In order for a parent to secure a PLUS loan both the parent and student must meet all the criteria listed under Eligibility Criteria. Also, a parent cannot have an adverse credit history. Student must be enrolled at least half-time or in 8 hours of credit. While there are no annual or cumulative borrowing maximums, eligible parents may not borrow more than the difference between the dependent student's cost of attendance and all other financial aid and other resources the student will receive. The parent borrower is responsible for all interest that accrues on the loan, including periods when the student is enrolled and during periods of deferment and forbearance.
Interest begins to accrue as soon as the loan funds are disbursed by the lender to the school.
The first payment of interest and principal for Federal PLUS Loan borrowers is due 60 days after the loan is fully disbursed. Parent borrowers who qualify for a deferment may have payment of their loan principal deferred and pay only the interest on the loan. Or, they may capitalize the interest, which means that it will be added to the loan principal. A financial services advisor can assist parents in applying for a PLUS loan. Eligible students then report to the Placement Department to complete the FWS application and submit their financial aid eligibility forms.