Page 1 of 11 

## Federal Direct PLUS Loan Application and Master Promissory Note [60

- DAY DRAFT 08/1 4 /2013] William D. Ford Federal Direct Loan Program

Warning: Any person who knowingly makes a false statement or misrepresentation on this form or any accompanying documen t is subject to penalties that may include fines, imprisonment, or both, under the U.S. Criminal Code and 20 U.S.C. 1097.

SECTION A: BORROWER INFORMATION

– TO BE COMPLETED BY ALL BORROWERS; READ THE INSTRUCTIONS IN SECTION H BEFORE COMPLETING THIS S ECTION



### CHECK ONE

– I am a: ☐ Graduate or Professional Student ☐ Parent of a Dependent Undergraduate Student

1. Driver’s License State and No. 2. Social Security No. 3. Date of Birth (mm

- dd

- yyyy)

4. E

- Mail Address (optional)

5. Name and Permanent Address (see instructions) 6. Area Code/Telephone No.

7. Citizenship Status (to be completed by parent borrowers only

-- check one)

(1) 

# ☐ U.S. Citizen or National

(2) 

# ☐ Permanent Resident/Other Eligible Non

- Citizen If (2), Alien Registration No.

8. Employer’s Name and Address 9. Work Area Code/Telephone No. ( )

10. References: List two persons with different U.S. addresses who do not live with you and who have known you for at least three years. If you a re a parent borrower, do not list the student.

Name 1. 2.

Permanent Street Address

City, State, Zip Code

E

- Mail Address (optional)
Area Code/Telephone No. ( ) ( )

Rela tionship to Borrower

SECTION B: SCHOOL INFORMATION

– TO BE COMPLETED BY THE SCHOOL

11. School Name and Address 12. School Code/Branch 13. Identification No.

SECTION C: DEPENDENT UNDERGRADUATE STUDENT INFORMATION

– TO BE COMPLETED BY PARE NT BORROWERS ONLY

14. Dependent Undergraduate Student’s Name (last, first, middle initial) 15. Social Security No. 16. Date of Birth (mm

- dd

- yyyy)

SECTION D: BORROWER REQUEST, CERTIFICATIONS, AUTHORIZATIONS, AND UNDERSTANDINGS

– ALL BORROWERS REA D CAREFULLY BEFORE SIGNING B E LOW

17. This is an Application and Master Promissory Note (MPN) for one or more Federal Direct PLUS (Direct PLUS) Loans. I request a Direct PLUS Loan under this MPN in an amount not to exceed my or (if I am a parent borrower) the student’s annual cost of attendance, minus other financial aid received for each academic year. The school will notify me of the loan amount that I am eligible to borrow. Within certain timeframes, I may cancel a loan or request a lower amount by conta cting the school, or by refusing to accept or returning all or a portion of a loan disbursement that is made to me. The Borro wer’s Rights and Respo n sibilities Statement that accompanies this MPN and the disclosure statements that will be provided to me con tain additional information about my right to cancel a loan or request a lower amount. If I have an adverse credit history an d obtain an endorser so that I may r e ceive a Direct PLUS Loan, only one loan may be made to me under this MPN.

18. Under penalty of perjury, I certify that:

A. The information I have provided on this MPN and as updated by me from time to time is true, co m plete, and co r rect to the best of my knowledge and belief and is made in good faith.

B. I am (1) a graduate or professional student, (2) the biological or adoptive parent of the student ide n tified in Se c tion C, or (3) the spouse of the parent and my income and assets were reported on the Free A p plication for
Federal St u dent Aid (FAFSA), or would be reported if a FAFSA were filed.

C. I will use the proceeds of loans made under this MPN for authorized educational expenses that I incur or, if I am a parent borr ower, that the student incurs; I will immediately repay any loan proceeds that cannot be
attributed to ed u cational expenses for att endance on at least a half

- time basis at the school that certified my loan eligibi l ity.

D. If I owe an overpayment on a Federal Perkins Loan, Federal Pell Grant, Federal Supplemental Educational Oppo r tunity Grant, Academic Competitiveness Grant (ACG), Nati onal Science or Mathematics Access to Retain Talent (SMART) Grant, or Leveraging Educational Assistance Partnership Grant, I have made satisfactory arrang e ments to repay the amount owed.

E. If I am in default on any loan I received under the Federal Perkin s Loan Program (inclu d ing National Direct Student Loans), the William D. Ford Federal Direct Loan (Direct Loan) Program, or the Federal Family Educ ation Loan (FFEL) Program, I have made satisfactory r e payment arrangements with the holder to repay the amoun t owed.

F. If I have been convicted of, or if I have pled nolo contendere (no contest) or guilty to, a crime involving fraud in obtaining funds under Title IV of the Higher Education Act of 1965, as amended (HEA), I have fully repaid the
funds to the U.S. Department of Education (ED) or to the loan holder in the case of a Title IV federal student loan. If I am a parent applying for a Direct PLUS Loan for a dependent undergraduate student, and if that student has been convicted of, or has pled nolo contender e or guilty to, a crime involving fraud in obtaining funds under Title IV of the HEA, the student has fully repaid the funds to ED, or to the loan holder in the case of a Title IV federal student loan.

19. For each Direct PLUS Loan I receive under this MPN :

A. I authorize the school to certify my eligibility for the loan.

B. I authorize the school to credit my loan proceeds to my account at the school (if I am a graduate or professional student bor rower) or to the student’s account at the school (if I am a parent borrower), and to pay to ED any refund that may be due up to the full amount of the loan.

C. I authorize ED to investigate my credit record and report information about my loan status to persons and o r g a nizations permitted by law to receive that inf ormation.

D. I authorize ED to defer repayment of principal on my loan if I e n roll at least half time at an eligible school and, if I am a graduate or professional student, for the 6

- month period after I cease to be enrolled at least half time,
unless I no tify ED differently.

E. I authorize the school and ED to release information about my loan to the references on the loan and to members of my immedia te family, unless I submit written directions otherwise.

F. I authorize the schools, ED, and their agents t o release i n formation about my loan to each other.

G. I authorize the schools, ED, and their respective agents and contractors to contact me regarding my loan request or my loan, including repayment of my loan, at the number that I provide on this MPN or a ny future number that I provide for my cellular telephone or other wireless device using automated dialing equipment or artificial or prerecor ded voice or text messages.

20. I understand that:

A. ED will give me the opportunity to pay the interest that acc rues on each loan made under this MPN during deferment (including in

- school deferment), forbearance, and other periods as provided under the Act. If I do not pay the interest that accrues during these periods, ED may add unpaid interest that accrues on eac h loan made under this MPN to the principal balance of that loan (this is called “capitalization”) at the end of the defermen t, forbearance, or other period. Capitalization will increase the principal balance on my loan and the t o tal amount of interest I m ust pay.
B. ED has the authority to verify information reported on this MPN with other federal agencies.
SECTION E: PROMISE TO PAY

– TO BE COMPLETED BY ALL BORROWERS

2 1

. I promise to pay to ED all loan amounts disbursed under the terms of this MPN, plus interest and other charges and fees that may becom e due as provided in this MPN. I understand that more than one loan may be made to me under this MPN for myself or for the student identified in Section C. I understand that by accepting any disbursement is sued at any time under this MPN, I agree to repay the loan asso ciated with that disbursement.

22. If I do not make a pa y ment on a loan made under this MPN when it is due, I will also pay reasonable collection costs, including but not limited to attorney f ees, court costs, and other fees.

23. I will not sign this MPN before reading the entire MPN, even if I am told not to read it, or told that I am not r e quired to read it. I am entitled to an exact copy of this MPN and the Borrower’s Rights and Responsibi lities

Statement.

24. My signature certifies that I have read, understand, and agree to the terms and conditions of this MPN, including the Borrowe r Request, Certifications, Authorizations, and Understandings in Section D, the terms and
conditions d e scri bed in Section F, the Notice About Subsequent Loans Made Under this MPN in Section F, and the Borrower’s Rights and Responsib ilities Statement. I UNDERSTAND THAT I MAY RECEIVE ONE OR MORE LOANS UNDER THIS MPN, AND THAT I MUST REPAY ALL LOANS THAT I RECEIVE UNDER THIS MPN.

2 5

. Borrower’s Signature 2 6

. Today’s Date (mm

- dd

- yyyy) OMB No. 1845

- 0068 Form Approved Exp. Date xx/xx/xxxxPage 2 of 11 

## Direct PLUS Loan MPN ( continued )

SECTION F: MPN TERMS AND CONDITIONS

GOVERNING LAW
The terms of this Application and Master Promissory Note (MPN) will be interpreted in ac cordance with the Higher Education Act of 1965, as amended (the HEA) (20 U.S.C. 1070 et seq .), the U.S. Depar t ment of Education’s (ED’s) regulations, any amendments to the HEA and the regulations in accordance with the effective date of those amendments, a nd other applicable federal laws and regul a tions (collectively referred to as the “Act”).

