Financial Aid

FAQ - Loans (Parent PLUS)

  • What is a PLUS loan?
    • PLUS stands for Parents Loan for Undergraduate Students. It's a federal loan designed to pay for educational expenses after grant and Stafford loan eligibility have been used. Interest is paid by the borrower. Repayment of the loan principle begins 60 days after the full disbursement of the loan. Here are some facts about the PLUS loan:
      • Maximum loan amount = cost of attendance, including miscellaneous costs, less all other aid received.
      • The interest rate is 7% accruing from date of first disbursement.
      • First repayment is due 60 days after date of second disbursement.
      • Parent PLUS Loan borrowers may choose to have repayment deferred until 6 months after the student graduates or drops below half-time enrollment (6 credit hours). Interest that accrues during these periods will be capitalized if not paid by the parent during the deferment. For Parent PLUS loans disbursed on or after July 1, 2008, contact Direct Loan Servicing at their toll free number 1-800-848-0979. For PLUS loans disbursed prior to July 1, 2008, contact your lender to see if deferment is available.
  • Is it possible to obtain a delayed repayment date for parent PLUS loans?
    • Yes, you may delay repayment until six months after the student is no longer enrolled at least half-time. You, however, have to contact the lender to make this request. Please remember that interest may be paid as you go along or have it capitalized upon the loan entering repayment.
  • How can a dependent student borrow an Additional Unsubsidized Direct Stafford Loan?
    • After the Financial Aid Office receives the PLUS denial notification from Direct Loan, a dependent student is eligible to borrow the additional unsubsidized loan and should contact our office to request the loan- Financial Aid will not process the additional loan automatically.