Federal Parent PLUS Student Loans
What are Federal Parent PLUS Student Loans?Listen up parents because this ones for you! Federal Parent PLUS Student Loans are federally sponsored, low interest student loan for parents of undergraduate, dependent college students. Parents with good credit histories can use Federal Parent PLUS Student Loans to borrow money for the whole cost of their child’s or children’s undergraduate college education (The yearly limit on Federal Parent PLUS Student Loans is generally equal to the cost of attendance minus any other financial aid you receive).
Federal Parent PLUS Student Loans can be a great option for parents of college students because they allow for the borrowing of not only the college students tuition, but also room and board, supplies, travel, etc… (minus any other financial aid).
How Can My Parents Qualify for Federal Parent PLUS Student Loans?
Qualification of Federal Parent PLUS Student Loans is a bit different then other Federal Student Loans, because the student loans are not based on need, but on credit. The following are general qualifications for Federal Parent PLUS Student Loans.
1. Be a U.S. citizen or eligible non-citizen
2. The college student(s) must be a dependant
3. A credit check, stipulating the parents credit and credit history is in good standing ( tardiness on debt payments, having any Title IV debt, debt due to grant overpayment within the past five years foreclosure, wage garnishment, bankruptcy discharge, repossession, tax lien(s), and other things of this nature will most likely result in loan decline.
4. Some colleges, schools, and universities may require a completed FAFSA Application to qualify for Federal Parent PLUS Student Loans; this application can be found at www.fafsa.ed.gov. To see if your educational institution requires this, simply contact their financial aid department.
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