What is a Federal Direct Parent Loans for Undergraduate Students (PLUS) Loan?

The U.S. Department of Education makes Direct PLUS Loans to eligible parents through schools participating in the Direct Loan Program.

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

Parents may borrow up to the total education cost for the year, minus any other financial aid that the student is receiving. The total education cost can include tuition and fees, room and board, books and supplies, transportation, and living allowance.

What is the current interest rate?

Federal interest rates and fees can be reviewed on the Federal Student Aid: Interest Rates and Fees for Federal Student Loans page.

PLUS loan repayment normally begins within 60 calendar days after the loan has been fully disbursed. In certain circumstances, parents may elect to repay the loan on a graduated repayment schedule, making interest-only payments for a portion of the repayment term. 

For an overview of eligibility, the application process, and repayment, please go to Federal Student Aid: Parent Plus Loans.

For additional questions or assistance with the application process, please see the Federal Student Aid Information Center.