Parent Loans for Undergraduate Students (PLUS)

Parent PLUS Loans Overview

What Are Parent PLUS Loans?
Parent Loans for Undergraduate Students (PLUS) enable parents of dependent, undergraduate students enrolled in at least 6 credits to borrow funds to cover educational costs. Parents can borrow up to the cost of attendance minus any other financial aid. Each borrowing parent must complete a separate application.

Timeline for 2025-26 Parent PLUS Loan Processing

  • Application Opens: May 1, 2025
  • Verify Application: Students can check their PLUS Loan application status in BU BRAIN starting mid-June 2025. Look for "Satisfied Requirements" in the HOME section.
  • Loan Requirements: Completed loan requirements will be viewable in BU BRAIN from mid-June 2025.
  • Loan Disbursement:
    • Fall/Spring loans will be added to financial aid offers starting mid-June 2025.
    • Summer session loans will be added once processed.
  • Refunds: Any refund generated from a PLUS Loan disbursement will typically go to the parent unless specified otherwise during the application.

Important Note: No funds will be disbursed until all application requirements are met.

Interest Rate and Fees

Interest Rate: 9.083% (effective July 1, 2024); interest accrues upon disbursement.

Origination Fee: 4.228% for loans disbursed between October 1, 2020, and October 1, 2025. You will repay the full amount borrowed plus interest, but only 95.772% of the gross loan will be disbursed.

Use our Loan Origination Fee Calculator to determine your gross and net amount.

How to Determine Borrowing Amount

  1. Complete the FAFSA: Dependent students must submit the Free Application for Federal Student Aid (FAFSA) to receive a financial aid offer. Notifications will be sent via email directing students to BU BRAIN.
  2. Estimate Loan Amount Needed:
    1. Log in to my.binghamton.edu.
    2. Click on the BU BRAIN icon.
    3. Navigate to the "Financial Aid" tab.
    4. Select "Award Offer" and then "View SUNY Financial Aid Plan." Use the Net Cost section to estimate the Parent PLUS loan amount needed.

Application Steps

Step 1: Apply for a PLUS Loan (Starting May 1)

  • Use your FSA ID and password to log in to studentaid.gov
  • Select "Start PLUS Application Process," then choose "Parent PLUS."
  • Contact Customer Service at 1-800-557-7394 for assistance.
  • You'll receive an instant credit check upon completing the application.

Credit Check Considerations:
A poor credit history (e.g., bankruptcy, foreclosure, or significant delinquent debts) may result in denial.

Step 2: If Approved

Step 3: If Denied You have three options:

  1. Not Pursue the PLUS Loan: Your student may receive additional Federal Direct Unsubsidized Loans (up to $4,000 for first- and second-year students; up to $5,000 for third- and fourth-year students).
  2. Provide an Endorser: A creditworthy endorser can help secure the loan. They must pass a credit check and sign a promissory note.
  3. Credit Appeal: If you wish to document extenuating circumstances, additional information will be sent to you, and you'll need to contact applicant services for guidance.

Repayment Options

Repayment Begins: 60 days after the last disbursement for the academic year.
Payment Choices: Parents can pay interest monthly, quarterly, or choose to capitalize the interest.
Deferment Options: Payments can be deferred for 6 months after the student graduates or drops below 6 credits. For repayment questions, contact your loan servicer.