Parents or step-parents of undergraduate students may choose to apply for the Federal Direct PLUS Loan to cover college costs for undergraduate students.
Federal Direct Parent PLUS Loan information, including interest rate and origination fee is available here: . For many parents, interest paid on the PLUS loan may be tax deductible. For more information on the educational tax benefits, see the Internal Revenue Service’s Publication 970, “Tax Benefits for Education”. This form is available .
Parents can borrow up to the Cost Of Attendance (COA) for the year minus the student’s other financial resources. COA includes the direct cost of tuition, room, board and fees, plus an allowance for books and personal expenses. This allowance for books and personal expenses is determined by the university and the parent cannot exceed the amount listed. PLUS loan fees may be included in the COA.
How to Apply
- Eligibility is not based on financial need and can be used to meet the Expected Family Contribution (EFC). You may borrow up to the college Cost of Attendance minus any other financial aid received. You will want to borrow the amount you will need for the entire academic year. If you request the maximum PLUS loan, the financial aid office will originate the loan to meet the cost of attendance.
- The PLUS Loan application process is a two-step process. To begin the PLUS loan application process, “Sign In” to the federal loan web site at You must have your Federal Student Aid Identification number (FSA ID) issued by the Department of Education before completing the PLUS Request and the Master Promissory Note (MPN) If you do not have an FSA ID or have lost your FSA ID, you can obtain one at .
- First complete the PLUS Loan Request Process. There are several steps where you will supply Personal Information, Student and Loan Information, Review of your Application and Request a Credit Check. When complete, be sure to submit the request. You will receive an e-mail indicating the PLUS credit decision as determined by the Department of Education.
- If approved, the borrower must complete a Direct PLUS Loan Master Promissory Note (MPN) on-line at . You will need your PIN to Sign In to access the form. The Master Promissory Note explains the terms and conditions of your PLUS loan and is your legally binding agreement to repay your loan to the Department of Education.
- If the loan is not credit approved, the borrower is offered the opportunity to appeal the decision online by submitting additional information or adding a credit-worthy endorser to the loan.
- If the borrower successfully appeals the credit decision or obtains an endorser for the Federal Direct Parent PLUS Loan, the borrower is required to complete PLUS Loan Entrance Counseling at .
- Once completed, Delaware Valley University Office of Financial Aid will receive the results of the credit check and the borrower's intentions. Once creditworthiness has been approved, the Direct PLUS Loan will be originated by the Office of Financial Aid. The loan will be disbursed directly to the students account in two equal installments with one crediting for Fall and the other crediting in Spring.
- Repayment of the Direct PLUS loan begins 60 days after the full amount you have borrowed for a school year has been disbursed, unless other repayment options have been selected. Please for more information on PLUS loan repayments.