Federal Parent PLUS Loans
Federal Direct Parent PLUS Loans
The Federal Direct Parent PLUS Loan is a loan that is available for parents of undergraduate students to borrow. It is a federal direct loan and it must be repaid. The interest rate is fixed at 7.9%. Eligibility is based on credit history as determined by federal guidelines. The maximum loan limit is not to exceed the student's federal budget less any additional assistance the student may be receiving. Prior to disbursement, the government withholds 4% from the loan amount.
Repayment for the Federal Direct PLUS Loan Program begins 60 days after the second disbursement of the loan. For loan deferment options, you should go to www.studentloans.gov.