PLUS Loans

The Federal government sponsors the Federal PLUS Loan program for parents, which helps to bridge the gap between the cost of your certificate program and your other funding.

Using a PLUS Loan, your parents can borrow to cover the your educational costs minus your existing aid and other resources. PLUS Loans offer interest rates that are fixed for the life of the loans and capped at a maximum of 9%. Repayment begins approximately 60 days after the disbursement of the loan.

Similar to the Stafford Loan program for students, your school participates in either the William D. Ford Direct Loan Program and your parents can apply for a PLUS Loan directly from the government or the Federal Family Education Loan Program (FFELP) and they can borrow from a private lender. Your financial aid counselor will know in which program your school participates.

PLUS Loan Check Credit
Unlike Stafford Loans, PLUS Loans are made contingent on a credit check. If your parents cannot pass the standard credit check, the PLUS Loan program offers credit counseling. Your parents can also qualify for a PLUS Loan with the help of a friend or relative who agrees to act as an 'endorser,' similar to a co-signer on a personal loan.

Regardless of which PLUS Loan program is available at your school, you can obtain an application from your school's financial aid office. Your parents will need to complete a promissory note, and depending on your school and your state regulations, some additional paperwork.

Before your parents apply for a PLUS Loan, talk to them about your long-term plans. They will have to repay the PLUS Loan whether or not you complete your degree program.