Under applicable state law, I may have certain borrower rights, remedies, and defenses in addition to those stated in this MPN and the Borrower’s Rights and Respons ibilities Statement, except as preempted by federal law.

DISCLOSURE OF LOAN TERMS

This MPN applies to Federal Di rect PLUS (Direct PLUS)

Loans. Under this MPN, the principal amount that I owe, and am required to repay, will be the sum of all
di s bursements t hat are made (unless I reduce or cancel any disbursements as explained below under Loan Cancellation), plus any unpaid interest that is capitalized and added to the principal amount.

I understand that each loan made under this MPN is

sep a rately enforceable based on a true and exact copy
of this MPN.

At or before the time of the first disbursement of each loan, I will receive a disclosure statement identifying
the amount of the loan and additional terms of the
loan. The Borrower’s Rights and Responsibilities

Statement a c companying this MPN also contains important additional information

. The Borrower’s Rights and Responsibilities Statement and any disclosure statement I receive in connection with any loan under this MPN are hereby incorporated into this

MPN.

I may request additional loan funds to pay for my or
the st u dent’s educational costs by contacting the
school’s financial aid office. The school will determine if I am eligible for any add i tional loan funds. I will be notified of any increase or other chan ge in the amount of my loan.

I understand that ED may use a servicer to handle billing and other communications related to my loan.

LOAN CANCELLATION
I may pay back all or part of a loan disbursement within the timeframes set by the Act, as explained in
th e Borrower’s Rights and Responsibilities Statement
and in a discl o sure statement that I will receive. If I return the full loan amount within those timeframes, I will not have to pay any loan fee or interest charges. If I return part of a disbursement wit hin those timeframes, ED will reduce the loan fee and interest charges in proportion to the amount returned.

INTEREST
Unless ED notifies me in writing of a lower rate, the interest rate for any loan I r e ceive under this MPN is a fixed rate that is calculated in accordance with a formula specified in the Act

. The interest rate for

Direct PLUS Lo ans is calculated each year

. When the rate is calculated, it applies to Direct PLUS Loans for which the first disbursement is made on or after July 1 through June 30 of the following year . Different fixed interest rates may apply to different loans that I receive under this MPN, depending on when the loan
is first disbursed. The maximum interest rate for Direct
PLUS Loans will not exceed 10.5%. ED will notify me of
the interest rate on each loan that I receive.

Interest accrues on the unpaid principal balance of
each loan from the date of disbursement until the loan is paid in full, including during defe r ment, forbearance, or other periods. I agree to pay al l interest charges on my loan. I will be given the

oppo r tunity to pay the interest that accrues during a period of authorized defe rment or forbearance. If I do not pay this interest, ED may capitalize the interest (add it to the principal balance of my loans) at the end
of the deferment or forbea r ance.

LOAN FEE
As provided by the Act, ED charges a loan fee for each
Direct PLUS Loan that I receive under this MPN. The loan fee is a percentage of the loan amount and will be deducted proportionately from each dis bursement of each of my loans. The specific l oan fee that I am charged will be shown on discl o sure statements that will be sent to me. ED may refund the loan fee only as permitted by the Act.

LATE CHARGES AND COLLECTION COSTS
ED may collect from me:

• A late charge of not more than six cents for each

dollar of each late payment if I do not make any part of a required installment payment within 30 days after it b e comes due, and

• Any other charges and fees that are permitted by

the Act related to the collection of my loans.

If I default on my loans, I will pay reasonable collection costs, plus court costs and atto r ney fees.

REPAYMENT
I must repay the full amount of the loans made under
th is MPN, plus accrued interest. I will repay each loan in monthly installments during a repayment period
that b e gins o n the day of the fi nal disbursement of
that loan. Payments that I make or that someone else makes on my behalf will be applied first to late charges and collection costs that are due, then to interest that has not been paid, and finally to the pri n cipal am ount of the loan, except during periods of repayment under the Income

- Based Repayment Plan or the Pay As You Earn Plan, when payments will be applied first to interest that is due, then to fees that are due, and then to the principal amount.

ED will provid e me with a choice of repayment plans. The Borrower’s Rights and Responsibilities Statement includes Information on these repayment plans.

ED will provide me with a repayment schedule that identifies my payment amounts and due dates. If I intent to repay m y loan but am unable to make my scheduled loan payments, ED may grant a forbearance that allows me to tempora r ily stop making payments, temporarily make a smaller payment amount, or extend the time for making payments.

ED may adjust payment dates on my loa ns or may grant me forbearance to eliminate a delinquency that remains even though I am making scheduled installment pa y ments.
I may prepay all or any part of the unpaid balance on my loan s at any time without penalty. If I do not specify which loans I am prepaying, ED will determine how to apply the prepayment in acco r dance with the

Act.
After I have repaid in full a loan made under this MPN, ED will send me a notice telling me that I have paid off my loan.

ACCELERATION AND DEFAULT
At ED’s option, the en tire unpaid balance of a loan made under this MPN will become immediately due and pa y able (this is called “acceleration”) if any one of
the follo w ing events occurs:

(1) I (or the student) do not enroll as at least a half

time student at the school that ce rtified my loan eligibility; (2) I do not use the proceeds of the loan solely for my or the student’s educational expenses; (3) I make a false represent a tion that results in my receiving a loan for which I am not eligible; or (4) I d e fault on the loan.

The following events will constitute a default on my
loan: (1) I do not pay the entire unpaid balance of the loan after ED has exercised its option under items (1), (2), and (3) above ; (2) I do not make installment payments when due,
and my failure to ma ke payments has persisted for at least 270 days; or (3) I do not comply with other terms of the loan, and ED reasonably concludes that I no longer intend to honor my repayment obligation.

If I default, ED may cap i talize all outstanding interest.
This wi ll increase the principal balance of my loan, and the full amount of the loan, including the new principal balance and colle c tion costs, will become immediately due and pa y able.

If I default, the default will be reported to national consumer reporting agen cies (credit bureaus) and will significantly and adversely affect my credit history. I
understand that a default will have additional a d verse consequences to me as explained in the Borrower’s Rights a nd Responsibilities Statement. Following default, I may be required to repay the loan (potentially including amounts in excess of the principal and interest) under the Income

- Based Repayment Plan or the Income

- Contingent Repayment
Plan in accordance with the Act.

LEGAL NOTICES

Any notice required to be given to me will be effective if it is sent by first class mail to the most recent address ED has for me, by electronic means to an address I have provided, or by any other method of notification that is permitted or required by applicable statute or regulation. I will immediately notify ED of a change of contact information or status as spec i fied in the Borrower’s Rights and Responsibil i ties Statement under “Information you must report to us after you receive your loan.”

If ED does not enforce or insist on complia nce with any term of this MPN, this d oes not waive any right of

ED. No provision of this MPN may be modified or

w aived except in writing by ED. If any provision of this MPN is determined to be unenforceable, the remaining prov i sions will remain in force.

I nformation about my loans will be submitted to the National Student Loan Data System (NSLDS). Information in NSLDS is accessible to schools, lenders, and guarantors for specific purposes as authorized by

ED.

NOTICE ABOUT SUBSEQUENT LOANS MADE U N DER

THIS M PN

This MPN authorizes ED to make multiple loans to me to pay my educational expenses or, if I am a parent borrower, the educational expenses of the student identified in Section C during the multi

- year term of this MPN, upon my request and upon the school ’s
annual certifi cation of my loan eligibility. If I have an

a d verse credit history and obtain an endorser to receive a Direct PLUS Loan, only one loan may be
made under this MPN.

At schools that are authorized to use the multi

- year feature of the MPN and choose to do so, subsequent loans may be made under this MPN for su b sequent academic years. At any school, subsequent loans may be made under this MPN for the same academic year.

I understand that no su b sequent loans will be made
under this MPN after the e arliest of the fo l lowing
dates:

(1) T he date ED or the school receives my written notice that no further loans may be made;

(2) O ne year after the date I sign the MPN or the date
ED receives the MPN if no disburs e ments are made under the MPN; or

(3) T en years after the date I sign the MPN or the date

ED r e ceives the MPN.Page 3 of 11 

## Direct PLUS Loan MPN ( continued )

SECTION G : IMPORTANT NOTICES

GRAMM

- LEACH

- BLILEY ACT NOTICE

In 1999, Congress enacted the Gramm

- Leach

- Bl iley Act (Public Law 106

- 102). This Act requir es that lenders provide certain information to their customers regarding the collection and use of nonpublic personal
information.

We disclose nonpublic personal information to third parties only as necessary to process and service your loan and as permit ted by the Privacy Act of 1974. See the Privacy Act Notice below. We do not sell or otherwise make available any information about you to any third parties for marketing purposes.

