Loans Frequently Asked Questions | Michigan Technological University

1

I have been offered a Direct Loan. How do I accept it?

Complete a Direct Loan Request Form by viewing your financial aid information on Banweb by selecting View/Accept Awards under the Financial Aid tab. Once you have accepted the loan, the link to the Direct Loan Request Form will appear for you to complete. A paper copy of the form can also be obtained by contacting the Financial Aid Office.

2

What if I only want to accept a portion of the loan that was offered?

When accepting your awards on Banweb, just indicate the partial amount in the space provided.

3

What happens after I accept the Direct Loan?

The Financial Aid Office will originate the loan with the servicing center. Once the loan is approved, you will be sent an e-mail notification with links to complete an electronic Master Promissory Note (MPN) and/or entrance counseling. The electronic MPN will be available online at https://studentloans.gov only after the loan has been approved. Entrance counseling can be done anytime at the same site.

4

When will the loan be disbursed?

Loans that are processed for the full year will be split into two equal disbursements, one for fall semester and one for spring. The disbursement dates will be provided on the disclosure statement sent to you from the US Department of Education. For billing purposes, loans that have been approved will appear as a memo credit on your account.

5

The bill is due, and I'm coming up short on funds. Are there sources of funding available other than those awarded via the FAFSA results?

There are two additional financing options - an alternative loan or a Direct PLUS loan. Students and/or parents may apply for alternative and private loans online. To learn more, click here.

The Direct PLUS Loan is a federal loan which a parent applies for on behalf of a dependent student. The application and information is located here.

6

When should I apply for alternative loans?

You should apply at least four weeks prior to the date your bill is due to ensure that there is enough time to complete the application process. Although you may receive instant pre-approval online from the loan company, most require you to submit additional information to them to continue processing your application.

7

What do I need to do if I've been awarded a Federal Perkins or Techaid Loan?

You may accept the loan on Banweb by selecting View/Accept Awards under the Financial Aid tab. You will also need to complete an electronic master promissory note. You will be sent an email message from ECSI with instructions on how to complete the electronic master promissory note.