Federal Direct Parent Loan for Undergraduate Students (PLUS)
Direct Lending Parent PLUS Master Promissory Note(log into Manage my Direct Loan)
Credit-worthy parents of dependent undergraduate students may borrow funds through this program. Parents may borrow the difference between the student's total cost of education and all other aid the student is receiving. The interest rate is fixed at 7.9 percent. A current FAFSA is required to receive a PLUS loan.
Due to the Budget Control Act (BCA) of 2011, Direct Loan borrower repayment incentives have been terminated on all Federal Direct Loans, including Parent PLUS and Graduate PLUS Loans. There will no longer be a rebate given on the loan fees.
To calculate the amount needed for a Parent PLUS loan or alternative loan: