Parents of dependent students can take out loans to supplement the student’s financial aid package. Direct PLUS loans have a fixed interest rate of 7.21% and the option to defer payments until 6 months after the student graduates or drops to less than half-time enrollment. During deferment, all interest is accrued and then capitalized upon repayment. The loan has a 4.292% fee deducted from each disbursement. Once repayment begins, there is a 10 year repayment term.
Eligibility for the Direct PLUS loan depends on a modest credit check that determines whether the parent has an adverse credit history.
Parent Plus Loan Application: Please complete the PLUS application and forward it to the Office of Financial Aid or complete the application online at www.studentloans.gov