PLUS Loans - What are they and who is able to apply for them?

PLUS Loans for dependent students are available only to parents. The definition of parent is very prescribed and listed on the FAFSA. Simply by claiming a student on their tax form does not make the student their dependent according to the Federal Department of Education. You must be defined as parent to get a PLUS loan for a dependent student. The Parent PLUS Loan is a federal loan the parent listed on the FAFSA may apply for on behalf of his/her dependent student. This loan allows parents to take out loans for students costs. The federal government requires an approved application in addition to a Master Promissory Note (MPN). Parents who demonstrate appropriate credit worthiness are eligible to borrow a low interest loan, up to the cost of education less any financial aid received, for their student. TSC requires the student to complete the FAFSA and to have a valid ISIR or SAR on file with TSC's Financial Aid Office in order to process a PLUS Loan. Tuition and fees can bet deferred for students awarded PLUS loans. PLUS loan applications are only valid for 90 days, after which time, they expire and cannot be used any longer.

Direct PLUS loans can help pay for education expenses not covered by other financial aid. The U.S. Department of Education makes Direct PLUS Loans to eligible parents through schools participating in the Direct Loan Program. (We also offer PLUS loans for graduate or professional students.)

A Direct PLUS Loan is commonly referred to as a parent PLUS loan when made to a parent borrower.

To receive a parent PLUS loan, you must

• be the biological or adoptive parent (or in some cases, the stepparent) of a dependent undergraduate student enrolled at least half-time at an eligible school;

• not have an adverse credit history (unless you meet certain additional requirements); and

• meet the general eligibility requirements for federal student aid

Note: Grandparents (unless they have legally adopted the dependent student) and legal guardians are not eligible to receive parent PLUS loans, even if they have had primary responsibility for raising the student.

If you are eligible for a parent PLUS loan, you will be required to sign a Direct PLUS Loan Master Promissory Note (MPN), agreeing to the terms of the loan. Contact the financial aid office at the school your child is planning to attend for details regarding the process at that school.

If you’re taking out parent PLUS loans for more than one child, you’ll need to sign separate Direct PLUS Loan MPNs for the loans you receive for each child.

The parent may apply at: https://studentaid.gov/

Federal Direct Loans - Tallahassee State College