Skip to main content

Parents of undergraduate students may borrow a Federal Direct Parent Loan for Undergraduate Students (PLUS) to help cover educational expenses their student may incur while attending college.

  • Parent PLUS loans have a 4.276 percent origination fee for loans disbursed through September 30, 2018.
  • For PLUS loans that disburse October 1, 2018-September 30, 2019, the origination fee will be 4.248 percent
  • The interest rate for PLUS loans disbursed on or after 7/1/2018 and 7/1/2019 is fixed at 7.60%.
  • The interest rate for PLUS loans disbursed on or after 7/1/2019 and 7/1/2020 is fixed at 7.079%.

The origination fee is deducted from the disbursed amount. Parents can borrow up to the Cost of Attendance less any other financial aid (the total of all grants, scholarships, and other loans) awarded to the student. Parents may continue to borrow each year but must reapply and complete a new credit check annually.

Who is Eligible to Borrow a Parent PLUS Loan?

In order to borrow a PLUS loan, a parent must be:

  • A US citizen, permanent resident or other eligible non-citizen.
  • Be the biological or adoptive parent of the students. Step-parents can be eligible to borrow a plus loan only if their income is reported on the FAFSA.
  • Not in default on a federal student loan.

How to Apply

Parents interested in borrowing a Federal Direct PLUS Loan will complete the online application process and Master Promissory Note (MPN) through the Department of Education at www.studentloans.gov. An instant credit check is a part of this application process. A Department of Education-issued FSA ID is necessary to complete the process. Go to https://fsaid.ed.gov to find your current ID apply for an ID, or obtain a new ID.

Step 1: Apply for a Parent PLUS Loan for the current school year.
  • Go to studentloans.gov
  • Click on the green “Sign-In” button.
  • Sign in using your ID.
  • Choose “Request a Parent PLUS Loan.”

Please note if more than one parent wishes to borrow PLUS loan funds, each parent must apply for their own ID, complete their own PLUS application and MPN.

Determining a Loan Amount

You will be given three options to indicate how much you would like to borrow when completing the PLUS application:

  1. I want to borrow the maximum PLUS loan amount for which I am eligible.
    • Choosing this option, JCU will process your PLUS loan for the maximum amount possible (Cost of attendance less other financial aid) for the academic year.
  2. I would like to specify an amount.
    • By selecting this option, you will enter in the dollar amount you would like to borrow. JCU will process your PLUS loan for this amount.
  3. I do not know the amount.
    • By selecting this option, JCU will hold your PLUS application until you contact us, in writing, to tell us the amount you wish to borrow.

If you decide at any point you need to increase your PLUS loan, you can contact JCU, in writing, to request an increase. As long as your credit check is still valid, a second PLUS application is not needed.

You can send all requests to: enrollment@jcu.edu

Aid Year and Loan Period

Term For

Aid Year

Loan Period

2019 Summer

2018-2019

May 2018-August 2019

2019-2020 Academic Year

2019-2020

August 2019-May 2020

2019 Fall

2019-2020

August 2019-December 2019

2020 Spring

2019-2020

January 2020-May 2020

Credit Balances

PLUS loan funds automatically pay any charges on your student’s account. If there are any funds remaining, the credit balance will be issued as a refund. The parent borrower decides who will receive the refund during the application process. You have two options:

Me-This option allows the parent borrower to receive the refund.

Student- This option allows the student to receive the refund.

In addition to this selection, JCU will also send each parent borrower a Title IV authorization form once the PLUS loan funds disburse. Please make sure to complete this form as soon as possible.

Denied Applications

If your credit check is denied, there are several options which can be pursued:

  1. Parents can choose I want to appeal the decision.” This allows a parent to appeal the credit decision with the Department of Education.
  2. Parents can choose “I want to obtain an Endorser (cosigner).” The Department of Education will provide you with information for reapplying with an Endorser (cosigner).
  3. Parents can choose “I do not wish to pursue a PLUS loan at this time.” If selecting this option, the Office of Financial Aid will automatically process an additional unsubsidized Stafford Loan in the student’s name based on their grade level:
    • Freshmen (0-24 credit hours) and Sophomores (25-54 credit hours) will receive an additional $4,000.
    • Juniors (55-84 credit hours) and Seniors (85-128 credit hours) will receive an additional $5,000.

SPECIAL NOTE: If the student does not want to borrow the additional unsubsidized loan or only wishes to accept a partial amount of the additional unsubsidized loan, please contact a Student Services Counselor at enrollment@jcu.edu

APPROVED PLUS APPLICATIONS:

If the credit check is approved, the parent completing the application must complete a Parent PLUS Master Promissory Note (MPN).

