PLUS Loan

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    The Federal PLUS (Parent Loan for Undergraduate Students) Program makes loans available to parents of dependent students. All borrowers under the PLUS Program must use loan funds solely to pay educational costs.

     
    Parents borrowing under the PLUS Program may be required by the lender to provide evidence of credit worthiness, and some borrowers may be required by the lender to secure an endorser or co-maker for the Federal PLUS loan. Parents may borrow the full cost of education for an eligible dependent student less any other financial aid for which the student may be eligible. However, the amount of the Plus Loan amount can not exceed $10,000 for the school year.
     
    PLUS loans are the financial responsibility of the parents, not the student. If the student agrees to make payments on the PLUS loan, but fails to make the payments on time, the parent will be held responsible. The first payment is due within 60 days of disbursement. Interest rates are fixed at 7.9%.

    Completing the PLUS Master Promissory Note

    To receive a Federal PLUS loan at Madison Area Technical College the following requirements must have been met:
    1. Your son or daughter has been accepted into an eligible program at Madison College and is enrolled in at least six credits. To apply for admission to Madison College, please refer to the Madison College Admission Procedures.
    2. Your son or daughter has applied for Federal Financial Aid through the FAFSA form. If no, please refer to the Financial Aid web page.
    3. Your son’s or daughter’s financial aid application has been reviewed and your son or daughter has received the Financial Aid Award Notice from Madison College Financial Aid.
    4. You understand that if your PLUS loan application is approved, the proceeds will be disbursed to your son’s or daughter’s account at Madison College. Any remaining funds will be mailed to you, the parent.
    If you have answered yes to all the above statements, the parent must complete the following two steps to apply for a Parent PLUS Loan:
    1. Complete a Master Promissory Note (MPN) for the Parent PLUS Loan on the Students Loans website.
    2. Submit a Parent PLUS Loan Request Form (PDF, 120KB) to Madison College Financial Aid. Parents will be asked to provide their name, signature, social security number, birth date, address and loan amount, not to exceed $10,000.
    Last Modified: April 6, 2011