We protect the security and confidentiality of nonpublic personal informati on by implemen t ing the
followin g policies and practices. All physical access to the sites where nonpublic personal info r mation is
maintained is controlled and mo nitored by security personnel. Our computer systems offer a high degree
of resistance t o tamper ing and circumvention. These systems limit data access to our staff and contract
staff on a “need

- to

- know” basis, and control individual users’ ability to access and alt er records within the
systems. All users of these systems are given a unique

user ID wi th personal identifiers. All interactions by individual users with the systems are recorded.

PRIVACY ACT NOTICE
The Privacy Act of 1974 (5 U.S.C. 552a) requires that the following notice be provided to you:

The authority for collecting the requested info rmation from and about you is §451 et seq. of the Higher Education Act (HEA) of 1965, as amended (20 U.S.C.

1087a et seq. ) and the authorities for collecting and using your Social Security Number (SSN) are §§428B(f) and 484(a)(4) of the HEA (20 U.S.C. 1078

- 2(f) and

1091 (a)(4)) and 31 U.S.C. 7701(b). Participating in the William D. Ford Federal Direct Loan (Direct Loan) Program and giving us your SSN are voluntary, but you must provide the requested information, including your SSN, to participate.

The princi pal purposes for collecting the information on this form, including your SSN, are to verify your identity, to determine your eligibility to receive a loan or a benefit on a loan (such as a deferment, forbearance, discharge, or forgiveness) under the

Direct Loan Program, to permit the servicing of your loan(s), and, if it becomes necessary, to locate you and to collect and report on your loan(s) if your loan(s)
b e come delin quent or in default. We also use your SSN as an account identifier and to permit you t o access your account information electronically.

The information in your file may be disclosed, on a case by case basis or under a computer matching program, to third parties as authorized under routine uses in the appropria te systems of records notices. The routine uses of this information include, but are not limited to, its disclosure to federal, state, or local agencies, to private parties such as relatives, pr e sent and former employers, business and personal associates, to consumer reporting agencies, to financial and educational instit u tions, and to guaranty agencies in order to verify your identity, to determine your eligibility to receive a loan or a benefit on a loan, to permit the servicing or collection of your loan(s), to

e n force the terms of th e loan(s), to investigate possible fraud and to verify compliance with federal student financial aid pr o gram regulations, or to locate you if you become delinquent in your loan pa y ments or if you default. To provide default rate calculations,
disclosures m ay be made to guaranty agencies, to
financial and educational insti tutions, or to state agencies. To provide financial aid history information, disclosures may be mad e to educational institutions. To assist program administrators with tracking refunds
and cancellations, disclosures may be made to guaranty agencies, to financial and educational institutions, or to federal or state agencies. To provide a standardized method for educational institutions to efficiently submit student enrollment status,
disclosu res may be made to guaranty agencies or to
financial and educational institutions. To counsel you in repayment efforts, disclosures may be made to guaranty agencies, to financial and educational institutions, or to federal, state, or local agencies.

In t he event of litigation, we may send records to the Department of Justice, a court, adjudicative body, counsel, party, or witness if the disclosure is relevant
and necessary to the litigation. If this inform a tion, either alone or with other information, ind icates a potential violation of law, we may send it to the

appr o priate authority for action. We may send information to members of Congress if you ask them to help you with federal student aid questions. In circumstances involving employment complaints,

gr ievances, or disciplinary actions, we may disclose relevant records to adjudic ate or investigate the

issues. If provided for by a collective bargaining agreement, we may disclose records to a labor organization recogni zed under 5 U.S.C. Chapter 71.
Disclos ures may be made to our contractors for the purpose of performing any programmatic function
that r equires disclosure of records. Before making any such disclosure, we will require the contractor to

ma intain Privacy Act safeguards. Disclosures may also
be m ade to qualified researchers under Privacy Act safeguards.

FINANCIAL PRIVACY ACT NOTICE
Under the Right to Financial Privacy Act of 1978 (12

U.S.C. 3401

- 3421), ED will have access to financial records in your student loan file maintained in compliance with the administration of the Direct Loan Program.

PAPERWORK REDUCTION NOTICE

According to the Paperwork Reduction Act of 1995, no persons are required to respond to a collection of information unless it displays a curre ntly valid OMB
control number. The vali d OMB control number for
this inform ation collection is 1845

- 0068. The time required to complete this information collection is estimated to average 0.5 hours (30 minutes) per response, including the time to review instructions, search existing data source s, gather and maintain the data needed, and comple te and review the
information. If you have any comments concerning the accuracy of the time estimate(s) or suggestions
for i m proving the form, please write to: U.S. Department of Educati on, Washington, DC 2 0202

- 4537. If you have any comments or co n cerns regarding the status of your individual submission of this form, write directly to:

U.S. Department of Education Common Origination and Disbursement School
Relations Ce n ter Attn: Applicant Services

PO Box 900 2 Niagara Falls, NY 14302Page 4 of 11 

## Direct PLUS Loan MPN ( continued )

SECTION H: INSTRUCTIONS FOR COMPLETING THE MPN
ED will perform a credit check with a national consumer reporting agency before approving e ach loan. If you have an adverse credit history, you may not borrow a Direct PLUS Loan unless you :

(1) O btain an endorser who does not have an adverse credit history, or

(2) D ocument to ED’s satisfaction that there are extenuating circumstances related to the adverse credit history.

An endorser is someone who agrees to repay the loan if you do not do so. If you are a parent borrower, the endorser may not be the student for whom you are borrowing the
loan.

Print using a blue or bl ack ink ballpoint pen or type. Do not use pe n cil. Report all dates as
month

- da y

- year (mm

- dd

- yyyy). Use only numbers. Example: June 24, 1982 = 06

- 24

- 1982.
Some of the items in Sections A and C ma y have been completed for you. If so, review these items carefully to make sure that the infor mation is correct.
Cross out any information that is incorrect and enter the correct info r mation. Put your initials next to any information that you change.

SECTION A: BORROWER INFORMATION

IMPORTANT: Check the appropriate box to indicate whether you are a Graduate or Professional Student or a Parent of a Dependent Undergraduate Student before completing the Borrower Information section.

Item 1. Enter the two

- letter abbreviation for the state that issued your current driver’s license, followed by your dri ver’s license number. If you do not have a drive r’s license, enter N/A.

Item 2. Enter your nine

- digit Social Security Number.

Item 3. Enter your date of birth.

Item 4. Enter your preferred e

- mail address for receiving communications. You are not required to provide this information. If you do, we may use your e

- mail address to

commun i cate with you. If you do not have an e

- mail address or do not wish to provide one, enter N/A.

Item 5. Enter your last name, then your first name and middle initial. Enter your
permanent a d dress (number, street, apartment number, or rural route number and box
number , then city, state, zip code). If your mailing address is a post office box or general delivery, you must list both your street add ress and your mailing address. If you do not have a permanent street address or rural route number and box number, provide the physic al location of your residence. A temporary school address is not acceptable.

Item 6. Enter the area code and telephone number at which y ou can most easily be
reached. (Do not list your work telephone n umber here.) If you do not have a
tel e phone, enter N/A.

Item 7. Complete this item only if you are a parent borrower. Place a check in the box that correspon ds to your citizenship status. If you check box (2), enter your Alien Registration Number.

(1) “U. S. Citizen” includes citizens of the 50 states, the District of Columbia, Puerto Rico, the U.S. Virgin Islands, Guam, and the Northern Mariana Islands. “National”

i n cludes not only all U.S. citizens, but also citizens of American Samoa and Swain’s

I s land.

(2) “Permanent Resident” means someone who can provide documentation of this status from the U.S. Citizenship and Immigration Services (USCIS). “Other Eligible

Non

- Citizen” includes individuals who can provide documentation from the USCIS that they are in the United States for a purpose that is not te m porary, with the intention of becoming a citizen or permanent resident. This category includes refugees, persons granted asylum, Cuban

- Haitian entrants, temp o rary residents under the Immigration Reform and Con trol Act of 1986, and others.

NOTE: If your citizenship status is not one of the categories described above, you are not eligible to receive a Direct PLUS Loan.

Item 8. Enter your employer’s name and address (street, city, state, zip code). If you are
self

- employed, enter the name and address of your business. If you are not employed, enter N/A.

Item 9. Enter your work a rea code and telephone number. If you are self

- employed, enter the area code and telephone number of your business.

Item 10. Enter the requ ested information for two adults with different U.S. addresses who do not live with you and who have known you for at least three years. If you are a parent borrower, do not list the student for whom you are borrowing as a refe r ence. References who live o utside the United States are not accep t able. If a reference does not have a telephone number or e

- mail address, or does not wish to provide an e

- mail address, enter N/A. If you provide an e

- mail address for a reference, ED may use it to
communicate with th e reference.

SECTION B: SCHOOL INFORMATION

This section will be completed by the school that certifies your loan eligibility.

SECTION C: DEPENDENT UNDERGRADUATE STUDENT INFORMATION
Complete this section only if you are a parent borrowing for a dependent un dergraduate
student. Item 14. Enter the student’s last name, then first name and middle initial.

