How does the MPN affect students enrolled in four-year and graduate schools?
The Master Promissory Note (MPN) streamlines your loan paperwork. Borrowers enrolled at four-year and graduate schools may obtain multiple loans for up to ten years based on one MPN signature. Providing there are no changes in lender, a single MPN may also be used when transferring between schools, or the new school may require the borrower to sign a new MPN. The MPN doesn’t change the terms of your Stafford Loan. Your MPN loans will have the same interest rate, repayment provisions, deferment and forbearance options, and loan maximums as in the past. To request Stafford Loans, you still file the Free Application for Federal Student Aid (FAFSA) each year. The results of this filing allow schools to certify your loan eligibility based upon your MPN. You’ll also continue to receive disclosure statements from your lender for each loan approved under the MPN. Look for these statements in the mail when each loan certified on your behalf is disbursed. In addition to simplified, multi-year bo
