Federal Direct Parent PLUS Loans
Parent Loan for Undergraduate Students (PLUS) loans are borrowed by parents to assist in paying costs.
- The U.S. Department of Education is your lender.
- You must not have an adverse credit history.
- The maximum loan amount is the cost of attendance (determined by the school) minus any other financial aid received.
The PLUS loan carries a fixed interest rate of 7% for loans disbursed on or after July 1, 2017.
The PLUS loan carries a fixed interest rate of 7.60% for loans disbursed on or after July 1, 2018.
Federal Direct PLUS loans are charged an origination fee of 4.264%, which is deducted from the loan proceeds upon disbursement to Cabrini.
- Approved loan applications can be processed within 7–10 business days.
- Borrowers must apply every year. The application for the 2018-19 academic year will be avaiable mid-April.
This loan is a viable resource that many families use to help meet costs after all other financial aid options have been exhausted.
- To get more information and apply on line, visit www.studentloans.gov.
Any Parent who is approved for the Direct Plus loan will need to complete a Master Promissory Note.
- Log in with your user name and password to www.studentloans.gov
- Click the 3rd option- “Complete Loan Agreement (Master Promissory Note)”
- Click the 3rd option- “Plus MPN for Parents”
- Complete and submit to Cabrini University.
Any Parent who gains an endorser or is approved after an appeal must complete the MPN as well as Plus Credit Counseling.
- Log in to www.studentloans.gov with your user name and password.
- Select the 7th option down- “Complete PLUS Credit Counseling”
- Select “Start” where it states “Complete PLUS Credit Counseling”
- Select “Start” on the left where it states “Parent of an eligible dependent undergraduate student(s)
- Complete the counseling and be sure to send this to Cabrini University.
Options if you are Denied
1. Your student may qualify for additional federal loan funding in the students name. Typically this is an increase to their unsubsidized Direct Loan. If you were denied the Direct Parent PLUS Loan and your student would like to request an increase to their federal loan they will fill out our Request for PLUS Denial Loan Funds form. This must be hand signed by the student and returned to the financial aid office via Cabrini E-mail, fax or mail.
2. You may seek an endorser (co-signer) on the loan. Your endorser must create an FSA ID, if they do not already have one, and endorse the application. If approved you will need to complete the Master Promissory Note and Credit Counseling on studentloans.gov
3. You can appeal the credit decision. If you feel that you should not have been denied the Direct Parent PLUS Loan you can appeal the credit decision on studentloans.gov.