Parent PLUS Loans

Parent PLUS Loans

Parent PLUS Loans

Parents (biological, adoptive or stepparent) of matriculated, dependent, undergraduate students who are enrolled at least half-time and making satisfactory academic progress may borrow up to the cost of education from the federal government. Applying parents must be citizens or eligible non-citizens of the United States and pass a financial credit check. Parents determined to have adverse credit will not be approved. Parents who are denied a PLUS loan may apply with a qualified endorser. An endorser is someone who agrees to repay the loan if the parent does not repay. Students of parents who are unable to borrow a Parent PLUS loan are eligible to borrow additional unsubsidized loans up to the limits of an independent student. 

Applying

A parent of a dependent, undergraduate student may complete a Parent PLUS Application each year with their FSA ID. The custodial parent and the non-custodial parent are eligible to borrow from the PLUS loan program, provided the combined amounts borrowed do not exceed the cost of attendance for that academic year.

When applying, it is recommended the parent applies for the total amount they need for the year. Our system is set up to apply half of the approved amounts each semester. If you would like the full amount for which you are approved to apply toward one term only, please contact our office to discuss. 

If a parent is not approved for a Parent PLUS loan and does not choose to look for an endorser, the student may be able to borrow additional funding. Read more in our section about denied Parent PLUS Loans.

Interest Rates & Fees

Direct PLUS Loans have a fixed interest rate which is updated annually by the Department of Education. In addition, the lender charges an origination fee at the time the loan is disbursed. Please include this fee when planning how much funding you need to secure. More on interest rates and origination fees.  

Repayment

Repayment begins within 60 days after disbursement. Parent PLUS loan borrowers may choose to have repayment deferred (postponed) while the student, for whom the parent borrowed, is enrolled at least half-time and for an additional six months after that student is no longer enrolled at least half-time. Interest that accrues during these periods will be capitalized if not paid by the borrower. The repayment term is up to 10 years. Unless requested, there is no six month grace period. Payments can be deferred if the parent is in school themself. Please note, since the interest rate is not subsidized, it will continue to accrue and will be capitalized when the loan enters repayment.