2016-17 Financing Options Available to Meet the Family Contribution
Students and family may use a combination of programs to manage the expected family contribution. There are many alternative loan programs. Please be sure to explore all Direct student and parent loan options first.
Federal Direct Parent PLUS Loan
In order to complete any of the steps below you are required to have a Department of Education (DOE)-issued PIN. This PIN is the number used to file the FAFSA. If you do not have your DOE PIN you can access one by going to http://www.pin.ed.gov/PINWebApp/pinindex.jsp.
What is a Direct Parent PLUS Loan? This Federal Parent Loan for Undergraduate Students (PLUS) is a loan borrowed by a parent from the US government. The loan has a fixed interest rate of 6.31%. Fees of 4.272% are deducted from the loan when disbursed to the school. NOTE: PLUS loans that are disbursed for the first time after October 1, 2016 will have an origination fee of 4.276%. In most cases, repayment of the loan begins immediately after the loan has disbursed. For more detail and application information on the William D. Ford Federal Direct Loan Program click here.
- A Free Application for Federal Student Aid (FAFSA) must be on file with the institution in order to confirm a student's eligibility to receive this Title IV federal funding.
- Please go to www.studentloans.gov and sign-in under Manage My Direct Loan in order to complete the PLUS request process.
- Select Request a Direct PLUS Loan
- Under Select the loan type, choose Parent PLUS.
- Follow the on screen instructions through to the end and submit the application for a credit check.
- If you are approved and have not previously completed a Direct Parent PLUS Loan Master Promissory Note, you will need to do so from the same website.
- Please email email@example.com to let us know your application has been submitted. Please include your name, the student’s name, their Wesleyan ID #, the date the application was submitted, and whether the loan was approved, denied*, or pending credit.
If you are a non-custodial parent, please follow steps 2 through 7 listed above.
*If a parent is denied the Direct PLUS loan, a student is eligible to borrow additional unsubsidized Direct loan: $4,000 first and sophomore years; $5,000 junior and senior years.
Please email firstname.lastname@example.org or contact (860) 685-2800 if you have any questions.
What is an Alternative Loan? (Also known as Private Education Loans) These loan products are not backed by the federal government. They usually have variable interest rates based on Prime or LIBOR and rely on a credit review to calculate the initial rate of interest. Typically the student is the borrower and often a co-borrower is required to pass credit or receive a favorable interest rate. Interest accrues from disbursement. These loans may not be included in a federal consolidation. In recent years the lenders have offered refinancing to convert the loans to a fixed rate.
Each of our Private Loan Recommended Lenders offer an array of educational loans. To assist students and families in the selection process, we are using FASTChoice, a loan comparision tool that will assist borrowers in deciding on a private loan that is best suited for their needs. For a comparison of the loans and borrower benefits, please visit our online Private Loan Recommended Lenders list. For direct contact information see the list of lenders below.
Borrowers need to email email@example.com with details about any pending application.
Discover Student Loans
Thrivent Federal Credit Union
International Students (Juniors and Seniors):
Eligible international students may apply for an educational loan with MPOWER Financing without a US citizen or permanent resident as a cosignor. For more information regarding this loan, please see the contact information below.
Additionally, be sure to review your state’s higher education assistance program(s). Here are the most common state organizations for which we have processed applications:
VSAC for Vermont
MEFA for Massachusetts
HESAA for New Jersey
College Foundation of North Carolina
RISLA for Rhode Island
FAME for Maine
Students and parents have the right and ability to select the education loan provider of their choice. You are not required to use any of the lenders on the suggested lender list and will suffer not penalty from the University for choosing a lender that is not on said suggested lender list. Wesleyan will process any approved alternative loan promissory note you submit to the office.
The University’s selection of preferred lenders and the University’s decision as to where or how prominently on the list the lending institution’s name appears shall be based solely on the best interests of student and parent borrowers, utilizing stated criteria that are limited to benefits provided to borrowers (such as competitive interest rates and repayment terms, quality of loan servicing, and whether loans will be sold) and the ability to work efficiently and effectively with the University to process loans, without regard to the pecuniary interest of the University or to any benefits provided by lending institutions to the University or any of the University’s officers, trustees, directors, agents or employees or their family members.
The University reviews its suggested lender list annually.
General Factors Used in University Suggested Lender Determination:
1. Loan Terms, including possible interest rate and principal reductions, repayment options, and average interest rates and approval rates for alternative loans
2. Observed and reported customer service to families
3. Student recommendations based on borrower interface
4. University staff evaluations of proposals sent by lenders
5. Likelihood of loans being sold, especially in cases in which borrower benefits and/or terms could be impacted
6. Projections by lenders of their companies ability to survive given current condition of the student loan market