Most students enrolled at Alcorn State University choose to borrow to assist with their education financing. Your loan amount will be based on your eligibility by classification, cost of attendance budget, and other aid awarded which cannot create an over award. Please note loan requirements that are listed below. Additional information regarding Federal Direct loans may be found at http://www.studentloans.gov. To check your financial aid loan history, please click on www.nslds.ed.gov. 


Students may qualify for the Direct Subsidized Student Loan, and/or the Direct Unsubsidized Student Loan.  If stated on FAFSA that you are interested in being considered for a student loan you will automatically be awarded loan offers if you are eligible. NOTE: Loans must be accepted via BANNER ONLINE SERVICES online student portal. 


  • Subsidized Loan does not accrue interest until the student graduates or leaves school or drops below half-time enrollment.  
  • Unsubsidized Loan does accrue interest while the student is in school, but payment of the interest may be deferred until repayment or the student may choose to pay interest while in school in order to avoid “paying interest on interest”.  


Parents of dependent students can borrow a Direct PLUS Loan. PLUS loans are available to parents of dependent undergraduate students enrolled at least 6 hours in an eligible program. The Parent must apply for the credit based loan by completing the PLUS request process using the parent’s Federal pin number and identifying information. The parent borrower must be listed on the student’s processed FAFSA in order to be eligible to apply for the parent loan.  

  • You must be the student's biological or adoptive parent (or, the student's stepparent if his/her income is used in the EFC calculation.)  
  • You must be a U.S. citizen or eligible non citizen.  
  • You must have an acceptable credit history. A credit check will be performed during the application process.  

Graduate and professional degree students may borrow under the PLUS loan program up to their school's cost of attendance minus any other financial assistance, if eligible. Contact your Financial Aid Counselor for additional information regarding PLUS loans.

BEFORE RECEIVING A PLUS LOAN – THE BORROWER MUST SIGN A MASTER PROMISSORY NOTE. Misrepresentation through fraud and/or forgery crimes are punishable by law, and will be reported to the Department of Education for possible prosecution.  


Please adhere to the following deadlines: 

  • Fall Semester – Last day to request or accept a loan including increases is October 12th 
  • Spring Semester –  Last day to request or accept a loan including increases is February 8th
  • Summer -  Last day to request or accept a loan including increases are June 14 and July 15 


  • PIN/FAFSA: You will need a PIN (www.pin.ed.gov) to complete any online loan applications, counseling, or processing. You may also use your name, social security number and date of birth. Student must have a valid FAFSA on file prior to receiving a loan award.  
  • CLASS ATTENDANCE: You must enroll and attend 6 hours per semester to maintain eligibility for student loans (including private loans). If you drop below 6 hours, your loan will not be authorized to your account and you will be responsible for any balance owed to the University.  
  • ENTRANCE COUNSELING: MUST BE COMPLETED BY ALL ASU first-time borrowers and transfer students.  There is, also, a 30 day loan payment delay to first time student borrower accounts. Entrance Counseling informs you about your rights and responsibilities as a Direct Loan Borrower and can be done using the following link: http://www.studentloans.gov 
  • ADDITIONAL LOAN COUNSELING: It is highly recommended that students with a grade point average below 2.0 make an appointment with the Office of Financial Aid for additional counseling on the importance of receiving and repaying a loan. Please call 601-877-6190 to schedule an appointment if your GPA is below 2.0.  
  • MASTER PROMISSORY NOTE (eMPN) MUST BE COMPLETED BY ALL borrowers before loan funds will be paid to student accounts. THIS IS A LOAN AND MUST BE REPAID TO THE LENDER. To sign the MPN, please click on the following link: http://www.studentloans.gov.  
  • EXIT COUNSELING is a process that ALL student loan borrowers must do if they are graduating, transferring, or withdrawing from Alcorn State University. You are responsible for timely payment of your loans. Failure to comply with repayment obligations can cause you to have a negative credit rating. Online exit counseling can be done by clicking the following link: http://www.nslds.ed.gov/nslds_SA.  

If loan requirements (MPN/Entrance Counseling) are not fulfilled by the close of awarded term, your loan MAY be cancelled. You will be responsible for any balance owed to the university, if applicable. It is your responsibility to regularly monitor your loan status via Banner Online Services, and ASU email correspondences. 


What is the Master Promissory Note (MPN)?  

The MPN is a promissory note that can be used to make one or more loans for one or more academic years (up to 10 years). There are two types of MPNs in the Direct Loan Program: one for student loans and one for PLUS loans. Monitor your loan MPN expiration date to be sure that it remains current, and does not expire. 

If you are a student borrower, you will only sign one valid MPN for ASU student loans. It will be used for all of your Direct Subsidized Loans and Direct Unsubsidized Loans over multiple academic years throughout continuous enrollment. For example, if you enroll in college as a freshman and borrow under the Direct Loan Program for all years of study, you may be able to borrow under this one MPN for all years. 

If you are a parent borrower whose child is attending, you will only sign one valid MPN for accepted parent PLUS loans. It will be used for all of your Direct PLUS Loans for that particular child over multiple academic years throughout your child’s continuous enrollment.  

What is considered "Adverse Credit"?  Possible Conditions for a Denied Credit Check  

  • Bankruptcy (Chapters 7, 11, or 12 within the past 5 years)
    Voluntary surrender or Repossession within the last 5 years
  • Foreclosure proceedings started or Foreclosure within the last 5 years  
  • Deed in lieu of foreclosure  
  • Accounts currently 90 days or more delinquentNote: Accounts currently reported, as 90 days or more delinquent, which are over 5 years old since the last reported delinquency, are not considered adverse.  
  • Wage garnishment within the last 5 years  
  • Defaulted loan that has been claim paid  
  • Lease or contract on secured real estate or  County/State/Federal tax lien, within the past 5 years  

What are my options when I am declined?  

You can either obtain an endorser, which is essentially a cosigner, or you may choose to appeal the reason you were declined. You will receive an answer regarding your appeal within 7-10 business days of all required documentation for the appeal being received. For parent loans, the student may be eligible for additional unsubsidized loan in their name should you be declined.  

How much loan can I borrow?  

There are regulatory limits which will impact your overall loan award. Public Law 112-141 limits a “new student borrower” to receiving subsidized loans for 150% of the published length of the academic program in which he or she is enrolled. Student aggregate loan limit follows:  

Dependent Undergraduate  

Independent Undergraduate  

(And Dep. Undergrad whose parent can’t borrow PLUS)  

Graduate/ Professional Student  


(max $23,000 subsidized) 


(max $23,000 subsidized)  


(max $65,500 subsidized)  

Does my classification affect my loan amount?  

There are regulatory limits based on classification which will impact your loan award on a yearly basis. Student annual loan limit follows:   


 Dependent Undergraduate 

Independent Undergraduate 

(And Dep. Undergrad whose parent can’t borrow PLUS) 

Graduate/ Professional Student 



(max $3,500 subsidized) 


(max $3,500 subsidized) 

Up to $20,500 unsubsidized 

Each academic year  



(max $4,500 subsidized) 


(max $4,500 subsidized) 


and Beyond 


(max $5,500 subsidized) 


(max $5,500 subsidized)