Item 15. Enter the student’s nine

- digit Social Security Number.

Item 16. Enter the student’s date of birth.

SECTION D: BORROWER REQUEST, CERTIFICATIONS, AUTHO RIZATIONS, AND
UNDERSTANDINGS

Items 17, 18, 19, and 20. Read these items car e fully.

SECTION E: PROMISE TO PAY

Item s 2 1, 22, 23, and 24

. Read these item s carefully.

Items 2 5 and 2 6

. Sign your full legal name, in blue or black ink, and enter the date you sig ned this MPN.

By signing this MPN, you:

(1) Acknowledge that you have read, understand, and agree to the terms and conditions of the MPN, including the Borrower Request, Certifications, Authorizations, and
Understan d ings in Section D and the accompanying Borrower’s Rights and Responsibilities Statement.

(2) Agree to repay in full all loans made under this MPN according to the terms and
conditions of the MPN.

## William D. Ford Federal Direct Loan Program Direct PLUS Loan Borrower’s Rights and Responsibilities Statement

Page 5 of 11 Important Notice: This Borrower’s Rights and Responsibilities Statement provides add i tional

in

formation about the terms and cond i tions of the loans you receive under the a c companying Federal Direct PLUS Loan (Direct PLUS Loan) Application and

Master Promi s sory Note (MPN). Please keep this Borrower’s Rights and Responsibil i ties Statement for

your re cords. You may request another copy of this Borrower’s Rights and Responsibilities Statement at any time by contacting your servicer.

Throughout this Borrower’s Rights and R e sponsibilities Statement, the words “we,” “us,” and “our” refer to the U.S. Depart ment of Ed u cation. The word “loan” refers to one or more loans made under the Direct

PLUS Loan MPN.

Note to Endorser: An endorser is someone who agrees to repay a Direct PLUS Loan if the bor rower does not repay the loan. If you are the endorser of a Direct PLUS Loan, you are not entitled to all of the same benefits as a Direct PLUS Loan borrower, and not all of the terms and conditions of a Direct PLUS Loan apply to you. However, you should read the entire Borrower’s Rights

a nd Responsibilities Statement. W e have highlighted important information that applies to you as an
endorser.

1. The William D. Ford Federal Direct Loan Program. The William D. Ford Federal Direct Loan (Direct Loan) Program includes the fo l lowing types of loans, known collectively as “Dir ect Loans”:

• Federal Direct Stafford/Ford Loans (D i rect Subsidized Loans)

• Federal Direct Unsubsidized Sta f ford/Ford Loans (Direct Unsubsidized Loans)

• Federal Direct PLUS Loans (Direct PLUS Loans)

• Federal Direct Consolidation Loans (D i rect Consolidation Loan s)

The Direct Loan Program is authorized by Title IV, Part D, of the Higher Education Act of 1965, as amended,

20 U.S.C. 1070 et seq (HEA).

Direct Loans are made by the U.S. Depar t ment of
Education. We contract with servicers to service, answer questions a bout, and pro cess payments on
Direct Loans. We will provide you with the address
and tel e phone number of your servicer after the school notifies us that the first disbursement of your
loan has been made.

2. Laws that apply to this MPN. The terms and
condit ions of loans made under this MPN are determined by the HEA and other applicable federal laws and regul a tions. These laws and regulations are referred to as “the Act” throughout this Borrower’s Rights a nd Responsibilities Statement. Under applicable state law, you may have certain borrower rights, remedies, and defenses in addition to those stated in the MPN and this Borrower’s Rights and Responsibilities Statement, except as preempted by
federal law.

NOTE: Any amendment to the Act that affects the

terms of this MPN will be applied to your loans in
accordance with the effective date of the
amendment.

3. Direct PLUS Loans. Direct PLUS Loans are loans made to graduate or professional students or to parents of dependent undergraduate students to help pay for the cost of ed u cation beyond high school. (“Dependent” is defined in the Act and is different from the definition used by the Internal Revenue Service.) To be eligible for a Direct PLUS Loan:

• You must be a graduate or professional student or the biological or adoptive parent of the dependent undergraduate student for whom you are bo r rowing. If you are the spouse of the dependent undergraduate student’s pa r ent, you may borrow a Direct PLUS Loan if your income and assets were reported on the Free Application for Federal St u dent Aid (FAFSA), or would be reported if a FAFSA were filed. • You, and if you are a parent borrower your child, must be a U.S. citizen or national, a permanent resident of the United States, or an otherwise eligible non

- citizen.

• You, and if you are a parent borrower your child, must not be in default on a federal education loan or owe an overpayment on a federal education grant, and must not have been convicted of, or have pled nolo contendere (no contest) or guilty to, a crime involving frau d in obtaining funds under the Act.

• You must not have an adverse credit history (unless you meet certain other r e quirements

– see below).

• You, or if you are a parent borrower your child,
must be enrolled at least half time at a school that partic i pates in the Direct PLUS Loan Program.

We will check your credit history each time y ou request a Direct PLUS Loan. If you have an adverse credit history, you may not borrow a Direct PLUS Loan unless you :

(1) D ocument to our satisfaction that there are extenuating c ircu m stances related to the adverse credit history, or

(2) O btain an endorser who does not have an
adverse cred it history.

An e n dorser is someone who agrees to repay the

Direct PLUS Loan if you do not do so. If you are a parent borrower, the endorser of a Direct PLUS Loan may not be the student for whom you are borrowing
the loan.

If you are a graduate or professional student, you must complete a Free Application for Federal Student Aid (FAFSA) and your school must determine your eligibility for the maxim um annual Direct Subsidized
Loan and Direct Unsubsidized Loan amounts before you apply for a Direct PLUS Loan.

If you have questions about your eligibility for a Direct PLUS Loan, contact the financial aid office at the school you attend or are planning to attend or, if you are a parent borrower, the school the student attends or is planning to attend.

4. About the MPN. You may receive more than one loan under this MPN over a period of up to 10 years to pay for your educational costs (if you are a graduate or professional student borrower) or for the educational
costs of the student identified in Section C of the MPN (if you are a parent borrower), as long as the school is
authorized to use the multi

- year feature of the MPN
and chooses to do so.

If the schoo l is not authorized to use the multi

- year feature of the MPN or chooses not to do so, or if you
do not want to receive more than one loan under this MPN, you must sign a new MPN for each loan that you

r e ceive. If you do not want to receive more than one
l oan under this MPN, you must notify the school or your servicer in writing.
If you are a parent requesting more than one Direct PLUS Loan to pay for the educational costs of more than one dependent undergraduate student, you must sign a separate MPN for ea ch student. You must also sign separate MPNs if you are a parent borrowing on behalf of a dependent undergraduate student and you also wish to obtain a Direct PLUS Loan to pay for your own attendance in a graduate or professional degree

program.

If we dete rmine that you have an adverse credit history and you obtain an endorser (see Item 3, “Direct PLUS Loans”), you may receive only one loan under this MPN. If you later want to receive another

Direct PLUS Loan, you must sign a new MPN. If you
receive a loan under this MPN without an endorser,
but are later determined to have an adverse credit history and obtain an endorser for a future Direct PLUS Loan, you will have to sign a new MPN for that
loan. 5. Direct PLUS Loans and eligibility for other financial
aid

. If you bo r row a Direct PLUS Loan, this may affect your eligib ility for other financial aid. Therefore, we suggest that you contact the school’s financial aid office to determine eligibility for grants, work

- study funds, or other forms of federal, state a nd private student aid that do not have to be repaid before you apply for a Direct PLUS Loan.

6. Use of your loan money. You may use the loan money you receive only to pay for your authorized educational expenses or, if you are a parent borrower,
for the s tudent’s authorized educational expenses for attendance at the school that determined you were eligible to receive the loan. Authorized expenses include the following:

• Tuition

• Room

• Board

• Institutional fees

• Books

• Supplies

• Equipment

• Dependent child care expe nses

• Transportation

• Commuting expenses

• Rental or purchase of a personal co m puter

• Loan fees

• Other documented, authorized costs

7. Information you must report to us after you receive your loan. You must notify your servicer and/or the fina n cial aid office at the school about certain changes.

Until you or (if you are a parent borrower) the student graduate or otherwise leave school, you must notify
the school’s financial aid office if:

• You change your address or telephone number;

• You change your name (for exam ple, maiden name to married name);

• You or (if you are a parent borrower) the student

--

• Do not enroll at least half time for the loan

period certified by the school, or

• Do not enroll at the school that determined you

were eligible to r e ceive the loan;

• You or (if you are a parent borrower) the student stop attending school or drop below half

- time enrollment;

• You or (if you are a parent borrower) the student transfer from one school to another school; or

• You or (if you are a parent borrower) the student

gradu ate.
You must also notify your servicer if any of the above events occur at any tim e after you receive your loan. In addition, you must notify your servicer if you:

• Change your employer, or your e m ployer’s address or telephone number changes; or

• Have any o ther change in status that would affect your loan (for example, if you receive a deferment while you are unemployed, but you find a job and therefore no longer meet the eligibi l ity requirements for the deferment).

