Parent Plus Loan
What is a Parent PLUS loan?
The William D. Ford Direct PLUS loan program is available to parents of dependent undergraduate students regardless of need. Funds are available through the federal government based on the parent’s credit history.
The interest rate is fixed based on the 52 week T-Bill plus 3.1%. Interest begins to accrue on the day that the final payment is disbursed to the student, and repayment begins within sixty days with a minimum monthly payment of $50. Origination fees are 4%. The maximum loan amount per year is the cost of attendance minus scholarships or other financial aid.
Funds are disbursed by the school in semester payments. Any balance will be given to the student via a refund unless the parent requests the funds be sent to the parent.