PLUS INFORMATION & APPLICATION
How do I know if I need more money for college?
Take your estimated yearly cost of tuition, housing (if applicable), and books (approx. $1100 per year) and subtract the amount of financial aid that you have been awarded. If you have a balance and you do not have personal funds to pay that balance then you may want to consider the PLUS.
IMPORTANT: When subtracting your financial aid amount, DO NOT INCLUDE FEDERAL WORK STUDY (FWS). Federal work study CANNOT be used to pay for the balance due the University. If you have been awarded FWS, the amount listed is the maximum amount that you can earn under the FWS program if you secure a job on campus.
What is PLUS prescreening?
PLUS prescreening is an online process that your biological or adoptive parent goes through to determine whether or not he/she would qualify for a PLUS loan if a PLUS application were to be submitted. This is NOT an application for a loan. The lender that you choose will run your parent’s credit to determine whether a decision of approved or denied would be made if a PLUS application were to be submitted.
What are the steps for processing a PLUS prescreening?
Review the benefits offered by the lenders provided on our website or research additional lenders on your own.
Select the lender that best suits your borrowing needs.
**Amount requested—your parent can put any figure in this section. If he/she is approved and decides to apply for a PLUS loan, the option for increasing or decreasing the amount will be available when completing the application.
CHASE
SC STUDENT LOAN
WACHOVIA
- 3% Origination fee **See below for definition of 'origination fee'.
- 1% Default fee (0% if you choose a guarantor that pays the default fee) **See below for definition of 'default fee'.
- Review other PLUS benefits and/or apply by going to http://wachovia.com/personal/page/0,,325_496_8293,00.html
Helpful Definitions:
Origination fee: A fee the borrower pays to the lender for originating a student loan. This fee is subtracted from the total amount borrowed by the student. Example: A student borrows $3500 and the origination fee is 1%...the amount that the lender will send to the university is $3465 if the default fee is 0%.
Default fee: A fee held by loan guaranty agencies to ensure that reimbursements can be made on defaulted student loans. This fee is also subtracted from the total amount borrowed by the student. Example: A student borrows $3500 and the default fee is 1%...the amount that the lender will send to the university is $3430 if the origination fee is 0%.
**If a lender charges an origination and a default fee then both will be subtracted from the total amount borrowed by the students. Example: A student borrows $3500 and the origination fee is 2% and the default fee is 1%...the amount that the lender will send to the university is $3395.
How will my parent and FMU be notified if the prescreen is approved or denied?
Your parent will be notified instantly via email or by standard mail within 5 business days.
With most lenders, the Office of Financial Assistance will receive a fax or email within 24 hours notifying us of the approval or denial.
What happens next?
If your parent is approved, then he/she will need to complete a PLUS application before the Office of Financial Assistance can take any further action. Typically, the PLUS application process takes 3 – 4 weeks from the time that the application is submitted to the Office of Financial Assistance to the time that the loan is approved for disbursement. Also, if your parent is approved and is a first-time borrower of a PLUS then he/she must complete a 'PLUS Notification & Release' form and submit it to our office.
If your parent is denied, no further action is taken by the parent and the Office of Financial Assistance will adjust your aid accordingly (see below).
Is my parent obligated to accept a PLUS loan if the prescreen is approved?
No. Your parent is under no obligation to apply for a PLUS loan if the prescreen is approved. However, if your parent decides to apply for a PLUS loan, he/she will need to finish the process by signing the PLUS Master Promissory Note online.
What happens if my parent’s prescreen is denied?
Once your financial assistance file is complete, you will automatically be awarded additional loan funds in your (the student’s) name. Typically, the additional loan fund amounts are as follows:
Freshman $4000 year -- $2000 per semester
Sophomore $4000 year -- $2000 per semester
Junior $5000 year -- $2500 per semester
Senior $5000 year -- $2500 per semester
If my parent is denied, how can I tell if my loan amount has been increased?
Go to www.fmarion.edu and click Financial Assistance under quick links. Once you are on the FA web site, click ‘Check On My Financial Aid’. You can view changes to your aid and determine what information, if any, is needed to complete your file. If this is your first time going to our FA web site, select ‘Need USERID & Password?’ to obtain your sign on information.