Note to Endorser: You must notify your ser vicer if you change your address, telephone number, name, or employer, or if your employer’s address or telephone number changes.

8. Amount you may borrow. For each ac a demic year, you may borrow up to

– but not more than

– the amount of your est i mated cost of attendance (if you are a graduate or professional student borrower) or the student’s estimated cost of attendance (if you are a parent borrower), minus the amount of any other
financial aid re ceived for that academic year. The
school determines the cos t of attendance using federal guid e lines. It is important not to borrow more than you can afford to repay, even if you are elig i ble
to borrow more.

9. Interest rate. The interest rate on a Direct PLUS
Loan is a fixed rate that is calculated in accordan ce with a formula specified in the Act

. The interest rate is

## William D. Ford Federal Direct Loan Program Direct PLUS Loan Borrower’s Rights and Responsibilities Statement

Page 6 of 11 calculated each year

. When the rate is calculated

, it applies to all Direct PLUS Loans for which the first disbursement is made on or after July 1 through June 30 of the following year. Different fixed interest rates may apply to separate loans made under this MPN depending on when the loan is first disbursed. The
maximum interest rate for Direct PLUS Loans will not
exceed 10.5%. We will notify you of the interest rate for each loan you receive in a disclosure statement that we send to you.

If you qualify under the Servicemembers Civil Relief Act, the interest rate on your loans obtained prior to military service may be limited to 6% during your military service. To receive this benefit, you must contact your servicer for information about the
documentatio n you must provide to show that you qualify.

Note to Endorser: You are eligible for the
reduced interest rate described above based on the borrower’s military service or your own military service, but only for a Direct PLUS Loan for which you signed an End orser Addendum prior to the earlier of the beginning date of the borrower’s military service or the beginning date of your military service.

10. Payment of interest. Except as provided below for borrowers who serve in the military, you are required
to pay the interest accrues on each Direct PLUS Loan you receive from the date the loan is first disbursed until it is repaid in full, including during periods of
deferment or forbearance.

No accrual of interest benefit for active duty service
members

Under the n o accrual of interest benefit for active duty service members, you are not required to pay the interest that accrues on any type of Direct Loan Program Loan first disbursed on or after October 1, 2008 during periods of qualifying active duty military

servi ce (for up to 6 0 months).

Interest capitalization

If you do not pay the interest as it accrues on a Direct PLUS Loan, as described above, we will add it to the unpaid principal amount of your loan. Th is is called “capitalization.” Capitalization i n creases the unpaid principal balance of your loan, and interest then

accrues on t he increased principal amount. We capitalize unpaid interest when you resume repayment after period s of deferment or forbearance. We may also capitalize unpaid interest that has

accr ued since the first disbursement of your loan when you enter repayment for the first time.

The chart that follows shows the difference in the total amount you would repay on a $15,000 Direct PLUS Loan if you pay the i n terest as it is charged during a 12

- mo nth d e ferment or forbearance period, compared to the amount you would repay if you do not pay the interest and it is capitalized.

If you pay the
interest as it

accrues... If you do not pay
the inte r est and it is capitalized...

Loan Amount $15,000 $15,000

Interest for 12
Months $1,575 (paid as accrued) $1,575 (unpaid and capitalized) Principal to be Repaid $15,000 $16,575

Monthly Payment $184 $203

Number of Payments 120 120

Total Repaid $22,077 $24,396

The example in the chart above shows payments

ma de under the Standard Repayment Plan at an interest rate of 10.5% (the maximum interest rate for a Direct PLUS Loan). In this exa m ple, you would pay $19 less per month and $2,319 less altogether if you pay the interest as it is charged during a 12

- month
de ferment or forbea r ance period. You may be able to claim a federal income tax deduction for interest paym ents you make on Direct

Loans. For further information, refer to IRS Publication 970, which is available at http://www.irs.ustreas.gov.

11. Loan fee

. Fo r each Direct PLUS Loan you receive under this MPN, we charge a loan fee that is a percentage of the principal amount of each loan

. This fee will be subtracted pr o portionately from e ach disbursement of your loan. The loan fee will be shown
on a discl o sure statement that we send to you.

12. Repayment incentive programs. A repayment incentive is a benefit that we offer to encourage y ou to repay your loan on time. The repayment incentive

pr o gram described below may be available to you.

Interest Rate Reductio n for Automatic Withdrawal of Payments
Under the automatic withdrawal option, your bank automatically deducts your monthly loan payment from your checking or savin gs account and sends it to

us. Automatic withdrawal helps to ensure that your
payments are ma de on time. In addition, you receive a 0.25% interest rate reduction while you repay under
th e automatic withdrawal option. Your servicer will provide you with information about the automatic withdrawal option. You can also get the information

on your serv icer’s web site , or by calling your servicer.
Your servicer’s web site a d dress and toll

- free telephone number are pr o vided on all correspondence that your servicer sends you.

13. Disbursement (how your loan money will be paid out). Generally, the school wi ll disburse (pay out) your loan money in more than one installment, usually at the beginning of each academic term (for exa m ple, at the beginning of each semester or qua r ter). If the
school does not use academic terms or does not have
academic terms that m eet certain requirements, it will generally disburse your loan in at least two installments, one at the beginning of the period of study for which you are receiving the loan, and one at the midpoint of that period of study

. The school
determines the schedu le for disbursing your loan money in accordance with the Act.

The school may disburse some or all of your loan money by crediting it to your account at the school (if you are a graduate or professional student borrower)
or to the student’s account at the s chool (if you are a parent borrower), or may give it to you directly by
check or other mea ns. Your servicer will notify you in writing each time the school disburses part of your loan money.

If you are a graduate or professional student and have not previo usly received a Direct PLUS Loan or a Federal PLUS Loan under the Federal Family Education Loan (FFEL) Program, you must receive entrance counseling before your school can make the fi rst disbursement of your loan. Your school will tell you if

entrance coun seling is required, and will provide instructions for completing entrance counseling.

If the school credits your loan money to your or the
student’s account and the amount credited is more than the amount of the tuition and fees, room and board, and other autho r ized charges, the excess
amount is called a credit balance.

Unless you authorize the school to hold the credit balance for you, the school must pay you the credit balance within the following timeframes:

• If the credit balance occurs after the first d ay of class of a payment period (the school can tell you this date), the school must pay you the credit balance no later than 14 days after the
date the balance occurs.

• If the credit balance occurs on or before the first day of class of a payment period, t he school must pay you the credit ba l ance no later than 14 days after the first day of class of the payment period.

If you are a parent borrower, you may authorize the school to pay the credit balance to the student. 14. Canceling your loan. Before your lo an money is disbursed, you may cancel all or part of your loan at

any time by notifying the school. After your loan money is di s bursed, there are two ways to cancel all or part of your loan:

• You may notify the school (within certain timeframes). If the sch ool obtains your written confirmation of the types and amounts of Title IV loans that you want to receive for an award year before crediting loan money to your or the student’s account at the school, you may tell the school that you want to cancel all or p art of that loan within 14 days after the date the school notifies you of your right to cancel all or part of the loan, or by the first day of the school’s payment period, whichever is later (the school can tell you the first day of the payment period).

If the school does not obtain your written confirmation of the types and amounts of loans you want to receive before crediting the loan money to your or the student’s account, you may cancel all or part of that loan by informing the school within 30 days o f the date the school notifies you of your right to cancel all or part of
the loan.

If you ask the school to cancel all or part of your loan within the timeframes described above,
the school will return the cancelled loan amount

to us. If you ask the sch ool to cancel all or part of your loan outside the timeframes described above, the school may process your ca n cellation request, but it is not required to do so.

• You may return all or part of your loan to us. Within 120 days of the date the school
disburse s your loan money (by crediting the loan money to your or the student’s account at the school, by paying it directly to you, or both), you may cancel all or part of your loan by returning all or part of the loan money to us. Contact your servicer for guid ance on how and where to return your loan money.

You do not have to pay interest or the loan fee on the part of your loan that is cancelled or returned within the timeframes described above. We will adjust your loan amount to eliminate any interest, loan f ee, and rebate amount that applies to the amount of the loan
that is cancelled or returned.

15. Repaying your loan. The repayment period for each Direct PLUS Loan made under this MPN begins
on the date of the final di s bursement for that loan.
This means t hat the repayment period for each loan you receive under this MPN will begin on a different date. Unless you receive a deferment or forbearance (see Item 21), your first payment on each loan will be due within 60 days of the final disbursement of that
loan . Your servicer will notify you of the date your first payment is due.

You must make payments on your loan even if you do not receive a bill or repayment notice.

