Montana Guaranteed Student Loan Program (MGSLP)
in the Office of the Commissioner of Higher Education(OCHE)
administers the Federal Family Education Loan Program (FFELP) in Montana. FFELP is a cooperative effort between the federal government and private lenders to provide funding to students for their post secondary education. MGSLP guarantees (insures) Federal Stafford Subsidized and Unsubsidized loans, Federal Parent Loans for Undergraduate Students (PLUS), and Consolidation Loans, which are made by Montana lenders. MGSLP's guarantee makes it feasible for lenders to loan money to students who may be unable to borrow otherwise.
MGSLP's services include application processing, disbursement services, a toll-free customer service phone line, default prevention counseling, claim processing, collection of defaulted student loans and the administration of the Montana High School Honor Scholarship Program
The first step to enable you to receive any type of Federal Financial Aid is to fill out the Free Application For Federal Student Aid (FAFSA). The information you provide on this form is used to calculate the type of Federal Financial Aid you will receive. To fill out this form, you will need bank statements, the previous years tax forms, W-2's, information on assets, and any other pertinent financial records. Information on the FAFSA may also be obtained on their web site at
http://www.ed.gov/offices/OPE/express.ht...
You will receive a Student Aid Report (SAR) approximately four to six weeks after you submit this form, or two to four weeks if you submit your information via the web site. You will need to verify that the information on the SAR is correct. If the information is incorrect, correct it and send it back into the processing center for correction.
Once your school has received your SAR, they will use the information to process your financial aid package. This includes the Pell Grant, Perkins Loan, Federal Work Study, Federal Stafford Loan and the Federal Parent PLUS Loan.
Your school will then send you an Award Letter notifying you of the type and amount of financial aid you are eligible to receive. The Award Letter needs to be signed and returned to the school. Once it is received, the Application and Promissory Note for Federal Stafford Loan will be forwarded to you, should you be eligible for it. You will need to fill out the loan application and mail it to Montana Guaranteed Student Loan Program (MGSLP) for processing. Once we have received the signed application, we can process then forward funds to your school. Should you also be eligible for the Parent PLUS loan, this form will also be forwarded to you for completion. This form also needs to be returned to MGSLP for processing before funds can be released to the school.
