The Master Promissory Note (MPN)
The MPN is a form used by all schools and borrowers
to simplify and streamline the loan application process for students.
All schools participating in the Federal Stafford Loan programs
are required to use the Master Promissory Note. For details and
the full text of the MPN, visit this website: http://www.edfund.com
What Are The Benefits of The MPN?
The Master Promissory Note provides many benefits including:
- A single promissory note may cover your borrowing needs for
your entire academic program.
- The loan application process is simplified.
- For second and subsequent loans, the turnaround time for disbursement
of your funds is faster because a new promissory note is not required
- Your instructions for deferment, repayment and capitalization
of interest will be consistent for all loans covered by the MPN.
What Is A Serial
The serial loan feature of the Master Promissory Note allows you
to use one note for multiple years. If you stay with the same lender
and use the multi-year (serial) feature, you will only have to sign
the MPN once. By accepting a Stafford Loan with your CSUF award
notification, each year's loan will be processed and added to your
How Do I Get the MPN?
When you accept all or part of the loan offered for the academic
year, CSUF will send your loan request to EdFund, the state guarantee
agency, for approval. EdFund will send you an email with instructions on completing your MPN online. You will need your federal PIN, used to sign the FAFSA, to sign the MPN.
How Long Is The MPN Valid?
Under the serial loan process, the MPN is valid for ten years from
the date you sign the note. You can use the MPN for any subsequent
loan within the ten-year time frame, as long as the lender issues
the first disbursement of a loan covered by the MPN within twelve
months of the date you sign the note and the first disbursement
of any subsequent loan is made within the ten-year time frame.
What About Repayment?
When you complete the borrower certification portion of the MPN,
you may indicate your preference for deferment of loan principal
and capitalization of interest on Unsubsidized Loans. The serial
MPN ensures that the repayment provisions for all loans included
in the MPN are aligned.
May I Begin Repayment Early?
You may make a payment to your lender of principal and/or interest
at any time, even if you indicated on the MPN that you wished to
defer interest payments until you are out of school.
What If I Decide to Transfer Schools?
You may borrow subsequent loans regardless of a change in school
or guarantor, provided that your new school is eligible to participate
in the serial (multi-year) MPN process.
What If I Decide to Change Lenders?
If you decide to
borrow from a different lender, you must complete a new MPN. If
you transfer to a school not authorized to use the serial feature,
you must complete and sign a new MPN for each academic year.
What Other Forms Are Required?
The Borrowers' Rights and Responsibilities form will be provided
with your MPN. You can print the Disclosure Statement when you sign your MPN electronically. The disclosure
statement is a reminder that you will be receiving a loan that must
The disclosure includes:
- Loan principal amount
- Origination fee
- Insurance premium fee
- Cumulative principal debt for loans made by your lender
- Actual interest rate
- The name and address of your lender
- Net amount of each scheduled disbursement
- Expected date of each disbursement