Undergraduate Federal Plus Loan

Parents and stepparents of dependent undergraduate students attending school at least half-time may borrow a Parent Loan for Undergraduate Students (PLUS). This loan is often lower in cost than a private loan because the federal government guarantees it. Loan approval is subject to credit criteria established by the U.S. Department of Education. A PLUS loan must be repaid. It is the responsibility of parents to make these payments. Note that "dependent" student status refers to dependency status as determined by the information provided on the FAFSA (Free Application for Federal Student Aid).

To borrow from the Parent PLUS Loan program at MCNY, the parent must complete a PLUS Loan Promissory Note and submit to a credit-check online at www.studentloans.gov.

Application process for Federal Parent PLUS loan:

1. Both the student and parent must complete the Free Application for Federal Student Aid (FAFSA) online at www.fafsa.ed.gov. Our school code is 009769.
2. Parent must submit a PLUS loan promissory note (MPN) online at studentloans.gov, indicating the amount requested. By submitting the application, you are consenting to a financial credit-check and permitting the Department of Education to inform MCNY of the results. Our federal school code for loans is 009769. 
3. Once we receive notification that the MPN and credit-check are approved, we will add the PLUS loan to your aid package, confirm enrollment and eligibility, and process the loan.
4. Funds will be disbursed directly to MCNY, and you will be notified when these funds have been applied to your student’s account.

If you anticipate receiving a refund from the proceeds of this loan, please note that refunds will be sent directly to the parent unless specified otherwise in writing. Refunds will not be processed until school charges are paid in full for the semester.

Amount You Can Request: Borrowers can request up to the cost of attendance (minus any financial aid received).

Interest: 7.9%. Interest begins accruing from the date funds are disbursed to the school.

Fees: There is an origination fee of 4.2%. This fee is deducted from the loan prior to disbursement.

Repayment: Repayment of your PLUS begins within 60 days of the final disbursement of each loan, unless the borrower requests otherwise. The repayment period is generally 10 years or less, but some lenders allow extended repayment periods.