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Smith's online PLUS Loan participation for 2012-13 begins June 1, 2012.
A PLUS Loan request will be processed only if the student's official aid award has been determined. This excludes tentative award letters sent in March to entering students. Please wait to apply until this prerequisite is satisfied.
School for Social Work scheduling differs. If you are or will be enrolled in that school, please contact that school directly for PLUS Loan instructions.
| Lender |
U.S. Department of Education (Department) |
| Interest Rate |
7.9% (fixed) |
| Loan Fee |
4% of loan |
| Repayment |
Begins 60 days after final disbursement. Option to defer while student is enrolled (offered during online loan request process). |
| Approval |
Schools verify amount eligibility. Lender decision is credit-based. |
| Denials |
Overrides are possible if appealed to the lender's satisfaction or if a credit-worthy endorser signs onto the loan. If not pursued, the denial allows the student to borrow an additional unsubsidized Direct Loan (processed upon request or automatically if selected during the online process). |
| Loan Period |
Loans for full-year students are treated as full-year loans, disbursing in two equal term installments. If circumstances warrant a single-semester loan, please contact us before applying. |
| Amount |
Limited to cost of attendance minus all other aid. |
| Disbursement |
Loan proceeds pay directly to students' tuition accounts. |
If you are expecting a denial so that the student can be packaged additional loan aid, do step 3 only. If you are unexpectedly approved and you don't want the loan, promptly contact us by email.
1. Request your BORROWING LIMIT via email to st_loans@smith.edu.
2. Decide how much to borrow. Things to keep in mind:
- Account for a 4.0% fee. (Divide the amount that you want to pay to the account by .96 to obtain the loan amount.)
- Factor in a $200 payment if the student is an entering student who paid an enrollment deposit, as that includes a $200 room deposit.
- Contact us at st_loans@smith.edu if you need help with this figure.
- If the amount you want to borrow exceeds your limit, contact us by email for your options. Do not proceed to step 3 until this is finalized.
3. Apply for lender approval at www.studentloans.gov.
Do not proceed with this step if the aid award has not been determined, you have
not yet requested your borrowing limit, or any loan limit issue is in progress.
4. Complete a Master Promissory Note (MPN) at www.studentloans.gov.*
Skip this step if you previously borrowed a Direct PLUS Loan for the same
student.
5. Submit a TIV Authorization Form.*
You do not need to submit this unless your loan will overpay the student's
standard fees.
- PLUS Loan requests are transmitted to Smith.
- Credit-approved loans are reviewed for Smith approval.
- Approved loans are originated (created in our system and transmitted to the Department). The Department then sends disclosures about the newly created loans directly to the borrowers.
- Originated loans linked to valid MPNs disburse on a weekly basis, but not earlier than 10 days before the start of each term.
- Notification of disbursement is issued to borrowers by this office via email.
- The Department assigns disbursed loans to servicers (companies that will manage the loans). Servicing includes, but is not limited to, billing, payment processing, deferment requests, etc.
Please submit any questions or concerns via E-MAIL to st_loans@smith.edu.
Last updated: May 10, 2011
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