William D. Ford Federal Direct PLUS Loan Program – Western International University

William D. Ford Federal Direct PLUS Loan Program

Western International University is now utilizing the William D. Ford Federal Direct Loan (Direct Loan) Program exclusively for PLUS loan borrowers. The Direct Loan Program provides loans to eligible borrowers to cover postsecondary education cost. You may complete a Direct Loan Program Master Promissory Note (eMPN) electronically by accessing this web page StudentLoans.gov.

Steps for applying for a PLUS Direct Loan:

  1. Log on to the Direct Loan website to complete the PLUS eMPN application process.
  2. The eMPN record will be sent to the University within 24 hours of completing the eMPN on the Direct Loan website.
    • Completing the eMPN application on the Direct Loan website authorizes the University to initiate the credit check with the Department of Education.
    • The credit decision will be sent to the University by the Department of Education.
    • The PLUS Loan cannot be awarded until all the steps have been completed.
PLUS Loan Information
Federal Default Fee 0%
Origination Fee 4%*
*Up-Front Interest Rebate
(Rebate applicable to origination fee)		 1.50%
To keep your up-front interest rebate, you must make all of your first 12 required monthly payments on time when your loan enters repayment.
Net Fees 2.50%
Total Fee if Amount Borrowed is $10,000 $250.00
Interest Rate 7.90%
Electronic Debit Account (EDA) Under the EDA repayment option, your bank automatically deducts your monthly loan payment from your checking or savings account.
You receive a 0.25 percent interest rate reduction while you repay under the EDA option.
Grace Period Borrower receives a six-month grace period on repayment on each Direct PLUS Loan, beginning the day after graduation or withdrawn status.
The first payment is due after your grace period ends.
Repayment Plan
Standard This plan allows you to make fixed month payments and repay your loan in full within 10 years (not including periods of deferment or forbearance) from the date the loan entered repayment. Your payment must be at least $50 a month and will be more, if necessary, to repay the loan within the required time period.
Graduated This plan will usually allow you to make lower payments at first, and your payments will gradually increase over time. You will repay your loan in full within 10 years (not including period of deferment or forbearance) from the date the loan entered repayment. No single payment will be more than three times greater than any other payment.
Extended You may choose this plan only if (1) you had no outstanding balance on a Direct Loan Program loan as of October 7, 1998 or on the date you obtained a Direct Loan Program loan on or after October 7, 1998, and (2) you have an outstanding balance on Direct Loan Program loans that exceeds $30,000. If you are eligible for and choose this plan, you will make monthly payments based on fixed annual or graduated repayment amounts and will repay your loan in full over a period not to exceed 25 years (not including periods of deferment and forbearance) from the date your loan entered repayment. Your payments must be at least $50 per month and will be more, if necessary, to repay the loan within the required time period. If your loan has a variable interest rate, we may need to adjust the number or amount of your payments to reflect changes in the interest rate.
Income Contingent Under this plan, your monthly payment amount will be based on your annual income (and that of your spouse if you are married), your family size, and the total amount of your Direct Loans. Once the information needed to calculate your monthly payment amount is obtained, your payment will equal the amount of interest that has accrued on your loan unless you request a forbearance. As your income changes, your payments may change. If you do not repay your loan after 25 years under this plan, the unpaid portion will be forgiven. You may have to pay income tax on any amount forgiven.
Income-Based (Effective July 1, 2009) Under this plan, your required monthly payment amount will be based on your income during any period when you have a partial financial hardship. The maximum repayment period under this plan may exceed 10 years. If you meet certain requirements over a specified period of time, you may qualify for cancellation of any outstanding balance on your loans.
The department reserves the right to modify the terms and conditions. The department will provide written notice in accordance with the effective date of the change.