Step 2: Complete Federal Direct PLUS Master Promissory Note.
  • Go to studentloans.gov
  • Click on green “Sign-In” button.
  • Sign in using your information and FSA ID.
  • Click on “Complete Master Promissory Note.”
  • Select “Parent PLUS” and follow the instructions.
  • If you require an endorser or appeal to be approved a PLUS loan, you will also be required to complete PLUS loan counseling

The same parent must be listed on both the initial application (credit check) and Master Promissory Note.

***The process is not complete until you see a “Congratulations” message.***

Please print confirmations for your personal records. John Carroll will be notified electronically within 24-48 hours once you have completed the process. The student will receive an email to his or her JCU email account once the Parent PLUS has been approved and processed. The revised financial aid award can be viewed through the student’s BannerWeb account. All PLUS Loan funds will be electronically transferred to the student’s account.

Repayment

Parent PLUS loans go into repayment 60 days after the loan fully disburses; however, parents may also opt to defer payments for up to four years while their student is enrolled at least half-time. Please note that interest will accrue and capitalize if you choose to defer payments. Parents can choose to defer payments as part of the application process. If you choose to defer repayment after the application process, please contact the loan servicer for more information.

For more information about the Parent PLUS loan, please visit the Federal Student Aid website.

In order to be eligible for a Federal Stafford Loan, a student must apply for financial aid by completing the Free Application for Federal Student Aid (FAFSA). Once the FAFSA has been completed, Student Enrollment and Financial Services will send a financial aid award to the student. If the award includes a Federal Stafford Loan, the student needs to accept or decline the loan through BannerWeb within 14 days from the date on their award letter or by May 1, whichever is later.

All students borrowing Federal Direct Loans at JCU will need to complete Direct Loan Entrance Counseling as well as a Direct Loan Master Promissory Note. You may have completed both of these requirements if you have attended a previous institution, but you will need to complete them again in order to borrow at JCU and have these funds credit your student account.

You will need your Department of Education-issued FSA ID to complete this process. Go to https://fsaid.ed.gov to find your current ID, apply for an ID, or to obtain a new ID. Please note: This process needs to be completed by the student with the student’s information, not the parent’s.

In order to finalize your Direct Loan you must complete both of the following online:

Entrance Counseling

  • Go to studentloans.gov
  • Click on green “Sign-In” button.
  • Sign in using your information and FSA ID.
  • Click on “Complete Entrance Counseling” and follow the instructions.

Master Promissory Note

  • Go to studentloans.gov
  • Click on green “Sign-In” button.
  • Sign in using your information and FSA ID.
  • Click on “Complete Master Promissory Note.”
  • Select “Subsidized/Unsubsidized” and follow the instructions.

*The process is not complete until you see a ‘Congratulations’ message.*

Please print confirmations for your personal records. John Carroll will be notified electronically within 24-48 hours once you have completed the process. All Federal Direct Stafford Loan funds will be electronically transferred to the student’s account on the first day of classes for the fall and spring semesters.

  • Loan Origination Fees for October 1st, 2017 to September 30th, 2018 1.069%
  • Loan Origination Fees for October 1st, 2018 to September 30th, 2019 1.062%
  • Interest Rates for Subsidized and Unsubsidized July 1st, 2018 through July 1st, 2019 5.05%
    • Interest will not accrue on the Subsidized Stafford Loan until the student graduates or drops below half-time enrollment. Once the student graduates or drops below half-time enrollment status, there is a six-month grace period before repayment begins.
  • Interest Rates for Subsidized and Unsubsidized July 1st, 2019 through July 1st, 2020 4.529%

Effective July 1, 2013, all NEW borrowers will be subject to a maximum time period that they can receive SUBSIDIZED loans. Students will only be eligible to borrow subsidized loans for 150% of the published length of their program.

New borrowers are any student without an outstanding balance on a Direct Loan or FFEL (Federal Family Education Loan) as of July 1, 2013. This can include new students entering college for the first time as well as non-traditional students returning to college who have paid off their previous student loans.

Additional information on the new time limitation is available here.

For more information about Stafford loans, please visit the Federal Student Aid website.

As of September 2017, the Federal Perkins Loan Program has expired. No new Perkins Loans can be awarded to students beyond the 2017-2018 academic year. Students will receive information about repayment of Perkins Loans at the time they graduate or are no longer enrolled at least half-time.