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Parent PLUS Loan

Eligibility Requirements

In addition to program specific eligibility requirements students must also meet general eligibility requirements to be eligible for all federal grants and loans.  Contact your financial aid advisor if you have any questions regarding your eligibility for federal financial aid.

Who may borrow?

You may borrow if you are the parent/stepparent of a dependent student, you are not in default on any federal education loans, and you are a U.S. citizen or eligible non-citizen.

How to apply for PLUS

  1. Student must accept the Parent PLUS on TitanConnect
  2. Complete the PLUS request process on line.

Loan maximum

The loan limit for each year is the annual cost of education (the "budget") minus other financial assistance. If your requested amount is too high, it will be reduced to fit within the budget.

Interest rate

Under Direct Loans, the interest rate is 6.31%.

Loan fees

The Federal Direct PLUS Loan Program requires a 4.276% origination fee.

PLUS repayment

The first payment is due within 60 days after each loan is fully disbursed. Therefore the first payment of a fall/winter loan will usually be due in February. Interest begins to accumulate when the first disbursement is made. You may contact the servicer and request forbearance of the principle. Read more about forbearance.

When to apply

You should begin the application process prior to the beginning of the academic year in order to ensure timely processing. Depending on the time of year, it can take up to four weeks from the time UDM receives the Parent PLUS Loan Application until the servicer sends notice of acceptance or rejection.

Steps in PLUS processing:

PLUS disbursement

Disbursement of the PLUS funds depends on when the loan is approved. By law PLUS funds cannot be disbursed until 10 days prior to the first day of classes in a semester. If that date has passed and the approval process has been completed, UDM will generally disburse the funds within two days of approval.

Options if PLUS is not approved

These are some options the family may want to consider: