Federal PLUS Loan

Who Is the Borrower? Parents of eligible dependent undergraduate students. The borrower and the student must be U.S. citizens or permanent residents.
Interest Rate The interest rate for loans disbursed after June 30, 2015 and prior to July 1, 2016 is 6.84%, fixed for the life of the loan.
Credit Criteria Must pass PLUS Loan credit check. Parents unable to meet the PLUS credit criteria may be able to borrow with a creditworthy “endorser.” Borrowers with loans approved via appeal or endorser must complete an online counseling session. The endorser cannot be released from the repayment obligation before the loan is repaid in full.
Fees The net loan amount disbursed is less than the amount borrowed, because of an origination fee (see your disclosure statement for the specific amount) charged by the government.
Minimum and Maximum Allowed Loans are approved from $100 up to the total annual cost of education minus any financial aid, including any Federal Stafford Student Loan.
Repayment Terms A 10-year standard monthly repayment of approximately $12.02 per $1,000 borrowed, with a $50 monthly minimum payment. Extended and graduated repayment plans are available. Principal and interest payments begin 60 days after the loan has been fully disbursed. No prepayment penalty.
Enrollment Status Students must be enrolled in an undergraduate degree program for at least 6 credits each semester.
Deferment Options Can defer payments until 6 months after student ceases to be enrolled at least half time. During deferment period interest can be paid monthly, quarterly or capitalized quarterly.
Can Loan be Sold? The loan will be held by the U.S. Department of Education for the life of the loan.
Other Borrower Benefits Eligible for loan consolidation under Federal Direct Consolidation Loan Program.
How to Apply

Get more information: http://studentaid.ed.gov

To apply, go to: Five Steps to Applying for a Federal PLUS Loan at Boston University.

Contact BU Financial Assistance: finaid@bu.edu
or 617-353-2965.

This information is based on information provided by lenders identified in response to a Request for Information issued by Boston University. The terms and conditions of any loan may vary depending on, among other things, market conditions and your credit score. Proposed terms may have changed since lenders provided information to Boston University. You should contact the lender to obtain current terms and information. You should review any proposed terms and obligations carefully.