Federal Direct Parent PLUS Loan
The Federal Direct PLUS Loan program enables parents to borrow from, and repay loans directly to the U.S. Department of Education through its servicing centers. PLUS Loans offer a fixed interest rate, which for 2013-14 is 6.41%. A 4.204% origination fee is automatically deducted from the loan amount prior to disbursement. Parents may borrow up to the cost of education less financial aid received. Repayment begins 60 days after the loan is fully disbursed.
Parents can choose to defer payments on a PLUS loan until 6 months after the date the student ceases to be enrolled at least half time. The interest that accrues on the loan while it is in deferment can either be paid by the parent borrower monthly or quarterly, or can be capitalized quarterly. To request a deferment, call the Direct Loan Servicing Center at (800)-848-0979. Deferments will not be approved until after the first loan disbursement has been made.
If the parent of a dependent student is denied the PLUS Loan, the dependent student may receive additional unsubsidized loan funding. The maximum eligibility is $4,000 for freshman/sophomore class levels, and $5,000 for junior/senior class levels.
For PLUS Loan pre-approval complete the Direct PLUS Loan Request Form which is available on our download forms page and fax or mail to the Office of Financial Aid.