If you are a dependent student for financial aid purposes, the PLUS enables your parent(s) to borrow funds to assist you with education-related expenses. The PLUS is not based on need, meaning it does not depend on family income or assets; however, the program requires that you apply for financial aid to be considered for the PLUS Loan.
The school verifies the parent's loan eligibility based on the cost of attendance, any other financial aid the student has, and the student's enrollment status. A credit check is required for the PLUS loan. If a parent is denied a PLUS the student may be eligible for additional unsubsidized Direct Loan. Please contact our office for more information.
The origination fee for the PLUS loan is 4.204% for loans first disbursed on or after July 1, 2013 and prior to December 1, 2013 and and 4.288% for loans first disbursed on or after December 1, 2013. The fixed interest rate is 6.41% with a 10.50% interest rate cap. Repayment begins 60 days after the final disbursement of the loan. Click here to see a complete table of federal Direct Loan interest rates.
The PLUS Loan is not listed on financial aid award letters although may be used to borrow up to the amount listed as "Remaining Loan Eligibility" on your (the student) award letter. If you (the parent) plan to borrow the PLUS Loan:
Graduate/professional students are also allowed to borrow under the PLUS program. Federal regulations stipulate that a student cannot receive financial aid in excess of the cost of attendance. Therefore, many SCSU graduate students may not be eligible to borrow additional funds under the PLUS program as their total eligibility would have been met under other student loan programs.