Maintained for Historical Purposes

This resource is being maintained for historical purposes only and is not currently applicable.

THE VERDICT IS IN ON PLUS DELAYS

PublicationDate: 8/27/96
Summary: THE VERDICT IS IN ON PLUS DELAYS
Author: PDD - Policy Development Division/PTAS


August 27, 1996

THE VERDICT IS IN ON PLUS DELAYS

The delayed delivery rule for first-year, first-time borrowers does not apply to PLUS
proceeds in either the Direct Loan Program or the Federal Family Education Loan (FFEL)
Program.

In the Direct Loan Program regulations, 34 CFR 685.303(b)(4), an institution is required to
delay only the disbursement of Direct Subsidized Loans and Direct Unsubsidized Loans
for first-year, first-time undergraduate borrowers until 30 days after the first day of the
student's program of study. Similarly, in the FFEL Program regulations, 34 CFR 682.603
and 682.604(c)(5), an institution is required to delay only the delivery of Stafford Loan
proceeds to first-year, first-time undergraduate borrowers until 30 days after the first day
of the student's program of study.

If you have any questions about this, please feel free to call SFA Customer Support at
1-800-433-7327 OR email us at csb@ed.gov.

Last Modified: 08/16/1999