Parent PLUS Loan

The Direct Parent PLUS Loan is a credit based unsubsidized loan for parents of dependent students. The PLUS loan is designed to assist with educational expenses up to the cost of attendance minus all other financial assistance.

When to Apply

• The ideal time to apply for a DL PLUS loan is after June 1 for the current academic year.
• It is recommended that borrowers apply for the DL Parent PLUS for the full academic year.

Who can Apply

• A student's biological or adoptive parent or the student's stepparent, if the biological or adoptive parent had remarried at the time of the application.
• A parent borrower cannot have adverse credit history.
• Parent and student must be:
  1. U.S. citizens or eligible non-citizens.
  2. Student must be at least half-time.
  3. Must not be in default on any federal education loan or owe an overpayment on a federal education grant.
  4. Must meet other general eligibility requirements for Federal Student Aid programs.
  5. A valid and complete Free Application for Federal Student Aid (FAFSA) must be submitted.

How to Apply

• To complete the DL Parent PLUS Request Process visit www.studentloans.gov
• The parent borrower will be asked to "Sign In" using their FAFSA PIN.
• Click on "Request a Direct Plus Loan"
• Scroll to the bottom of the page and click the "Parent Plus" option under the heading "Select the loan type".
• The parent borrower will authorize an immediate credit check. If the application is denied, please review the Credit Check Denial section below.
• For those approved and are applying the first time for a Parent PLUS Loan for a student, please complete all sections of the DL Parent PLUS Master Promissory Note (MPN).
• It is recommended that the borrower log on and log back to review "My Loan Documents" on the left toolbar to ensure that the PLUS Loan Application and MPN are both complete.

Interest and Fees

• The DL interest rate for the Parent PLUS is fixed at 7.9%.
• The Parent PLUS Loan has a 4.0% origination fee.

Credit Check

• DL PLUS requires a credit check that is only valid for ninety (90) days.
• Changes made to the loan after the ninety day mark may result in additional credit check(s)

Credit Check Denial Options

• If the borrower is found to have adverse credit history, than the DL Parent PLUS is denied.
• If denied, the parent borrower will be given the option to appeal credit or add an endorser. An endorser is someone who agrees to repay the DL Parent PLUS if you do not repay the loan. The endorser may not be the student on whose behalf the parent obtains a DL Parent PLUS. In some cases, you may be able to obtain the DL Parent PLUS if you document to the Department of Education that there are extenuating circumstances related to your adverse credit history.*Note: Endorser must have a Federal PIN Number to apply.
• If credit is denied, UAlbany will receive notification of the denial and the student may be offered additional unsubsidized Stafford funds. The student may qualify for up to an additional $4,000 for freshman and sophomore status or $5,000 for junior and/or senior status.

DL PLUS Repayment

• Repayment begins sixty (60) days after the last disbursement of the loan.
• If you are a DL Parent PLUS borrower who is also a student, you can defer repayment while you're enrolled in school at least half-time and (DL Parent PLUS loans first disbursed on or after July 1, 2008) for an additional 6 months after you graduate or drop below half-time enrollment.
• You can defer repayment for DL Parent PLUS
• General repayment is 10 to 25 years, depending upon the repayment plan that you choose.
• If you have multiple federal education loans, you can consolidate them into one single Direct Consolidation Loan.
• You can pay by signing up for electronic debit account option.
• Additional repayment information may be found by visiting www.studentaid.ed.gov/repay-loans