Parent PLUS Loan
If you're an undergraduate student enrolled at least half-time and dependent on your parents, your parents may qualify for a Parent PLUS Loan. The PLUS loan is available without regard to financial need; however, the parents must be U.S. Citizens. The PLUS loan is a non-need based program based on credit-worthiness. Families can apply for the PLUS with or without a FAFSA on file. The PLUS Request Application Process must be completed for each Academic Year for which a parent wishes to acquire a PLUS Loan. The parents are responsible for repaying the loan and unless otherwise requested, repayment begins 60 days after the loan is fully disbursed. The interest rate is fixed at 7.9 percent. In addition to interest, there is an origination fee that is a percentage of the principal amount of each PLUS loan received. For 2013-14, the origination fee is 4.204 percent. To apply for a PLUS loan, complete the following:
- Complete PLUS Request Process (you will not be able to complete the application process until after April 15, 2013 for the 2013-2014 Academic Year)
- Sign a Master Promissory Note
- PLUS Loan Data Sheet
Parents may borrow a Parent Loan for Undergraduate Students (PLUS) up to the full Cost of Attendance (or Budget) minus any financial assistance the student is receiving. If the student has an excess of funds (more aid than the total direct cost), the balance will be given to the student as a refund. The student can use this refund as a means to pay for books, transportation or other personal spending.
Please Note: If a parent is denied a Parent PLUS Loan due to credit reasons, the student may be eligible to receive additional unsubsidized Stafford Loan funds. (The PLUS Request Application Process must be completed for each Academic Year)