The federal Parent Loan for Undergraduate Students (PLUS) is designed for parents of dependent students. As of July 1, 2006 the PLUS loan interest rate is fixed at 8.5%. Parents may borrow up to the difference between the school's cost of attendance, less the student's financial aid. A parent should contact the school's financial aid office to get the maximum amount. The PLUS minimum is $500. Also, parents should ask if there are any additional school-specific forms they need to get a PLUS loan.

Only parents can qualify for this loan. A biological parent, stepparent or an adoptive parent may borrow for each dependent child who is enrolled in school at least half-time. Repayment begins 60 days after the final loan disbursement (normally loan funds are evenly disbursed over the school terms), and parents may take up to ten years to repay.

Note: PLUS loans distributed prior to July 1, 2006 will remain at a variable rate, capped at 9.0%.

A .25% rate reduction on the PLUS loan is offered when you sign up for the Great Lakes Higher Education "Check Free" automatic payment option.

Please note: Parents can contact Great Lakes Higher Education if they would like to get in-school deferment on a PLUS loan. This is a non-repayment status on the PLUS loan where interest would still accrue. Great Lakes can provide specifics on the length of deferment that a parent is eligible to receive.