The Parent PLUS loan is a federal student loan offered to parents to pay for their children’s higher education.
According to the information, the federal government analyzes the credit of the parents and offers flexible repayment options.
The Parent PLUS loan had a 6.28% interest rate and an “origination fee” of 4.2% during the last school year.
How can I apply for a Parent PLUS loan, and what can I get in return?
- The first step is to fill out the Free Application for Federal Student Aid (FAFSA)
- Download a promissory note from the school financial aid website.
- The federal financial aid goes from the complete cost of attendance to diverse methods of economic aid.
- If the Parent PLUS loan doesn’t cover the full ride, you can seek a complementary option for the remaining cost of attendance
Who’s eligible for the Parent PLUS loan?
You might be eligible if you are the biological, adoptive parent, or dependent of an undergraduate student enrolled full or half-time.
The federal government asks for minimal credit standards, and the college student should meet several financial aid requirements.
You are not eligible for the Parent PLUS loan if you are grandparents or legal guardians.
You must adopt or have a kid to apply for the loan.
What are the student requirements for the Parent PLUS loan?
Parents complete part of the federal government process to obtain the loan.
However, students must:
- Be a US citizen or eligible non-citizen.
- Don’t have previous student loan defaults or another federal direct loan.
- Male students who are US citizens (18-25 years old) must register for the Selective Service System.
- Parents must be US citizens or eligible residents.
The federal government grants several student financial aid programs if you don’t qualify for the Parent PLUS loan.