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Sample Master Promissory Notes & Communications

NOTE: The samples below are for reference only. If you are a student or parent borrower, contact the school’s financial aid office about signing an MPN.

Master Promissory Notes

 

Direct Subsidized and Unsubsidized Loans Direct PLUS Loans
MPN with data labels (rev. 3/2009)
MPN without data labels* (rev. 3/2009)
Plain language disclosure
Borrower's rights and responsibilities
MPN with data labels (exp. 11/30/2013)
MPN without data labels* (exp. 11/30/2013)
Plain language disclosure (rev. 11/2010)
Borrower's rights and responsibilities

The MPNs and Plain Language Disclosure Statements are available for schools to order bulk quantities:

*Order copies without data labels if you intend to preprint the borrower's information at the top of the form (items 1–6 and 8–10 for the Direct Subsidized / Unsubsidized MPN and items 1–7 and 11–16 for the Direct PLUS MPN).

Borrower Communications

Below are key communications, grouped by category, that are sent to Direct Loan borrowers during the origination process. These communications are generated by the Common Origination and Disbursement (COD) System. Correspondence is sent electronically when the borrower has agreed to electronic correspondence via the StudentLoans.gov website. Correspondence is mailed when the borrower has not agreed to receive electronic correspondence or the electronic correspondence notification is undeliverable. Borrowers access their electronic correspondence via the StudentLoans.gov website.

To view a sample of each communication, click on the link under Description or Enclosures, as appropriate.


Disclosure Statements
NOTE: These disclosure statements are sent to borrowers to fulfill the Department’s obligation as lender. These do NOT relieve schools of the responsibility to notify borrowers of each disbursement.

  Description Trigger(s) Enclosures
1 Direct Subsidized / Unsubsidized Loan Disclosure Statement (Electronic & Paper) Direct Subsidized / Unsubsidized Loan exists on the COD System with an amount greater than zero.
  1. There is no MPN or the loan linked to a NEW MPN with no prior loans linked to it.
  2. OR


  3. The Loan linked to an MPN with prior loans linked to it.
1 and 2:
Gramm-Leach-Bliley Act Privacy Notice

2 only:
Subsidized / Unsubsidized Plain Language Disclosure
2 Direct PLUS Loan Disclosure Statement (Electronic & Paper) Direct PLUS Loan exists on the COD System with an accepted credit status and an amount greater than zero.
  1. There is no MPN or the loan linked to a NEW MPN with no prior loans linked to it.
  2. OR


  3. The loan linked to an MPN with prior loans linked to it.
1 and 2:
Gramm-Leach-Bliley Act Privacy Notice

2 only:
Direct PLUS Loan Plain Language Disclosure
Direct PLUS Loan Credit-related Letters
  Description Trigger(s) Enclosures
3 Borrower Passed Credit Check (Electronic & Paper) Direct PLUS Loan origination is received and borrower passes the credit check. Gramm-Leach-Bliley Act Privacy Notice
4 Borrower Failed Credit Check (Electronic & Paper) Direct PLUS Loan origination is received and borrower fails the credit check. Endorser Addendum
5 Endorser Passed Credit Check (Electronic & Paper) Endorser Addendum is received and the endorser passes the credit check. N/A
6 Endorser Failed Credit Check (Electronic & Paper) Endorser Addendum is received and the endorser fails the credit check. Endorser Addendum
7 COD Web—Passed Credit Check (Electronic & Paper) School initiates a credit check via the COD Web site and borrower passes the credit check. N/A
8 COD Web—Failed Credit Check (Electronic & Paper) School initiates a credit check via the COD Web site and borrower fails the credit check. N/A
Direct Subsidized/Unsubsidized Loan Master Promissory Note (MPN)
The following are sent when a school has its Promissory Note Print Option set to "Y" (meaning COD prints) on the COD School Options Information page.
  Description Trigger(s) Enclosures
9 Guidance on Completing Direct Subsidized / Unsubsidized Loan MPN
Electronic
Paper
Direct Subsidized / Unsubsidized Loan origination is received and there is no MPN that can be linked to the loan. Direct Subsidized / Unsubsidized Loan MPN
10 15-day Reminder Email (Electronic Only) 15 days have passed since the initial communication and no MPN is received for a Direct Subsidized / Unsubsidized Loan with an amount greater than zero. N/A
11 Direct Subsidized / Unsubsidized Loan 30-Day MPN Reminder
Electronic
Paper
30 days have passed since the initial communication and no MPN is received for a Direct Subsidized / Unsubsidized Loan with an amount greater than zero. Direct Subsidized / Unsubsidized Loan MPN
12 Direct Subsidized / Unsubsidized Loan 60-Day MPN Reminder
Electronic
Paper
60 days have passed since the initial communication and no MPN is received for a Direct Subsidized / Unsubsidized Loan with an amount greater than zero. N/A
Direct PLUS Loan Master Promissory Note (MPN)
The following are sent when a school has its Promissory Note Print Option set to “Y” (meaning COD prints) on the COD School Options Information page.
  Description Trigger(s) Enclosures
13 Guidance on Completing Direct PLUS Loan MPN
Electronic
Paper
Direct PLUS Loan origination is received, the borrower passes the credit check and there is no MPN that can be linked to the loan. Direct PLUS MPN
14 15-day Reminder Email (Electronic Only) 15 days have passed since the initial communication and no MPN is received for a Direct PLUS Loan with an amount greater than zero. N/A
15 Direct PLUS Loan 30-Day MPN Reminder
Electronic
Paper
30 days have passed since the initial communication and no MPN is received for a Direct PLUS Loan with an amount greater than zero. Direct PLUS MPN
16 Direct PLUS Loan 60-Day MPN Reminder
Electronic
Paper
60 days have passed since the initial communication and no MPN is received for a Direct PLUS Loan with an amount greater than zero. N/A

 

Last updated January 4, 2012


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