A student can qualify for federally-paid interest to the extent of demonstrated need. Payments are deferred until six months after the student leaves college. Borrowers are required to make interest payments only on a quarterly basis while in college, or they may defer repayment of interest until after graduation. PLUS loans are federally-insured. Through this program, parents may borrow to pay the total cost of a student's education less any financial aid for which they qualify.
Interest begins to accrue on the date of the loan.
Repayment begins approximately 60 days from the date of the loan. Many colleges, universities, and financial institutions have loan funds available to students in addition to those offered by state and federal agencies. Amounts, interest, and repayment schedules vary. Payment Plans Variable payment plans, which permit families to spread out tuition payments, are available at many institutions.