Loans

There are two types of Direct PLUS Loans: Graduate PLUS and Parent PLUS.

Eligibility

Requirements: Graduate and Parent PLUS 

• Master Promissory Note: The PLUS Loan Master Promissory Note is a multi-year or serial loan feature of the PLUS program. It allows borrowers to receive future Federal PLUS Loans without completing and signing additional promissory notes if the borrower remains eligible for Federal PLUS Loan and completes appropriate loan request processes. By signing only one promissory note, the delivery of PLUS loan funds will occur even faster because it eliminates the time it takes for a promissory note to be mailed, completed and returned to the loan service provider. Borrowers will use their Federal Student Aid (FSA) ID to sign their promissory note at studentaid.gov. 
• Entrance Counseling, which should not be confused with Financial Awareness Counseling, will walk you through the Direct Loan process and explain your rights and responsibilities as a borrower. If you have not previously received a Graduate or Parent PLUS Loan, the Federal Government requires you to complete loan counseling at studentaid.gov to ensure that you understand the responsibilities and obligations you are assuming. You will need to log in using your Federal Student Aid (FSA) ID and will need about 30 minutes to complete the counseling session.  

Repayment: Graduate and Parent PLUS 

• Loan repayment may be deferred in the PLUS program if the student remains enrolled at least half-time (but interest accrues). For information regarding in-school deferments and payment plans please contact the Direct Loan Servicer at studentaid.gov or 1-800-557-7394. 
• Borrowers can learn more about how interest rates, capitalization and loan fees will affect payments on the federal student aid site.

Options if the Graduate PLUS Loan is Denied 

If the Graduate PLUS Loan application was denied due to adverse credit as determined by the Federal Direct Loan Center, two borrowing alternatives are in place to help compensate for the denial. 

• You can appeal against the credit decision with the Federal Direct Loan Center. This process will require you to complete PLUS Credit Counseling at the studentloans.gov website. If you appeal the credit decision with the Federal Direct Loan Center and are granted a credit override, please email facontact@purdue.edu and include the loan application number, any reference number given to your case by the Direct Loan servicer and your Purdue ID (PUID) number. 
• You can apply with an endorser. This process will require you to complete PLUS Credit Counseling at the studentloans.gov website. Currently, Purdue only receives notifications of approved endorsed loans if the endorser application was completed electronically. Endorsed loans require manual intervention, so if you have completed a paper endorser application, you must email facontact@purdue.edu and include the loan application number, any reference number given to your case by the Direct Loan servicer and your PUID. Providing us with the above information may speed up processing if you submit your endorser application electronically. Endorsed loans also require the parent borrower to sign a promissory note after the endorser has been approved. 

Options if the Parent PLUS Loan is Denied 

If the Parent PLUS Loan application was denied due to adverse credit as determined by the Federal Direct Loan Center, three borrowing alternatives are in place to help compensate for the denial. 

• The student can receive an additional Unsubsidized Federal Direct Loan. Unless you indicated in your application that you are planning to pursue the endorser option, your student will automatically be reviewed for the additional Unsubsidized Federal Direct Loan. If eligible, an offer for the additional Unsubsidized Federal Direct Loan of $4,000-5,000 (depending upon grade level) will appear on their myPurdue account within 7-10 days. If your student wants this loan, they must accept it in their myPurdue portal. 
• The parent can appeal the credit decision with the Federal Direct Loan Center. This process will require the parent borrower to complete Parent PLUS Credit Counseling at the studentloans.gov website. If you appeal the credit decision with the Federal Direct Loan Center and are granted a credit override, please email facontact@purdue.edu and include the loan application number, any reference number given to your case by the Direct Loan servicer and your student’s Purdue ID (PUID) number. 
• The parent can apply with an endorser. Currently, Purdue only receives notifications of approved endorsed loans if the endorser application was completed electronically. Endorsed loans require manual intervention, so if you have completed a paper endorser application, you must email facontact@purdue.edu and include the loan application number, any reference number given to your case by the Direct Loan servicer and your student’s PUID. Providing us with the above information may speed up processing if you submit your endorser application electronically. 

This is a low-interest federal loan available to professional students in Doctor of Pharmacy or Veterinary Medicine. Award based on level of financial need, and the available funding.

This loan is not part of the Direct Unsubsidized or Grad PLUS loan programs — any borrowing of the HPSL loan will have no impact on those loans. Eligibility requirements are outlined below.

