Temple University cherry "T" logo

Student Financial Services

Search Keywords

Federal Direct Parent Loan for Undergraduate Students (Parent PLUS)

The Federal Direct Parent Loan for Undergraduate Students (PLUS) is available to parents of dependent undergraduate students who apply and meet the minimum credit requirements. This loan is borrowed by the legal or biological parent of a student to cover any education-related expenses. In addition to the parent being credit-approved, students must meet all eligibility criteria to receive aid to benefit from the Parent PLUS loan.

Eligible parents of dependent students should utilize the tuition calculator and then apply for the annual loan amount needed. The SFS Office will receive the approved loan information directly from the Department of Education and post the funding to the student's financial aid account. Students will be notified via email of a Revised Award Letter for review - they will then be able to see the processed loan.

All Federal PLUS loan requests are processed for the full year and will be split evenly between fall and spring semesters. It is important that parent-borrowers factor costs for both Fall and Spring into their loan application. Summer Parent PLUS loans require a separate application.

We begin processing loans in late July and therefore recommend applying for a loan during July, once charges are assessed and you have an idea of how much you need.

Please make sure to request a 2025-2026 loan for the Fall 2025 and Spring 2026 semesters. Summer 2026 is a separate term, but it also falls under the 2025-26 academic year.

Adjusting a Parent PLUS Loan

To request an adjustment (increase, decrease or cancellation) to the Parent PLUS loan, the parent-borrower must complete and submit the Parent PLUS Loan Adjustment Request Form and submit via email to .

Please note that requests for a Parent PLUS increase can only be completed if the credit check on the original loan is still valid. If the credit check has expired, the parent-borrower will need to complete a new PLUS loan application to receive additional funds.

Endorsed Parent PLUS loans cannot be increased by Temple. If the Parent PLUS loan is endorsed and additional funds are needed, the parent-borrower must complete a new application at studentaid.gov and have the endorser complete a new addendum.

Do not return the excess funds to your lender or servicer if you intend to reduce the loan. Reductions will result in balances owed back to the university that can be resolved by returning the excess funds received as a refund. Please email refunds@temple.edu with questions.

There are limits to when and how we can adjust loans. We cannot increase, reinstate, or create federal loan records for the Fall semester if the student is not registered for Spring and the Fall semester is over. Please review the academic calendar for the end-of-semester dates. We also cannot adjust loans in this manner after the end of Spring.

Parent PLUS Loan Limits

For the 2025-26 academic year, there is no lifetime cap on how much a parent may borrow under the Parent PLUS loan. Effective July 1, 2026, due to the One Big Beautiful Bill Act (H.R.1) that was signed into law on July 4, 2025, there are limits imposed on new borrowers only. All parents (combined) may borrow $20,000 per year per dependent student and a $65,000 aggregate limit per dependent student (without regard to amounts forgiven, repaid, canceled, or discharged).

Borrowers with existing Parent PLUS loans made before July 1, 2026, can continue to borrow under the current limits for up to 3 years, or the remainder of their student's program, whichever is less.

Additional Parent PLUS Loan Information

Parent PLUS Loan Eligibility

Parent Eligibility to Borrow the Parent PLUS Loan

  • Be the biological or adoptive parent of the student
    • A stepparent is also eligible to borrow a PLUS Loan on the student's behalf, as long as the parent is currently married to the legal or biological parent of the student.
    • A legal guardian, grandparent, or other family member is not considered a parent for any federal student financial aid purposes and may not request a PLUS loan.
  • Pass a credit check administered by the US Department of Education
    • This check only considers a borrower's recent credit history
    • Credit checks are valid for 180 days.
  • Be in good standing on all federal loans (Perkins, FFELP, Direct, etc) already in the parent's name
  • Be a US Citizens or Eligible Non-Citizen

Student Eligibility to Benefit from the Parent PLUS Loan

  • Students must have a current, completed FAFSA on file
  • Meet all federal eligibility requirements
  • Be enrolled at least half-time (6+ credits)
Applying for the Parent PLUS Loan
  • Determine how much is needed in the loan.
    • Parent-borrowers can choose a specific amount or opt to have the maximum possible amount processed.
    • The maximum amount is determined by the following calculation:
      Students's Cost of Attendance (minus) all other aid = maximum amount of loan that can be processed
    • When calculating an amount less than the maximum possible award, consider the following:
      • Use the tuition calculator to calculate tuition, housing, meals and to subtract aid offered
      • Calculate the loan origination fee that will be assessed equally on the disbursements
  • Submit the application via studentaid.gov
    • The parent must log in with their FSA ID and password. Do not use the student's FSA ID.
    • Submit the application for the correct academic year. 
      • Fall 2025 and Spring 2026 is part of the 2025-2026 year; Summer 2026 is also part of the same year but requires a separate application.
    • The Fall account statement is issued on the third Monday in July. Parents can choose to wait until they receive the statement to submit an application
Parent PLUS Loan Interest Rate and Origination Fee

2024-2025

  • Interest Rate is 9.08% for Direct PLUS loans first disbursed on or after July 1, 2024 and before July 1, 2025.

