2009-2010 Federal Parent Loan For Undergraduate Students (PLUS)
Union College is pleased to announce that we will be participating in the Federal Direct Loan Program beginning with the 2009-2010 academic year. This means that if you borrow a federal PLUS loan for 2009-2010, your funding will come directly from the federal government instead of a private lender as in the past. Please click here for more information.
The fixed interest rate for the PLUS loan is 7.9%. PLUS Loans are subject to a 4% origination fee. However, an up-front rebate of 1.5% is offered for borrowers as a repayment incentive. In order to keep the up-front rebate, a borrower must make their first twelve monthly payments on time.
Instructions
Parents wishing to borrow a PLUS loan for the 2009-2010 academic year must take the following steps.
- Complete the 2009-10 Free Application for Federal Student Aid (if you have not done so already)
- Complete the Direct Loan Master Promissory Note (MPN) for Parent PLUS Loans online. Consent for a credit check will be involved in the application process.
- Complete and return to the Financial Aid Office the PLUS Loan Supplemental Form
The Department of Education will notify the Financial Aid Office once the MPN has been completed and the credit check has been approved. Union will then certify the loan. Loan funds will be disbursed directly to the school.