• Eligibility
• Award Amounts and Disbursements
• Repayment
• Requirements
• How to Apply

Eligibility 

• Professional student in Doctor of Pharmacy or Veterinary Medicine who has successfully completed at least 72 college credits before being admitted as a professional student  
• Must annually complete the current year FAFSA
• Must complete a HPSL determination form and parent tax documentation
• Demonstrate financial need determined by the information gathered on the HPSL form and the current year FAFSA
• Enrolled full-time in an eligible degree (8 credits or more)

Award Amounts and Disbursements 

• The award amount depends on financial need as calculated by the Division of Financial Aid from FAFSA results.  

Requirements 

• Students must submit a FAFSA, HPSL determination form and parent tax documentation for consideration. All professional students will be considered independent according to the need analysis formula in Title VII of the Higher Education Act. Nonetheless, institutions still must take parents’ information into account to award HPSL funds. This requirement cannot be waived. In cases where the parents refuse to provide income information, an affidavit documenting such a refusal cannot be accepted instead of the required information. Unless the parents are deceased, a student who does not provide parental income information may not be considered for HSPL funds. 
• The use of parental data on the HPSL determination form does not guarantee the student is awarded the HPSL, as these funds are limited each year. 
• Entrance/Exit Interviews are managed through Heartland ECSI (Educational Computer Systems, Inc). Report to Heartland ECSI before dropping below half-time status, withdrawing, graduating, transferring or if there is a change of name and/or address:
  
  ECSI Federal Perkins Loan Servicer
  PO Box 1079, Wexford, PA 15090
  Phone: 1-888-549-3274

Repayment 

• Grace Period: The twelve-month period from the date student ceases half-time enrollment status. There is no interest if the principal balance is paid within the grace period. 
• Repayment: $50 minimum monthly payment. A larger amount may be required, if necessary, to repay a loan within the time limit. 
• Early Repayment Penalty: None. 
• Consequences of Delinquency (on Defaulted Loan made by Purdue): The account will be listed with a collection agency. The report will be made to a credit bureau. Readmission to Purdue University will be denied, and official transcripts withheld. All further aid at Purdue University will be denied to students. Legal action will be taken on extended default.

A low-interest institutional loan is available during the upcoming academic year to undergraduate juniors and seniors, who complete the FAFSA by April 15, have demonstrated financial need, are enrolled at least half-time in a degree-seeking program, and have borrowed through the Purdue Loan program in prior academic years.

• Eligibility
• Award Amounts and Disbursement
• Requirements
• Repayment
• How to Apply

Eligibility 

• Must be a degree-seeking undergraduate senior student enrolled at least half-time (6 credit hours).
• Must have borrowed a Purdue loan in a prior academic year. 
• Must be a U.S. citizen, U.S. national or permanent resident of the United States. 
• Must have a current Free Application for Federal Student Aid (FAFSA) submitted. 

Award Amounts and Disbursement 

• Loan Amounts Annual Maximum: Depends on financial need as calculated by the Division of Financial Aid. The maximum award is generally $3,000 for resident students and $5,000 for non-resident students.
• Aggregate Maximums: Undergraduate – $30,000 | Graduate – $50,000. 

Requirements 

• Promissory Note: You will be required to sign a promissory note 1-2 days after accepting your loan. Heartland ECSI, the third-party loan servicer, will send you an email within this timeframe indicating when your promissory note is available. You must sign a new promissory note each time you accept a Purdue Loan or increase an existing Purdue Loan. Borrowers can complete this requirement here. Please allow 3-4 business days for our office to download the completed requirement and update your myPurdue account. (Please note: This promissory note is separate from any Stafford Loan requirement). 

Notify Heartland ECSI if there is a Change of Name and/or Address: 

ECSI Federal Perkins Loan Servicer
PO Box 1079, Wexford, PA 15090
Phone: 1-888-549-3274
www.heartlandecsi.com

Repayment

• Grace Period: The six-month period from the date student ceases half-time enrollment status. No interest accrues during the grace period. No payments are due, but voluntary payments may be made to reduce interest after the grace period. 
• Repayment: $50 minimum monthly payment. A larger amount may be required, if necessary, to repay a loan within the time limit. 
• Early Repayment Penalty: None. 
• Consequences of Delinquency (on Defaulted Loan made by Purdue): The account will be listed with a collection agency. The report will be made to a credit bureau. Readmission to Purdue University will be denied and official transcripts withheld. All further aid at Purdue University will be denied to students. Legal action will be taken on extended default.