IMPORTANT: As of July 1, 2010 the federal government has eliminated the Federal Family Education Loan (FFEL) program. All student and parent loans will be originated through the federal government's Federal Direct Loan program. Students who have previously borrowed through a lender under the FFEL program will need to sign a new Master Promissory Note (MPN)with the federal government in the Direct Loan program for all loans disbursed after July 1, 2010.
Direct Loans are low-interest loans for students and parents to help pay for the cost of a student's education after high school. The lender is the U.S. Department of Education (the Department) rather than a bank or other financial institution.
With Direct Loans, you
- Borrow directly from the federal government and have a single contact-the Direct Loan Servicing Center—for everything related to the repayment of your loans, even if you receive Direct Loans at different schools.
- Have online access to your Direct Loan account information 24 hours a day, 7 days a week at Direct Loans on the Web at https://www.myedaccount.com/.
- Can choose from several repayment plans that are designed to meet the needs of almost any borrower, and you can switch repayment plans if your needs change.
You can complete your Direct Loan MPN online at StudentLoans.gov. You will need the same PIN that you used for your FAFSA to electronically sign the note. If you do not have a PIN, you may obtain one via http://www.pin.ed.gov/.
Your next step is to complete a NEW Master Promissory Note by clicking on your appropriate student status:
- Full-Time & Part-Time Undergraduate Students
- Graduate Students
Where can I get more information about this change?
Visit our website at http://www.sacredheart.edu/TransferDLFAQ.cfm for more information.
Note: If you will borrow from BOTH the Stafford and Grad PLUS programs, you will need to complete a separate MPN for each loan program. This change also applies to PLUS loans borrowed by parents.