PLUS Loans

The Federal PLUS loan is available for parents and graduate students. It enables parents with good credit to borrow to help pay the education expenses of each child who is a dependent undergraduate student enrolled at least half-time.

Parent PLUS Loan

• Refer to the Parent PLUS Loan Lender List to review our established lenders and begin the on-line application process. These lenders provide exceptional electronic service and work closely with FHSU to deliver your funds in a timely manner. If you select a lender not on this list, please notify our office. You should not apply for a PLUS loan more than 90 days prior to the beginning of the semester/term for which the loan funds are needed.
• After you complete the on-line application process, the lender will transmit a PLUS loan certification to FHSU. The Financial Assistance Office will process the certification and return it to the lender. The lender will then transmit the funds to FHSU on the designated disbursement schedule.
• Excess PLUS loan proceeds (after all university charges are deducted) are returned to the parent.

Who can apply?

• Either biological parent or, in the case of divorce, the step-parent whose information appears on the FAFSA. Only one parent need apply.
• Parent borrower must be a U.S. citizen.

Student Eligibility Requirements:

• Be dependent, as per FAFSA requirements
• Be a degree-seeking undergraduate student through FHSU.
• Be enrolled as at least a half-time student.

How much can they borrow?:

The annual parent plus loan limit is the student's cost of attendance minus all other aid. For example, if the student's cost of attendance is $10,000, and they are receiving $6,000 in other aid, the parent can borrow up to $4,000.

Fees and Interest Rates:

• An origination fee of up to 4% is deducted from each loan disbursement by your lender.
  • Amounts listed on award letters do not have this fee deducted.
• PLUS loans disbursed after July 1, 2006 have a fixed interest rate of 8.5%.
• PLUS loans disbursed prior to July 1, 2006 have variable interest rates and are subject to change every July 1.

Repayment on this loan begins 60 days after the 2nd disbursement date. Lenders may allow parents to defer payment - contact your lender for more information.

Graduate PLUS Loan:

Graduate and professional degree students are now eligible to borrow under the PLUS Loan Program up to their cost of attendance minus other estimated financial assistance. The terms and conditions applicable to ParentPLUS loans also apply to Graduate/Professional PLUS loans. These requirements include a determination that the applicant does not have an adverse credit history, repayment beginning on the date of the last disbursement of the loan, and a fixed interest rate of 8.5 percent. Applicants for these loans are required to complete the Free Application for Federal Student Aid (FAFSA).They also must have applied for their annual loan maximum eligibility under the Federal Subsidized and Unsubsidized Stafford Loan Program before applying for a Graduate/Professional PLUS loan.

FIRST-TIME GRADUATE PLUS LOAN BORROWERS are required to complete entrance counseling either in the Financial Assistance Office or online. No financial aid (loans, grants, workstudy, scholarships) can be disbursed to you until you complete Graduate PLUS Loan entrance counseling.

Contact our office for more information.