mayrequest a change of repayment plans bycontacting the lender.
There will be no penalty for prepaying any portionof my loan(s).
All payments and prepayments may be applied inthe following order: late charges, fees, and collectioncosts first, outstanding accrued interest second,and outstanding principal last.
If I fail to make any part of an installment paymentwithin 15 days after it becomes due, I may owe a latecharge. This charge may not exceed six cents foreach dollar of each late installment.
13. Sale or Transfer of Loan(s) — The lendermay sell or otherwise transfer one or all of my loanswithout my consent. Should ownership of a loan betransferred, I will be notified of the name, address,and telephone number of the new lender if theaddress to which I must make payments changes.Sale or transfer of my loan(s) does not affect myrights and responsibilities under such loan(s). If thelender sells my loan(s) to another originating lender,the lender may also transfer the right to offersubsequent loans under the MPN to such purchaser. Ialways have the right to terminate a lender’s ability tomake loans to me under this MPN by written notice tothe lender.
Treatment Loan Capitalized Principal Monthly Number Totalof Interest Amount Interest for to be Payment of Amount
12 months Repaid Payments RepaidWhen you pay $15,000 $0 $15,000 $190 120 $24,152*the interestWhen you don’t pay $15,000 $1,396 $16,396 $208 120 $24,924the interest*Total amount repaid includes $1,350 of interest paid by the borrower during the 12-month period of deferment orforbearance.Results: During repayment, you may pay $18 less per month and $772 less over the lifetime of your loan(s) whenyou pay the interest as it is charged.
Repayment information follows
14. Loan Discharge — My loan(s) will be dischargedif documentation of my death or the death of mydependent student for whom I acquired a loan issubmitted to my lender.
My loan(s) may also be discharged if a physiciancertifies that I am totally and permanently disabled asdefined by the Act. In addition, I must meet certainincome requirements and may not receive anyadditional FFELP, Direct, or Federal Perkins Loansduring a 3-year conditional discharge period. I maynot receive a discharge due to total and permanentdisability based on a condition that existed before theloan was made, unless a physician certifies that thecondition substantially deteriorated after the loan wasmade.
My loan(s) will not automatically be discharged inbankruptcy. In order to discharge a loan(s) inbankruptcy, I must prove undue hardship in anadversary proceeding before the bankruptcy court.
In certain cases, the Act provides for loan dischargefor borrowers whose dependent students are unableto complete a course of study because the institutioncloses, or whose loan eligibility was falsely certifiedby the institution. The Act also provides for loandischarge in the amount of any required refund thatmy dependent’s school failed to make to my lenderon my behalf.
Neither the lender, the guarantor, nor the Departmentof Education vouch for the quality or suitability of theacademic programs offered by participating schools.Unless I qualify for loan discharge under the Act, Imust repay the loan(s) even if my dependent studentdoes not complete his or her education, the studentis unable to obtain employment in his or her field ofstudy, or the student is dissatisfied with, or does notreceive, the education I paid for with the loan(s).
Note to Endorser: If the full amount of theborrower's loan is discharged for any of theconditions described above, you are no longerobligated to make any payments on the loan.
15. Consequences of Default — Default is defined indetail in my MPN. If I default, the entire unpaidbalance and collection fees on the applicable loan(s)will become immediately due and payable. Failureto repay any loan made under this MPN may resultin any or all of the following:
■ Loss of federal and state income tax refunds,■ Loss of other federal or state payments,■ Legal action against me,■ Collection charges (including attorney fees)
being assessed against me,■ Loss of my professional license,■ An increase in my interest rate,■ Loss of eligibility for other student aid and
assistance under most federal benefit programs,■ Loss of eligibility for loan deferments,■ Negative credit reports to credit bureaus, and/or■ My employer withholding part of my wages to
give them to my guarantor (administrative wagegarnishment).
Note to Endorser: If the borrower defaults on theloan, and you do not make payments on the loan,you may also be subject to the actions describedabove.
16. Credit Bureau Notification — Informationconcerning the amount, disbursement, andrepayment status (current or delinquent) of myloan(s) will be reported by my lender to one or morenational credit bureaus on a regular basis. If I defaulton any loan(s) made under this MPN, the default willalso be reported by the guarantor to all national creditbureaus. Before any guarantor reports such a default,it will give me at least 30 days notice that defaultinformation will be disclosed to the credit bureausunless I enter into a repayment arrangement within 30days of the date on the notice. The guarantor will giveme a chance to ask for a review of the debt(s) before thedefault is reported. My lender or guarantor, asapplicable, must provide a timely response to a requestfrom any credit organization regarding objections Imight raise with that organization about the accuracyand completeness of information reported by the lenderor guarantor.
