What is an endorser?

Individuals borrowing a Parent or Graduate/Professional PLUS loan may need to obtain an endorser if they have adverse credit issues that they are unable to resolve. (The endorser must meet VSAC’s credit criteria.)

Endorsers are secondarily liable for the loan; if the primary borrower does not make their monthly payments as agreed, the endorser is responsible for making the payments, including any late fees.

If the primary borrower consolidates the PLUS loan, the endorser will no longer be liable for the loan.

Endorsers:

• are reported to the national credit bureaus as secondarily liable for the loan

• are not required to sign repayment-related paperwork or meet eligibility requirements for repayment options requested by the primary borrower

• do not receive monthly bill statements but do receive past due notices

• may request assistance with repayment if payments are not manageable