Parent (PLUS) Loans
PLUS loans are federal education loans available for the parents of dependent students. To be eligible, the borrowing parent must have good credit; there is no minimum or maximum income requirement. Both the student and the parent applicant also must meet other federal eligibility requirements, such as being U.S. citizens or permanent residents. You can borrow up to the cost of attendance, minus the financial aid the student receives.

PLUS Loan interest rates are fixed at 8.5%. When you take out a PLUS loan, you will be charged a combination origination/guarantee fee of 3-4% of the loan amount, which is deducted from each loan disbursement.

The parent must complete a Master Promissory Note for the loan (see below). This promissory note will be used for the life of the loan, but may have some cancellation provisions. In subsequent years, you will not need to complete another promissory note. To apply for a PLUS loan, please follow the instructions outlined below.

***IMPORTANT***
 On May 8, 2008, President Bush signed into law a $2,000 increase to the Federal loan limit for students already determined eligible for the Stafford Loan.  The additional amount is unsubsidized (meaning interest will accrue while the student is enrolled), but students are still encouraged to take advantage of this opportunity before borrowing an alternative loan.  If you have already submitted paperwork for your Stafford Loan to the Financial Aid Office, you should email finaid@msmary.edu to apply for the additional $2,000.  If you have yet to apply for your Stafford Loan, you should include the additional $2,000 on your Stafford Loan Certification Form.  If you require additional financing beyond the new Stafford Loan limit, follow the steps below.

Parent (PLUS) Loan Application Procedures

1. Go to www.selectyourlender.com for information concerning suggested lenders.  Compare loan products and borrower benefits.

2. Use the link provided on www.selectyourlender.com to apply for the loan.  Be prepared to provide the amount you wish borrow.

3. Once the loan is approved, complete the Master Promissory Note (MPN) on-line. Some lenders may allow you to sign the MPN electronically, or you may be required to print, sign and mail the application to the lender.

4. Be sure to list the loan period as 8/2008-5/2009, and have a requested loan amount. The loan cannot be processed without this information.

5. The lender will notify Mount St. Mary’s of the loan’s approval and request certification from the university.

Recommended Deadline: In order to meet the University’s billing deadline,the above steps should be completed by July 11. This enables a family to review their first semester bill (mailed at the beginning of July) to determine how much they will need to borrow per semester.