Note to Endorser: If the borrower of a FederalPLUS Loan defaults on the loan, the lender mayalso report your name to credit bureaus inconnection with the delinquent or defaulted loan.
17. Special Repayment Arrangements —
■ A Federal Consolidation Loan Program is availableunder which I (or my spouse and I jointly) mayconsolidate federal education loans received fromdifferent lenders, the same lender, and/or underdifferent education loan programs into one loan.Depending on the amount I borrow, this program mayprovide for an extension of my repayment period.Consolidation permits multiple debts to be combinedinto one monthly payment. For additional information,I should contact my lender or guarantor.
Note to Endorser: You are not eligible to apply fora Consolidation Loan to repay a PLUS Loan forwhich you are the endorser.
■ Under certain circumstances, military personnelmay have their loan(s) repaid by the Secretary ofDefense. I should address any questions to thelocal service recruiter. This is a recruiting programand does not pertain to prior service individuals orthose not eligible for enlistment in the ArmedForces.
18. Deferments — Under certain circumstances, Ihave a right to defer (postpone) repayment. The typesof deferments that are available to me depend on whenI first obtained a FFELP loan. Upon request, my lenderwill provide me with a deferment application thatexplains the eligibility requirements. If I am in defaulton my loan(s), I am not eligible for a deferment.
If at the time I sign this MPN I have no outstandingbalance on a FFELP loan made before July 1, 1993,deferment of repayment is available while I am:
■ Enrolled at least half time at an eligible school,■ Engaged in a full-time course of study in a
graduate fellowship program,■ Engaged in a full-time rehabilitation training
program for individuals with disabilities(if the program is approved by the Departmentof Education),
■ Conscientiously seeking, but unable to find,full-time employment (for up to three years),
■ Experiencing an economic hardship as determinedby federal law (for up to three years).
For in-school deferments, my lender will processthe deferment based on (i) my request along withdocumentation verifying my eligibility, or (ii) thelender’s receipt of a school certification of eligibilityin connection with a new loan, or (iii) the lender’sreceipt of student status information indicatingthat I am enrolled on at least a half-time basis.
For all other deferments, I must provide my lenderwith a deferment request and evidence that verifiesmy eligibility.
If at the time I sign this MPN I have an outstandingbalance on a FFELP loan disbursed before July 1,1993, information on applicable defermentopportunities will be found in my earlier promissorynote materials.
Note to Endorser: You are not eligible to receivea deferment.
19. Forbearance — If I am unable to make anyscheduled loan payment(s), the lender may allow meto reduce my payment amount, to extend the timefor making payments, or to temporarily stop makingpayments as long as I intend to repay my loan(s).Allowing me to temporarily delay or reduce loanpayments is called a forbearance. Interest chargescontinue to accrue during a forbearance period.
The lender may grant me a forbearance in thefollowing circumstances:
■ Financial hardship, and/or■ Illness.
My lender is generally not required to grant aforbearance and may require me to provide myreasons for the request and other information. Thelender may grant me a forbearance to eliminate adelinquency that persists even though I am makingscheduled installment payments. My lender may grantme an administrative forbearance for up to 60 days inorder to collect and process documentation supportingmy request for a deferment, forbearance, change inrepayment plan, consolidation, or discharge.
Circumstances that require my lender to grantme a forbearance include:
■ Serving in a medical or dental internship orresidency program, if I meet certain criteria.
■ Having a monthly debt burden for Title IV Loansthat collectively equals or exceeds 20% of my totalmonthly gross income (for up to three years).
Upon request, my lender will provide me withforbearance information and a forbearancerequest form.
Note to Endorser: Although you are not eligible toreceive a deferment, you may receive aforbearance.
Repaying Your Loans
Follow these steps to estimate your loan payment.
Loan Estimate of Capitalized New Principal EstimatedAmount Interest (From Step Two) Balance Monthly Payment
Monthly Interest Number of Months Estimate of(From Step One) in deferment or forbearance Capitalized Interest
Example $ ___________ X ______________ = $ ______________
Your capitalizedinterest $ ___________ X ______________ = $ ______________
605.002227.50
Step 2: Estimate Your CapitalizedInterest
Complete this step only if you will capitalizeinterest on a Federal PLUS Loan. This is anestimate only. Actual interest capitalized willdepend on factors such as disbursement dates,number of disbursements, the variable interestrate, and the frequency of capitalization.
