Loan Disbursement  

Federal Perkins Loan: If you have been offered a Perkins Loan, you will be sent a promissory note packet.  Please follow the instructions sent to you regarding the completion of the Perkins promissory note and return two copies of the note within 30 days of receipt of the packet.  After 30 days, loans are cancelled and the funds are reallocated.

William D. Ford Federal Direct Student Loan: Before the university pays Direct Student Loan funds to your account, you must:

1.         Attend loan counseling.  Federal regulations require that you participate in an entrance loan counseling session if you are a first-time, Federal Direct Student Loan borrower.   The purpose of this counseling is to explain your rights and responsibilities as a first-time borrower, emphasize the legal, binding nature of your loan obligation, and make you aware of the consequences of default if you fail to repay your loan according to the terms of the note.  Loan counseling may be completed on line at https://www.dl.ed.gov.  Loan funds cannot be disbursed to your account until loan counseling is completed.

2.                  New CMU students must complete a Master Promissory Note (MPN).  The master promissory note is a legal contract that requires the student to provide references and a student signature.  The amount you may borrow each year is based on grade level, your student status and your continued eligibility.  You may complete the MPN on line at http://dlenote.ed.gov/ by using your Federal Personal Identification Number (PIN).  Use of the PIN qualifies as the student signature.  If you do not have a PIN, you can obtain one at the US Department of Education’s PIN site http://www.pin.ed.gov/.  Please complete your master promissory note as soon as possible but no later than two weeks before the end of a semester; your direct loan cannot be credited to your account until your MPN is on file with the federal direct loan processor.

3.         Students with a master promissory note on file with the Direct Loan Program (returning CMU students and transfer students) will not receive a promissory note.   You will be informed on your Award Notice of your maximum loan eligibility.  If you wish to reject or reduce the amount of your student loan(s), you must make the adjustment on your Award Notice and return it to the OSFA as soon as possible so that the loan amount can be adjusted before it is paid to your account.

4.         Enroll at least half-time.

5.         Meet the general eligibility criteria.

William D. Ford Federal Direct Parent Loan: To apply for and receive a Direct PLUS Loan, parents must:

1.            Complete and return the Parent Loan Application to the OSFA.  To complete the review of your credit record, the federal processor will use this information.

2.           Complete a PLUS Master Promissory Note (MPN).   The master promissory note is a legal contract that requires the parent to provide references, parent and student information, and a parent signature.  You may complete the PLUS MPN on-line at http://dlenote.ed.gov/ by using your Federal Personal Identification Number (PIN).  Use of the parent’s PIN qualifies as the parent signature.  If you do not have a PIN, you can obtain one at the US Department of Education’s PIN site:  http://www.pin/ed.gov/.  The PLUS loan will be credited to your student’s account once your loan is approved by and your MPN is on file with the federal direct loan processor.

 and

3.            Your student must be enrolled at least half-time, and

4.            Your student must meet the general eligibility criteria.