2025-2026

  • Interest Rate is 8.94% for Direct PLUS loans first disbursed on or after July 1, 2025 and before July 1, 2026.

These are fixed interest rates for the life of the loan.

Understanding Net vs. Gross Federal Direct Loan Amounts

There is a 4.228% loan origination fee on all Direct PLUS Loans disbursed before October 1, 2026. The loan fee will be proportionately deducted from each loan disbursement. The Gross Amount of the loan is what you request and are responsible for repaying. The Net Amount of the loan is what pays to the student's account. The Net Amount is the Gross Amount of the loan minus the origination fee.

Example: Calculating Net PLUS Loan Amount for balance of $10,000.

Gross Loan (amount requested)             $10,000
Loan Origination Fee (4.228%)               -$423 (4.228% x $10,000)
Net Amount (amount disbursed)             = $9,577

The 2024-2025 origination fee is not yet available from the Department of Education.

Steps Following Credit Approval or Denial

Credit decisions are emailed to the parent who completed the application within 24 hours of submission.

If the loan is credit-approved

  • Complete the PLUS Master Promissory Note (MPN) on the studentaid.gov website. Choose "Complete Master Promissory Note (MPN)" then select "Parent PLUS." Follow the four-step process to accept your loan. 
  • If approved, the U.S. Department of Education will electronically transmit your information to our system. We will process it within a few days and issue revised Financial Aid Offer and disburse the funds, provided the MPN is completed and received

If the loan is credit-declined

  • Parent-borrowers with adverse credit history may still borrow the parent PLUS Loan by obtaining an endorser who does not have an adverse credit history, or by appealing the denial to the U.S. Department of Education.
    • The endorser cannot be the student on whose behalf the loan is requested.
    • Endorsed loans cannot be increased without a new application and endorser addendum.
  • PLUS online Counseling is required for all borrowers who are issued an initial denial
    • PLUS online Counseling is intended to help Direct PLUS Applicants:
      • Understand the cost and obligations that come with borrowing a PLUS Loan.
      • Make careful decisions about taking on federal loan debt.  
  • If a parent-borrower is unable to secure a PLUS loan, the student may be eligible for additional unsubsidized loans to help pay for their education.
    • The parent-borrower must first send an email to  from the same email account used on their denied Federal Parent PLUS application to confirm they do not wish to appeal the credit decision or seek an endorser.
    • Then the dependent student must complete and submit the Undergraduate Federal Loan Change Request Form to SFS
  • For more information, visit studentaid.gov or by calling Direct Loan Applicant Services at 800-557-7394 for more information regarding the denial, appeal, or endorser process.
Parent PLUS Loan Repayment, Deferment, and Forbearance

Repayment Options

During the Parent PLUS Loan application, the parent-borrower can choose to either begin repayment while the student is in school or to defer until the student either graduates or drops below half-time enrollment. If the parent-borrower selects the option to repay the loan while the student is enrolled, then the first payment is due 60 days after the first disbursement is made. For example: If the first disbursement is made in August, then the first payment is due in October.

The federal loan servicer assigned to the loan will provide information about repayment and confirm the date repayment begins. Repayments are made to the federal loan servicer. Repayment terms range from 10 to 25 years to repay the Parent PLUS Loan. Please refer to the federal StudentAid website for more information on loan repayment.

Deferment

Deferment lets parent-borrowers delay loan repayment until after their student is no longer enrolled at least half-time (less than 6 credits). Students who attend less than half-time will trigger repayment, even if the student has not graduated yet. Parents must request separate deferments for each loan period through their federal loan servicer.

Upon disbursement, parent-borrowers will receive repayment and deferment information from their loan servicer and may need to provide a copy of the student’s academic verification along with the in-school deferment form. For enrollment verification information visit the Office of the University Registrar's website.

If the loan is deferred, interest will accrue on the loan during the deferment. Parent-borrowers may choose to pay the accrued interest or allow the interest to capitalize when the deferment period ends. The loan servicer will notify parent-borrowers when the first payment is due. 

Forbearance

Parent-borrowers who are unable to make their scheduled loan payments should contact their loan servicer immediately. The servicer can help parent-borrowers understand their options for keeping the loan(s) in good standing. For example, the parent-borrower may wish to change the repayment plan or request a deferment or forbearance that allows them to temporarily stop or lower the payments on the loan(s).

In certain situations, parent-borrowers can have their federal student loan forgiven, canceled, or discharged.