Parents’ Loan for Undergraduate Students
The Federal Parent Loan for Undergraduate Students (PLUS) offers an affordable option for parents to assist their dependent student with the costs of tuition, fees, room, board, books and miscellaneous expenses.
The amount borrowed using the PLUS loan may include the yearly cost of an undergraduate education less financial aid (scholarships, grants, loans, and outside scholarships). Eligibility is not based on financial need; it is determined by a credit check approval.
There is a federal loan origination fee of 2.5% that will reduce the requested amount. However, you may increase the loan amount to cover the fees. The loan disbursements will be sent to Nebraska Wesleyan University in two equal installments (half each semester). Interest begins accruing at 7.9% when the money is applied to the student's school account.
Payment on the PLUS loan begins either 60 days after the loan is fully disbursed or you may wait until six months after the dependent student, on whose behalf the parent borrowed, ceased to be enrolled on at least a half-time basis. For more information about borrowing limits, repayment plans and interest rates, go to http://www2.ed.gov/offices/OSFAP/DirectLoan/pubs/parentbasics.pdf.
You may download the Federal Direct PLUS Loan Application (below) which includes instructions on completing the Master Promissory Note (MPN) with the Federal Department of Education, and an application which details the amount you want to borrow which needs to be returned to the Office of Scholarships and Financial Aid.