You must repay all of your Direct Loans under the same repayment plan, unless you want to repay your loans under the Income

- Based Repayment (IBR), the Pay As You Earn, or the Income Contingent Repayment (ICR) plan and you have other types of Direct Loans that may not be repaid under those plans. In that case, you may select the IBR, Pay As You Earn, or ICR plan for the loans that are eligible for repayment under those plans, and may select a different repayment plan for the loans that may not be repaid under IBR, Pay As You Earn, or ICR

. You may choose one of the following repa y ment plans

to re pay your Direct PLUS Loan:

Standard Repayment Plan

Under this plan, you will make fixed monthly

pa y ments and repay your loan in full within 10 years (not including periods of defe r ment or forbearance)
from the da te the loan entered repayment. Your
payments must be at least $50 a month ($600 a year)

## William D. Ford Federal Direct Loan Program Direct PLUS Loan Borrower’s Rights and Responsibilities Statement

Page 7 of 11 and will be more, if necessary, to repay the loan within the required time period.

Graduated Repayment Plan

Under this plan, you will usually make lower payments at first, and your payments will gradually increas e over time. You will repay your loan in full within 10 years (not including periods of deferment or forbearance)
from the da te the loan entered repayment. No single payment will be more than three times greater than any other payment.

Extended Repayment Plan

You are eligible for this plan only if (1) you have an outstanding balance on Direct Loan Program loans that exceeds $30,000, and (2) you had no outstanding balance on a Direct Loan Program loan as of October 7, 1998 or on the date you obtained a Dir ect Loan Program loan after October 7, 1998.

Under this plan, you will repay your loan in full over a period not to exceed 25 years (not including periods of deferment or forbearance) from the da te the loan entered repayment. You may choose to make fixed

m onthly payments or graduated monthly payments that start out lower and gradually increase ove r time. Your payments must be at least $50 a month ($600 a year) and will be more, if necessary, to repay the loan within the required time period.

The following additional repayment plans are available to graduate and professional student Direct PLUS Loan borrowers (parent Direct PLUS Loan borrowers may not repay their loans under these plans):

Income

- Based Repayment (IBR) Plan

Under the IBR Plan, your monthly pa yment amount is generally 15% of your annual discretionary income, divided by 12. Discretionary income for this plan is the difference between your adjusted gross income and 150% of the poverty guideline amount for your state of residence and family size. If you are married and file a joint federal income tax return, the income used to determine your IBR Plan payment amount will be the combined adjusted gross income of you and your

spouse.
To initially qualify for the IBR Plan and to continue to make payme nts that are based on your income, the amount you would be required to pay on your eligible student loans under the IBR Plan (as described above) must be less than the amount you would have to pay under the Standard Repayment Plan. If your IBR Plan
payment amount is less than the amount you would have to pay under the Standard Repayment Plan, you are considered to have a “partial financial hardship.”

If you are married and file a joint federal income tax return, the loan amount we use to determine whether you have a partial financial hardship will include your eligible loans and your spouse’s eligible loans.

While you are repaying under the IBR Plan, you must annually provide documentation of your income and certify your family size so that we may determin e whether you continue to have a partial financial hardship. Your monthly payment amount may be adjusted annually based on the updated income and family size information that you provide. If we determine that you no longer have a partial financial hardship , you may remain on the IBR Plan, but your monthly payment will no longer be based on your income. Instead, your monthly payment will be what you would be required to pay under the Standard Repayment Plan, based on the amount you owed on your eligible loan s at the time you entered the IBR
Plan.

Under the IBR Plan, if your loan is not repaid in full after you have made the equivalent of 25 years of qualifying monthly payments and at least 25 years have elapsed, any remaining loan amount will be forgiven. Yo u may have to pay federal income tax on the loan amount that is forgiven.

Pay As You Earn Plan

Under the Pay As You Earn Plan, your monthly payment amount is generally 10% of your annual discretionary income, divided by 12. Discretionary income for this pl an is the difference between your adjusted gross income and 150% of the poverty guideline amount for your state of residence and family size. If you are married and file a joint federal income tax return, the income used to determine your Pay As You Earn P lan payment amount will be the combined adjusted gross income of you and your

spouse.
The Pay As You Earn Plan is available only to new borrowers. You are a new borrower for the Pay As You
Earn Plan if:

(1) You had no outstanding balance on a Direct

Loan P rogram or FFEL Program loan as of October 1, 2007, or you have no outstanding balance on a Direct Loan Program or FFEL Program loan when you obtain a new loan on or after October 1, 2007,
and

(2) You receive a disbursement of a Direct Subsidized Loan, Dire ct Unsubsidized Loan, or student Direct PLUS Loan (a Direct PLUS Loan made to a graduate or professional student) on or after October 1, 2011, or you receive a Direct Consolidation Loan based on an application received on or after October 1, 2011. However, you are not considered to be a new borrower for the Pay As You Earn Plan if the Direct Consolidation Loan you receive repays loans that would make you ineligible under part (1) of this definition.

In addition to being a new borrower, to initially qualify for the Pay As You Earn Plan and to continue to make payments that are based on your income, the amount you would be required to pay on your eligible student loans under the Pay As You Earn Plan (as described above) must be less than the amount you would have to pay under the Standard Repayment Plan. If your Pay As You Earn Plan payment amount is less than the amount you would have to pay under the Standard Repayment Plan, you are considered to have a “partial financial hardship.”

If you are married and f ile a joint federal income tax return, the loan amount we use to determine whether you have a partial financial hardship will include your eligible loans and your spouse’s eligible loans.

While you are repaying under the Pay As You Earn Plan, you must annu ally provide documentation of your income and certify your family size so that we may determine whether you continue to have a partial financial hardship. Your monthly payment amount may be adjusted annually based on the updated income and family size info rmation that you provide. If we determine that you no longer have a partial financial hardship, you may remain on the Pay As You Earn Plan, but your monthly payment will no longer be based on your income. Instead, your monthly payment will be what you woul d be required to pay under the Standard Repayment Plan, based on the amount you owed on your eligible loans at the time you entered
the IBR Plan.

Under the Pay As You Earn Plan, if your loan is not repaid in full after you have made the equivalent of 20

ye ars of qualifying monthly payments and at least 20 years have elapsed, any remaining loan amount will be forgiven. You may have to pay federal income tax on the loan amount that is forgiven.

Income Contingent Repayment (ICR) Plan

Under this plan, your mont hly payment amount will be either 20% of your discretionary income or a percentage of what you would repay under a Standard Repayment Plan with a 12

- year repayment period, whichever is less. Discretionary income for this plan is the difference between your adjusted gross income and the poverty guideline amount for your state of residence and family size. If you are married and file a joint federal income tax return, the income used to determine your ICR Plan payment amount will be the combined adjusted gros s income of you and your

spouse. Until we obtain the information needed to calculate your monthly payment amount, your payment will equal the amount of interest that accrues monthly on your loan unless you request a
forbearance.

While you are repaying un der the ICR Plan, you must annually provide documentation of your income and certify your family size. Your monthly payment amount may be adjusted annually based on the updated income and family size information that you provide.

Under the ICR Plan, if you r loan is not repaid in full after you have made the equivalent of 25 years of qualifying monthly payments and at least 25 years have elapsed, any remaining loan amount will be forgiven. You may have to pay federal income tax on
the loan amount that is for given.
Additional repayment plan information

If you are a graduate or professional student, these repayment plans will be explained in more detail during your exit counseling session.

Under each plan, the number or amount of payments may need to be adjuste d to reflect capitalized interest and/or new loans made to you.

If you can show to our satisfaction that the terms and conditions of the above repayment plans are not adequate to meet your exceptional circumstances, we may provide you with an alternative repayment plan.

If you do not choose a repayment plan, we will place you on the Standard Repayment Plan.

You may change repayment plans at any time after

you have begun repaying your loan. However, you may not change to a different repayment plan that has a maximum repayment period of less than the number of years your loan has already been in repayment, except that you may change to the IBR Plan, the Pay As You Earn Plan, or the ICR Plan at any time. There is no penalty if you make loan payments before the y are due, or pay more than the amount due each month.

Note to Endorser: If you are making payments on the borrower’s Direct PLUS Loan, you may request a change of r e payment plans by contacting your servicer.

We apply your payments and prepayments made
und er any repayment plan other than the IBR Plan and the Pay As You Earn Plan in the following order: (1) late charges and collection costs, (2) outstanding interest, and (3) outstanding principal.

We apply your payments and prepayments made
under the IBR Pl an or the Pay As You Earn Plan in the following order: (1) interest, (2) late fees and collection costs, and (3) outstanding principal.

When you have repaid a loan in full, your servicer will send you a notice telling you tha t you have paid off your loan. You should keep this notice in a safe place.

16. Transfer of loan. We may transfer one or all of your loans to another servicer without your consent. If the address to which you must send payments or direct communications changes, we will notify you of
the new servicer’s name, address and telephone number, the effective date of the transfer, and the date when you must begin sending payments or directing co mmunications to that servicer. Transfer of a loan to a different servicer does not affect your rights a nd responsibilities under that loan.

