Federal Direct Parent PLUS Loan
<p>The <a href="https://studentaid.gov/" target="_blank" class="extLink" title="Parent Loan for Undergraduate Students (PLUS)" rel="noopener">Parent Loan for Undergraduate Students (PLUS)</a> allows parents to borrow on behalf of their dependent undergraduate students, who are enrolled at least half time.</p>
<p>Eligibility requirements are as follows:</p>
<ul>
<li>Student must have submitted a FAFSA for the academic year the PLUS Loan is being applied for</li>
<li>Student must be enrolled at least half-time (6+ credits)</li>
<li>Parent may borrow up to the Cost of Attendance (COA) less any financial aid</li>
<li>Parent must be a U.S. citizen or eligible non-citizen</li>
<li>Parent must be the student’s biological or adoptive parent or the student’s step-parent</li>
<li>Parent must meet the credit criteria and not have an adverse credit history and not be in default of any federal education loans or owe an overpayment on a federal education grant</li>
</ul>
<p><strong>Loan Terms:</strong></p>
<ul>
<li>Fixed interest rate of <strong>8.05%</strong> (rate resets each July 1)</li>
<li><strong>4.228%</strong> origination fee is deducted from the loan proceeds prior to disbursement</li>
<li>Repayment begins within 60 days after full disbursement of loan. Parent may request to have payments deferred during the in-school period</li>
<li>10 year repayment period</li>
<li>Interest only payment option</li>
</ul>
<p>Parents apply for a PLUS Loan at <a href="https://studentaid.gov/" target="_blank" class="extLink" title="studentaid.gov" rel="noopener">studentaid.gov</a>. Parents will need their FSA-ID to access the application. Parents who are approved for a PLUS Loan will need to complete a PLUS Loan Master Promissory Note (MPN). The MPN is a legal document which explains the terms and conditions of the loan. Approved loans will also receive a disclosure statement that provides specific information about the loan including loan amount, loan fees and the expected disbursement date(s) and amount(s). Loan proceeds will be credited to the tuition account no earlier than ten days prior to the start of the semester.</p>
<p>Information on your PLUS Loan will be sent to the National Student Loan Data System (NSLDS) and will be accessible by guarantee agencies, servicers, lenders and institutions determined to be authorized users of the data system.</p>
<p><em>Note: If a PLUS Loan is denied, the student is eligible for an additional Federal Direct Unsubsidized Stafford Loan (additional $4,000 for freshmen and sophomores and an additional $5,000 for juniors and seniors.</em></p>