Federal Direct Parent PLUS Loan
Direct Parent PLUS Loans are federal loans that parents of dependent undergraduate students can use to help pay education expenses. The individual applying for the loan must be the parent (biological, adoptive, or in some cases, stepparent) of a dependent undergraduate student enrolled at least half-time (6 hours minimum during the Fall and Spring terms and 3 hours minimum during the Summer term). The parent borrower may not have adverse credit history and must meet the general eligibility requirements for federal student aid. The student must also meet these eligibility requirements as the beneficiary of the loan. Specific details relating to the terms of the Parent PLUS Loan program, as well as current interest rates and repayment options, can be found on the Federal Student Aid website.
We recommend that you wait until after June 1, 2018 to apply for a PLUS loan for the 2018-2019 academic year. Applying too early for a PLUS loan could cause your credit check to expire before the loan is processed.
To apply for a Direct Parent PLUS Loan the parent borrower must:
- Complete the FAFSA with your student.
- Determine the amount to borrow based on your student’s award notification and the Cost Information Worksheet.
- Log on to the Federal Student Loan website to complete the Federal Parent PLUS Direct Loan Application, submit to a credit check, and complete the Direct Parent PLUS Loan Master Promissory Note (MPN). You will need your FSA ID used to sign your child's FAFSA to access both items.
- Access, complete and submit the MSU Parent PLUS Loan Application based on the outcome of your credit check
NOTE: YOU MUST COMPLETE THE ONLINE CREDIT CHECK BEFORE SUBMITTING THE PARENT PLUS APPLICATION. FAILURE TO COMPLETE THE CREDIT CHECK WILL DELAY PROCESSING.
Certifying your loan
Completing these steps will indicate the amount you wish to borrow and will provide the office of student financial aid with the information needed to certify the loan—a process which is completed electronically. When we are notified of your credit approval, we will schedule disbursements according to established policy each semester after your student registers for classes.
If the credit check is not approved and you will not appeal the decision or obtain an endorser, complete the Parent PLUS Loan Application - Credit Denied. Your student may be eligible for additional unsubsidized loan funds based on their year in school and remaining federal loan eligibility.
Cancelling a Direct Parent PLUS Loan
Complete and submit the Aid Cancellation or Reduction Request Form.