17. Late charges and collection costs. If you do not make any part of a payment within 30 days after it is due, we may req uire you to pay a late charge. This charge will not be more than six cents for each dollar
of e ach late paymen t. If you do not make payments as scheduled, we may also require you to pay other charges and fees involved in collecting your loan.

18. Demand for immediate repayment. The entire unpaid amount of your loan becomes due and payable (this is c alled “acceleration”) if you:

• Receive loan money, but you or the student for whom you obtained the loan do not e n roll at
least half time at the school that determined you were eligible to receive the loan;

• Use your loan money to pay for anything other
than expenses related to your or the st u dent’s

## William D. Ford Federal Direct Loan Program Direct PLUS Loan Borrower’s Rights and Responsibilities Statement

Page 8 of 11 education at the school that d e termined you were eligible to receive the loan;

• Make a false statement that causes you to receive a loan that you are not eligible to receive; or

• Default on your loan.

19. Defaulting on your loan. Default (failing to repay your loan) is defined in detail in the Terms and

C onditions section of your MPN (Section F). If you
default:

• We will require you to immediately repay the entire unpaid amount of your loan.

• We may sue you, take all o r part of your federal tax refund or other federal pa y ments, and/or garnish your wages so that your employer is required to send us part of your salary to pay off your loan.

• We will require you to pay reasonable collection fees and costs, plus court costs and attorney
fees.

• You will lose eligibility for other federal student
aid and assistance under most federal benefit

programs.

• You will lose eligibility for loan defe r ments.

Note to Endorser: I f the borrower d e faults on the loan, and you do not make paymen ts on the loan, you may also be subject to the actions
described above.

• We will also report your default to national consumer reporting agencies (see Item 20, “Consumer reporting agency notification”). This will harm your credit history and may make it
dif ficult for you to obtain credit cards, home or car loans, or other forms of consumer credit.

20. Consumer reporting agency notification. We will

r e port information about your loan to national consumer reporting agencies (commonly known as “credit bureaus”) on a regular basis. This information will include the disbursement dates, amount, and repayment status of your loan (for exa m ple, whether you are current or d elinquent in making payments).
Your loan will be identified as an education loan.

If you default on a loan, we will also report this to

nationa l consumer reporting agencies. We will notify you at least 30 days in advance that we plan to report default information to a consumer reporting agency unless you resume making payments on the loan
within 30 d a ys of the date of the notice. You will be given a chance to ask for a review of the debt before we report it.

If a consumer reporting agency contacts us regarding obje c tions you have raised about the accuracy or completeness of any information we have repo rted, we are required to provide the agency with a prompt

response.

Note to Endorser: If the borrower of a Direct PLUS Loan becomes delinquent in making payments or defaults on the loan, we may also report your name to consumer reporting agencies in connec tion with the delinquent or
defaulted loan.

21. Deferment and forbearance (postpo n ing payments).

If you meet certain requirements, you may receive a
deferment that allows you to temp o rarily stop m aking payments on your loan. If you cannot make your
schedul ed loan pa y ments, but do not qualify for a deferment, we may give you a forbearance

. A forbearance allows you to temporarily stop making

pa y ments on your loan, temporarily make smaller payments, or extend the time for making pa y ments.
Deferment

You may rec eive a deferment:

• While you are enrolled at least half time at an eligible school;

• During the 6

- month period after you cease to be enrolled at least half time; • While the student for whom you obtained a
Direct PLUS Loan is enrolled at least half time at

an eligible school;

• During the 6

- month period after the student for whom you obtained a loan ceases to be enrolled at least half time;

• While you are in a full

- time course of study in a grad u ate fellowship program;

• While you are in an approved full

- time
rehabi litation program for individuals with disabilities;

• While you are unemployed (for a maximum of three years; you must be diligently seeking, but unable to find, full

- time employment);

• While you are experiencing an economic hardship (i n cluding Peace Corps s ervice), as
defined in the Act (for a maximum of three years);

• While you are serving on active duty during a war or other military operation or national emergency or performing qualifying National Guard duty during a war or other military operation or nat ional emergency and, if you were serving on or after October 1, 2007, for an
additional 180

- day period following the demobilization date for your qualifying service;

or

• If you are a member of the National Guard or other reserve component of the U.S. Armed forces (current or retired) and you are called or ordered to active duty while you are enrolled at least half time at an eligible school or within 6 months of having been enrolled at least half time, during the 13 months following the conclusion of your ac tive duty service, or until you return to enrolled student status on at least
a half

- time basis, whichever is earlier.

You may be eligible to receive additional d e ferments if, at the time you received your first Direct Loan, you had an outstanding balance on a loan made under the

FFE L Program before July 1, 1993. If you meet this requirement, contact your servicer for information about additional deferments that may be available.

You may receive a deferment while you are enrolled in
school on at least a hal f

- time basis (and, if you are a graduate or professional student, during the 6

- month period after you cease to be enrolled at least half time) if (1) you submit a deferment request form to your servicer along with documentation of your eligibility for the deferment, or (2) your servicer receives information from the school you are attending that indicates you are e n rolled at least half

time. If your servicer processes a deferment based on information received from your school, you will be
notified of the de ferment and will have the option of canceling the d e ferment and continuing to make payments on your loan.

For all other deferments, you (or, for a deferment based on active military duty or qualifying National Guard duty during a war or other military op eration or national emergency, your representative) must submit a deferment request form to your servicer, along with documentation of your eligibility for the deferment. In certain circumstances, you may not be required to provide documentation of your el igibility if your servicer confirms that you have been granted the
same deferment for the same time period on a FFEL Program loan. Your servicer can provide you with a deferment request form that explains the elig i bility and documentation requirements for the type of deferment you are requesting. You may also obtain deferment request forms and information on deferment eligibility requir e ments from your
servicer’s web site.

If you are in default on your loan, you are not eligible
for a deferment.

You are re sponsible for paying the interest on a Direct PLUS Loan during a period of defe r ment.

Note to Endorser: You are not eligible to receive
a deferment. Forbearance

We may give you a forbearance if you are temporarily unable to make your scheduled loan payment s for reasons including, but not limited to, financial hardship and illness.

We will give you a forbearance if:

• You are serving in a medical or dental internship or residency program, and you meet specific requirements;

• The total amount you owe each month for all of the student loans you r e ceived under Title IV of
the Act (Direct Loan Program loans, FFEL Program loans, and Federal Perkins Loans) is 20% or more of your total monthly gross income (for a maximum of three years);

• You are serving in a national service position for which you receive a national service award under the National and Community Service Trust Act of 1993. In some cases, the interest that accrues on a qualified loan during the service period will be paid by the Corporation
for National and Community Service;

• You qualify for partial repayment of your loans under the Student Loan Repayment Program, as administered by the Department of Defense; or

• You are called to active duty in the U.S. Armed

Forces.
To request a forbe arance, contact you r servicer. Your servicer can provide you with a forbea r ance request form that explains the eligibility and documentation requirements for the type of f orbearance you are requesting. You may also obtain forbearance request
forms and information on forbeara nce eligibility requir e ments from your servicer’s web site.

Under certain circumstances, we may also give you a forbearance without requiring you to subm it a request
or documentation. These circumstances include, but are not limited to, the following:

• Peri ods necessary for us to determine your eligibility for a loan discharge;

• A period of up to 60 days in order for us to collect and process documentation r e lated to your request for a deferment, forbearance, change in repayment plan, or consolidation loan (w e do not capita l ize the interest that is charged during this period);

• Periods when you are involved in a mil i tary mobilization, or a local or national emergency;

or

• Periods necessary to align repayment of Direct PLUS Loans that do not qualify for a 6

- mont h
post

- enrollment deferment with other Direct PLUS Loans that qualify for this deferment, or
with Direct Subsidized Loans and Direct
Unsubsidized L oans that have a grace period. Contact your servicer for more information.

You are responsible for paying t he interest on a Direct PLUS Loan during a period of fo r bearance.

Note to Endorser: Although you are not eligible to receive a deferment, you may receive a
forbearance.

22. Discharge (having your loan forgiven). We will discharge (forgive) your loan under certain
circumstances.

Loan discharge due to death, bankruptcy, total and permanent disability, school closure, false certification, identity theft, or unpaid refund

• You die, or the student for whom you borrowed

a Direct PL US Loan dies. Your servicer must receive acceptable documentation of your or
the student’s death.

• Your loan is discharged in bankruptcy. However, Direct Loans and other federal student loans are not automatically discharg ed if you file for bankruptcy. In order to have your loan discharge d in bankruptcy, you must prove to the bankruptcy court that repa y ing the loan
would cause undue har d ship.

## William D. Ford Federal Direct Loan Program Direct PLUS Loan Borrower’s Rights and Responsibilities Statement

Page 9 of 11 • You become totally and permanently disabled (as defined in the Act) and meet certain other requirements.

In certain cases, we may also discharge all or a portion of your loan if:

• You (or the student) could not complete a program of study because the school closed;

• Your loan eligibility was falsely certified by the school;

• A loan in your name was falsely certified as a result of a crime of identity thef t; or

• The school did not pay a refund of your loan money that it was required to pay under federal regulations.

Public Service Loan Forgiveness

A public service loan forgiveness program is also
available. Under this program, we will forgive the remaining balance due on your eligible Direct Loan Program loans after you have made 120 payments on those loans (after October 1, 2007) under certain repayment plans while you are employed full

- time in certain public service jobs.

Additional loan discharge informat ion

The Act may provide for certain loan forgiveness or repayment benefits on your loans in addition to the
benefits described above. If other forgiveness or repayment options become available, your servicer will provide information about these benefits.

T o request loan discharge or forgiveness based on one of the conditions described above (except for discharges due to death or bankruptcy), you must complete an application that you may obtain from your servicer.
In some cases you may assert, as a defense a gainst collection of your loan, that the school did something wrong or failed to do somet hing that it should have
done. You can make such a defense against repayment only if the school’s act or omission directly relates to your loan or to the educational s ervices that the loan was intended to pay for, and if what the school did or did not do would give rise to a legal cause of action against the scho ol under applicable
state law. If you believe that you have a defense against repayment of your loan, contact your servicer.
We do not guarantee the quality of the ac a demic programs provided by schools that participate in federal student financial aid pr o grams. You must repay your loan even if you or (if you are a parent borrower) the student do not complete the educ a tion paid for with the loan, are unable to obtain employment in the field of study for which the school provided training, or are dissatisfied with, or do not receive, the education paid for with the loan.

Note to Endorser: If we discharge the full

am ount of the borrower’s loan for any of the conditions described above, you are no longer obligated to make any payments on the loan. However, if a loan is reinstated after a discharge, you will again be obligated to make payments on the loan if the borrowe r does not make payments.

23. Loan consolidation. A Direct Consolid a tion Loan Program is available that allows you to consolidate one or more of your eligible federal education loans into a new loan with a single monthly payment, and may allow you to ext end the period of time that you have to repay your loans. This may make it easie r for you to repay your loans. However, you will pay more interest if you extend your repa y ment period through consolidation, since you will be making payments for a
lo nger per iod of time. Contact your servicer for more
information about loan consolid a tion.

Note to Endorser: You are not eligible to apply for a Direct Consolidation Loan to repay a Direct PLUS Loan for which you are the endorser.

24. Department of Defense and othe r fe d eral agency loan repayment. Under certain circumstances, military personnel may have their federal education loans repai d by the Secretary of Defense. This benefit is offered as part of a recruitment program that does not apply to individuals based on their previous military service or to those who are not eligible for
enlist ment in the U.S. Armed Forces. For more information, contact your local military service
recruitment office.

Other agencies of the federal government may also
offer student loan re payment programs as an
incentive to recruit and retain employees. Contact the agency’s human resources d e partment for more
information.

## William D. Ford Federal Direct Loan Program Direct PLUS Loan Borrower’s Rights and Responsibilities Statement

Page 10 of 11 Repaying Your Loans: Standard, Graduated, and Extended Repayment Plans

Debt Standard Repayment Plan (10

- year repayment period) Graduated Repayment Plan (10

- year repayment period) Extended

- Fixed Repayment Plan (25

- year repayment period) Extended

- Graduated Repayment Plan (25

- year repayment period)

Payment Total Paid Minimum Payment Maximum Payment Total Paid Pay ment Total Paid Minimum Payment Maximum Payment Total Paid

$10,000 $135 $16,192 $88 $227 $17,865 N/A N/A N/A N/A N/A

$20,000 $270 $32,384 $175 $453 $35,731 N/A N/A N/A N/A N/A

$30,000 $405 $48,577 $263 $680 $53,597 N/A N/A N/A N/A N/A

$40,000 $540 $64 ,769 $350 $906 $71,463 $378 $113,302 $350 $457 $119,720

$50,000 $675 $80,961 $438 $1,133 $89,329 $472 $141,627 $438 $571 $149,662

$60,000 $810 $97,153 $525 $1,359 $107,195 $567 $169,953 $525 $686 $179,585

$70,000 $945 $113,345 $613 $1,586 $125,061 $661 $198,278 $613 $800 $209,518

$80,000 $1,079 $129,538 $700 $1,812 $142,927 $755 $226,604 $700 $914 $239,457

$90,000 $1,214 $145,730 $788 $2,039 $160,793 $850 $254,929 $788 $1,028 $269,396

$100,000 $1,349 $161,922 $875 $2,265 $178,658 $944 $283,255 $875 $1 ,143 $299,328

Notes:

• All estimated payments shown in the chart above are calculated using a fixed interest rate of 10.5%, the maximum interest rat e for Direct PLUS Loans.

• For the Extended Repayment Plan, an entry of “N/A” means that you are not eligible for this plan based on the loan amount owed.

• You may use the Repayment Estimator at StudentLoans.gov to estimate payment amounts based on your actual loan debt.

Repaying Your Loans: IBR, Pay As You Earn, and ICR Plans

Income

- Based Repayment (IBR) Plan

Debt Starting income of $25,000 Starting income of $40,000 Starting income of $60,000

Initial Payment Final Payment Total Paid Time to Repay (Months) Initial Payment Final Payment Total Paid Time to Repay (Months) Initial Payment Final Payment Total Paid Time to Repay (Months)

$20,000 $97 $270 $63,753 299 N/A N/A N/A N/A N/A N/A N/A N/A

$40,000 $97 $538 $80,919 300 $285 $540 $100,466 223 $535 $540 $64,875 121

$60,000 $97 $538 $80,919 300 $285 $810 $174,605 300 $ 535 $810 $122,145 170

$80,000 $97 $538 $80,919 300 $285 $1,079 $187,524 300 $535 $1,079 $221,369 252

$100,000 $97 $538 $80,919 300 $285 $1,143 $188,307 300 $535 $1,349 $304,342 300

## William D. Ford Federal Direct Loan Program Direct PLUS Loan Borrower’s Rights and Responsibilities Statement

Page 11 of 11 Pay As You Earn Plan

Debt Starting income of $25,000 Starting inc ome of $40,000 Starting income of $60,000

Initial Payment Final Payment Total Paid Time to Repay (Months) Initial Payment Final Payment Total Paid Time to Repay (Months) Initial Payment Final Payment Total Paid Time to Repay (Months)

$20,000 $65 $260 $3 4,914 240 $190 $270 $38,069 154 N/A N/A N/A N/A

$40,000 $65 $260 $34,914 240 $190 $540 $84,019 240 $356 $540 $81,429 170

$60,000 $65 $260 $34,914 240 $190 $576 $84,514 240 $356 $810 $145,233 240

$80,000 $65 $260 $34,914 240 $190 $576 $84,514 240 $356 $9 97 $150,647 240

$100,000 $65 $260 $34,914 240 $190 $576 $84,514 240 $356 $997 $150,647 240

Income

- Contingent Repayment (ICR) Plan

Debt Starting income of $25,000 Starting income of $40,000 Starting income of $60,000

Initial Payment Final Payment Tota l Paid Time to Repay (Months) Initial Payment Final Payment Total Paid Time to Repay (Months) Initial Payment Final Payment Total Paid Time to Repay (Months)

$20,000 $168 $231 $59,894 300 $215 $245 $39,287 173 $245 $271 $34,295 133

$40,000 $225 $504 $120 ,218 300 $430 $490 $78,574 173 $490 $542 $68,589 133

$60,000 $225 $926 $151,474 300 $475 $786 $145,976 220 $734 $813 $102,884 133

$80,000 $225 $926 $151,474 300 $475 $1,225 $267,378 300 $809 $1,100 $147,913 148

$100,000 $225 $926 $151,474 300 $475 $1,55 9 $290,626 300 $809 $1,451 $227,523 194

Notes:

• For the IBR Plan, the Pay As You Earn Plan, and the ICR Plan, the estimated payment amounts shown in the charts above are cal culated based on an assumption that you are single (not married), do not have any children or anyone else in your household, and that your income will increase at a rate of 5% per year. In addition, the calculations use a fixed interest ra te of 10.5% (the maximum interest rate for Direct PLUS Loans) and assume that the Poverty Guideline s (calculated annually by the US Department of Health and Human Services) will increase at an annual rate of 3.3%.

• For the IBR Plan and the Pay As You Earn Plan, an entry of “N/A” means that you would not have a partial financial hardship b ased on the loan debt and starting income shown and therefore would not be eligible to initially select the plan.

• You may use the Repayment Estimator at StudentLoans.gov to evaluate your eligibility for the IBR and Pay As You Ear n plans, and to estimate your payment amounts under the IBR, Pay As You Earn, and ICR plans based on your actual loan debt, income, and family size.