Step 1: Calculate YourMonthly Interest Charges
Round your Federal PLUS Loan balance up to the nearest$500. If your loan amount is not on the table, follow theexample below to estimate your monthly accrued interest.
Example:PLUS Loan of $5,479 at 6% interest.Round up to nearest $500 = $5,500.
$5,000 = $25.00/month + 500 = 2.50/month
$27.50/month*
Your Monthly Interest $ ____________.
Step 3: Estimate YourMonthly Payment
Round your loan balance up to the nearest $500. If yourprincipal amount is not on the table, follow the examplebelow to estimate your monthly payment. If you previ-ously had interest capitalized, add it to the outstandingloan amount to get the new principal amount.
Example:Federal PLUS Loan of $6,105.00 (5,500.00 + 605.00)at 6% interest.Round up to nearest $500 = $6,500.
$6,000 = $66.61/month + 500 = 5.55/month
$72.16/month
Estimated Monthly Payment = $72.16
*Minimum monthly payment = $50 or amount of interestaccruing each month
Call Education Loan Center at 888-696-5637 to begin your application and understand keydeadlines and processes at your student’s school. We can share information about yourschool’s unique processing requirements to ensure you get your funds on time.
If required by the school, complete and submit the FAFSA (Free Application for FederalStudent Aid) as soon as possible after January 1 of the student’s enrollment year. Call 800-4-FED-AID for a copy of the FAFSA or download it at www.fafsa.ed.gov.
Complete your Education Loan Center Federal PLUS Loan application and submit it in theenvelope provided with this package.
About 3-6 weeks after submitting the FAFSA you’ll receive a SAR (Student Aid Report). Checkit carefully for accuracy, and return it to the Financial Aid Office if they require you to do so.
The Award Letter outlines your student’s financial aid eligibility. Call Education Loan Centerand we can help you estimate your PLUS loan amount by deducting the total financial aidaward from your total educational expenses.
After your application is certified by the school Financial Aid Office, it will go to the guarantor for final approval and then your funds will be disbursed. You will be notified byyour student’s school when your funds are available. Loans are typically disbursed in equalamounts at the beginning of each school term.
PLUS Loan repayment begins approximately 45-60 days after the final disbursement of your loan. You will receive a payment coupon book or statement indicating payment dateand amount.
Your Education Loan Center Student Loan Consultant’s name:
Their phone number:
STEP WHAT TO DO DATE COMPLETED
Track your progressYour Financial Aid & Student Loan Application Checklist
The steps on the chart below will help walk you through the financial aid application process. Starting early iskey to receiving your funds on time. Just enter the date you complete each step so you’ll know where you arein the process. Please also be sure to review the important reminders on the back of this page.
Federal PLUS Program Application Checklist
Monday – Friday from 12 p.m. – 10 p.m. ESTSaturday from 11 a.m. – 7 p.m. EST Sunday from 2 p.m. – 10 p.m. EST
Customer Application Line: 888-696-5637
Toll-free fax number: 877-727-6890
I.
II.
III.
IV.
V.
VI.
VII.
Verify you have the following documents:• Federal Application & Promissory Note (2 pages)• Education Loan Center Qualification Form• Education Loan Center Cover Letter• Federal Instructions (2 pages) • Borrower’s Rights & Responsibilities (4 pages)• Endorser Application & Promissory Note (if applicable; 2 pages)• Endorser Borrower’s Rights & Responsibilities (if applicable)
You will need the following items to complete your application:•Your Student’s SSN & DOB•A blue or black ink pen and no white-out
Contact an Education Loan Center loan consultant toll free at 888-696-5637for assistance with completing your application.
Loan consultants are available on weekdays from 12 p.m. - 10 p.m. EST, Saturdays from 11 a.m. - 7 p.m. EST, and Sundays from 2 p.m. - 10 p.m. EST.
Promissory Note items to double-check before mailing:•Please write “None” or “N/A” if the section does not apply to you.•Box #7, Driver’s License State and Number•Box #8, U.S. Citizenship Status•Box #13, References (2 people who do not live with you & do not live with each other) •Box #14-16, Student Information•Don’t forget to sign & date your application.
Return the following documents:•Application and Promissory Note (Signed; 1 page)•Education Loan Center Qualification Form•Endorser Application (If applicable; Signed; 1 page)
Mail these documents to the following address:Education Loan CenterGoal FinancialPO Box 509109San Diego, CA 92150-9935
