Parent Loans for Undergraduate Students (Federal Direct Parent PLUS Loans) are federal loans that parents with good credit histories may borrow to help pay the educational expenses of an undergraduate student enrolled in at least six credit hours per semester.
A parent may borrow up to of the Estimated Cost of Attendance less all financial aid received by the student. The interest rate is a fixed interest rate of 7.21% and is charged on the loan from the time the loan funds are disbursed until it is paid in full.
Parents must complete a MPN (Master Promissory Note) at www.studentloans.gov. This MPN allows a parent to complete a note that is active for subsequent PLUS Loans for ten years. To complete the MPN, the parent that is applying for the loan will need to use the 4-digit PIN that was used to sign the parent’s name on the student’s FAFSA form.
Parents must submit to a credit check by the United States Department of Education to be eligible for a Federal Direct Parent PLUS Loan. The credit check is authorized when the parent signs the Federal Direct Parent PLUS Loan Application.
Federal Direct Parent PLUS Loan Processing / Receipt of Funds
The Direct Loan Processor will notify the parent borrower and the Financial Aid Office of the result of the credit check. The borrower cannot be 90 days or more delinquent on the repayment of any debt or the subject of a default determination, bankruptcy discharge, foreclosure, repossession, tax lien, wage garnishment or write-off of a Title IV debt during the last five years. If credit is approved, loan funds will be disbursed. The funds will be applied to tuition, fees, and other college charges.
Cost of Attendance for Full-Time In-district students
|Living at Home||Living Away|
|Tuition and Fees||$3,780||$3,780|
|Books and Supplies||$1,060||$1,060|
If the Federal Direct Parent PLUS disbursement generates a refund after the tuition, fees, and book charges paid, the refunded amount will go to the student.
Repayment of Federal PLUS Loans
Repayment begins within 60 days of the final loan disbursement during the academic year. Principal and interest payments may be deferred if the borrower meets deferment requirements.
To learn more about deferments and how to apply for deferment status, please contact the assigned servicer. Servicer information can be found on the National Student Loans Data System website.
Application Dates for 2015-2016:
June 1 – November 1 (Full Year or Fall Only Semester)
November 1 – April 1 (Spring Only Semester)
April 1 – June 15 (Summer Semester)
NOTE: Processing takes 2 weeks. Processing MAY take 3 or more weeks during peak registrations times in July, August, and January. Loans will be processed in order of receipt. You and the student will receive an email when your loan is complete or if additional information is needed to process your loan application.
Last updated 6/1/2014