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What does PLUS loan stand for?
Parent Loan for
A PLUS loan, also known as a direct PLUS loan, is a federal loan for higher education available to the parents of undergraduate students, as well as graduate or professional students. PLUS stands for Parent Loan for Undergraduate Students. The government itself is the lender, hence the name “direct” loans.
What’s the difference between positive and plus?
As adjectives the difference between positive and plus is that positive is (legal) formally laid down while plus is being positive rather than negative or zero.
What is the interest rate on a PLUS loan?
6.28%
Parent PLUS Loan Interest Rates Interest rates on PLUS Loans are fixed. The current interest rates for new PLUS Loans in 2021-2022 are 6.28% for parents of undergraduate students (Parent PLUS Loans) and for graduate students (Grad PLUS Loans). Note: Interest rates on Parent PLUS and Grad PLUS Loans are the same.
How much money can you get from a parent PLUS loan?
1. You can borrow as much as you need. Unlike other types of federal student loans, Parent PLUS Loans have virtually no limits when it comes to borrowing. You can borrow up to the cost of attendance minus any other financial aid received.
Is a PLUS loan a federal loan?
Direct PLUS Loans are federal loans that graduate or professional students and parents of dependent undergraduate students can use to help pay for college or career school. PLUS loans can help pay for education expenses not covered by other financial aid.
What is the maximum PLUS loan amount?
Additional Information
| Max Loan Length | 30 years, depending on amount borrowed and repayment plan chosen |
|---|---|
| Max Loan Amount | $2,625 to $8,500 |
| Payment Frequency | Monthly |
| Prepayment Penalties | None |
| Fees | Up to 4% of the loan |
What does a plus and a minus make?
Addition and Subtraction A plus and a minus make a minus.
How do parents afford college?
Most families pay for college using some combination of savings, income and financial aid. Some financial aid, like grants and scholarships, doesn’t need to be repaid. Financial aid can also come in the form of loans — money you have to repay.
Who pays a parent PLUS loan?
parent borrower
Only the parent borrower is required to pay back a Parent PLUS Loan, as only the parent signed the master promissory note for the Parent PLUS Loan. The student is not responsible for repaying a Parent PLUS Loan.
What is the difference between a PLUS loan and a parent PLUS loan?
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.