What You Should Know
The Monthly Payment Plan (MPP) allows parents or guardians to pay basic fees over twelve months, rather than at the start of each semester. These seven, basic fees include tuition, room, board, residential college fee, class dues, undergraduate student government fee, and the optional student health plan.
MPPs are yearly plans; a new application is required for each academic year.
Note to Parents and Guardians:
Your MPP loan application must be received by the University no later than July 15 for the full academic year. Applications for spring only loans must be received no later than January 18. Applications for just the final spring semester for graduating seniors will not be accepted. The online application can be found here.
The maximum amount of the yearly loan is based on the actual basic fees for the academic year minus financial aid credited to your student’s account. You may apply for the maximum loan amount, or for a lower, fixed amount you choose. You will find these options on the MPP application.
The interest rate for this loan option is 2.25% for the 2013-2014 academic year. Interest is calculated on a daily basis on the outstanding disbursed balance.
Estimated MPP Payment Schedule: An Example
This schedule assumes a 12-month loan with a start date of September 1, 2013 and interest rate of 2.25%. This is an example. Your MPP bill will reflect the actual amount due.
If you’ve applied for the MPP by the deadline, the loan amount is credited to your student’s University account in two equal disbursements; on August 15 in advance of the fall semester, and on January 15 in advance of the spring semester.
Once your completed application is processed, student accounts will apply an anticipated credit to your student’s account. An email notification will be sent to the address you provided on your application with instructions on how to review and electronically sign your contract documents. If applying jointly, both parties are required to sign the promissory note. Once the documents are signed, the credit will be confirmed on your student’s account.
Due to federal regulations, participation in the Monthly Payment Plan depends on your confirmed review of the disclosure statements and the signing of the loan promissory note. If these documents are not signed, the application will be withdrawn, the anticipated credit previously applied to your student’s account will be canceled, and a late payment charge will be assessed on the student’s account as of the term bill deadline for semester payments.
A student may not be cleared for registration until the signed promissory note and September 1 payment is received.
Billing & Loan Repayment
You will receive a monthly MPP billing statement that is separate from the monthly billing statement for your student’s University account.
Princeton uses a billing service provider, Educational Computer Systems, Inc. (ECSI), who will provide you with monthly loan statements and information. This billing arrangement also allows us to provide you with the ability to make recurring or one-time electronic payments, sign up for electronic bills, and to view your payment and billing history online at any time.
Payment information and important login information will be provided on your MPP billing statement. We encourage you to pay by recurring automatic deduction. However, if you choose to pay by check, make your check payable to “Princeton University - 6A” and send it and the remittance portion of your statement to: Educational Computer Systems, Inc., 181 Montour Run Road, Coraopolis, PA 15108-9408.
The University does not accept credit cards, payments by phone, or post-dated checks as a form of MPP payment. A $25.00 fee will be assessed for any check or electronic payment request that is not honored by your bank.
Equal monthly payments under the plan are due September 1 through August 1. Interest will accrue at a rate of 4.875% on past due amounts.
Incidental charges and balances carried forward from the previous year are not covered under MPP loans. These charges appear on your student’s account bill and must be paid separately. You cannot cover eating club charges with your MPP.
Student Account Credit Balances & the Monthly Payment Plan
Surplus funds in your student’s account can be transferred to the Monthly Payment Plan account.
Requests to transfer available credits must be made in writing by your student and sent to firstname.lastname@example.org. Full MPP payments continue to be due on the first of the month until you are notified that the available credit has been transferred and your scheduled payments have been adjusted.
Consequences of Non-Payment
If your Monthly Payment Plan is delinquent the student may be subject to one or more of the following: (a) prohibited from course selection and/or course changes, (b) placed on a leave of absence until all financial obligations are met, (c) prohibited from enrolling or being readmitted to the University, (d) refused a transcript, and (e) denied a diploma document at graduation.
Failure to make monthly payments as they are due may also result in the cancellation of the unused portion of the contract effective back to the date of the semester billing due date. Student account late interest will be applied to the delinquent amount. Should this occur, you will be denied future participation in this loan program
Questions? Contact Student Accounts at (609) 258-6378, fax (609) 258-2873, or email email@example.com.