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Electronic Master Promissory Note (MPN) for Federal Direct Stafford Loans
Many students attending the University of Iowa borrow the Federal Direct Stafford Loan. The U.S. Department of Education has simplified this process by allowing students to electronically sign the Master Promissory Note (MPN) for the Federal Direct Subsidized and Unsubsidized Stafford Loans. If you plan to borrow a Direct Stafford Loan to help finance your education, complete an electronic MPN on the Direct Loan website by clicking on the link below. Please read the information on the site about the MPN, what you need, what to expect, and how to complete the new MPN. Completing the MPN does not require you to borrow the loan. You will be notified of any loan eligibility when we send you your financial aid notification. You will then be given the option to accept, decline, or reduce any loans.
Before you begin, if you don't already have your U.S. Department of Education Personal Identification Number (PIN), you should request one. To request a new or duplicate PIN, go to www.pin.ed.gov. The PIN serves as your identifier to let you access your personal information in various U.S. Department of Education systems.
If you are a first-time borrower of the Federal Direct Stafford Loan, you are required to have entrance loan counseling. Entrance loan counseling is available on-line by clicking on the link below. After you have successfully completed the interactive entrance loan counseling session on the web, the University of Iowa Office of Student Financial Aid will receive the results within one week.Electronic Master Promissory Note (MPN) for Federal Direct PLUS (Parent) Loan Beginning with the 2003-2004 year, the federal government has changed to a Master Promissory Note for PLUS (Parent) Loans. This is an open-end note that is good for up to ten years of borrowing (unless the parent obtains an endorser on their loan). Because of the "Master" note, the Office of Student Financial Aid is required to document that the parent has actually told us that they want the parent loan. With the MPN, parents will have to inform the Office of Student Financial Aid that they do indeed want to borrow the offered PLUS (Parent) Loan that is listed on the student's award notification. If the parent would like to borrow the Federal Direct PLUS Loan, they should not complete the Parent PLUS MPN electronically because we need additional information that is not available if the note is processed electronically. Request the Parent PLUS Loan by printing the Request for PLUS (Parent) Loan form (PDF document). Complete the form and submit it to the Office of Student Financial Aid. If promissory notes are required, they will be mailed to you following receipt of the request form.
This positive confirmation of the parent's borrowing intent may seem like an additional step; however, the whole process will still be quicker because the government doesn't have to approve a paper promissory note each year.