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The federal is a non need-based, federally guaranteed education loan for families of all income levels. The PLUS Loan is processed and managed by ��������. Loans are “variable-fixed,” meaning borrowers receive a new rate with each new loan, but then that rate would be fixed for the life of the loan.

PLUS Loans are available to parents of dependent undergraduate students enrolled at least half-time in a degree-granting program. A current-academic-year FAFSA must be completed for any student whose parent wishes to apply for the PLUS Loan. Before borrowing a PLUS Loan, you may want to determine if the Federal Direct Student Loan has been maximized for the academic year.

To apply for a parent PLUS Loan:

1. Enter the borrower’s personal information on the Studentaid.gov website. PLUS Loans are available to parents of dependent undergraduate students enrolled at least half-time in a degree-granting program. A current-academic-year FAFSA must be completed for any student whose parent wishes to apply for the PLUS Loan.
2. Enter the student’s information. Borrowers have the option to select who (borrower or student) should receive a credit balance if applicable. The Federal Direct PLUS Loan can be requested for the cost of education minus financial aid. Per federal regulations, if a parent’s credit is denied on a PLUS Loan, the student is then eligible for an additional Unsubsidized Federal Direct Student Loan.
3. Review the application.
4. Credit Check and submit application. When you apply for a Direct PLUS Loan, the department will check your credit history. If you are found to have an adverse credit history, you may still borrow a PLUS Loan if you add an endorser who does not have an adverse credit history to your application. An endorser is someone who agrees to repay the Direct PLUS Loan if you do not repay the loan. The endorser may not be the student for whom a parent obtains a Direct PLUS Loan. In some cases, you may also be able to obtain a Direct PLUS Loan if you are able to document extenuating circumstances related to your adverse credit history.

How is a loan disbursed (paid out)?

Loan proceeds are disbursed in two equal installments, one per semester. Parents are encouraged to apply for a full year loan as credit decisions are good for only 180 days; applying for a second loan in the spring semester may require a second credit decision.

When do parents begin repaying the loan?

There is no grace period for Direct PLUS Loans. The repayment period for each Direct PLUS Loan you receive begins 60 days after the last disbursement of the loan. You can defer repayment of Direct PLUS Loans while the student for whom you obtained the loan is enrolled at least half-time, and for an additional 6 months after the student graduates or drops below half-time enrollment. You must separately request each deferment period:

• Full-year loans begin repayment in March.
• Fall-only loans begin repayment in October.
• Spring-only loans begin repayment in March.

Generally, you'll have from 10 to 25 years to repay your loan, depending on the repayment plan that you choose. You can pay your PLUS loan using the standard, extended, or graduated repayment plan. .

The Direct Loan Servicing Center will notify you of the date your first payment is due. If you do not choose a repayment plan, you will be placed on the Standard Repayment Plan, with fixed monthly payments for up to 10 years. You can change repayment plans at any time by going to the and logging in to your account.

Trouble making payments?

If you’re having trouble making payments on your loans, contact the as soon as possible. The Direct Loan Servicing Center staff will work with you to determine your best option.

Options include:

• Changing repayment plans.
• Deferment, if you meet certain requirements. A deferment allows you to temporarily stop making payments on your loan.
• Forbearance, if you don't meet the eligibility requirements for a deferment but are temporarily unable to make your loan payments. A forbearance allows you to temporarily stop making payments on your loan, temporarily make smaller payments or extend the time for making payments. Read more about .

Additional details are available on the .

Contact Information

For questions about credit appeals, PLUS Loan issues, and/or endorser processing, please contact

Direct Loans Origination Center
800-557-7394

The Massachusetts Educational Financing Authority

MEFA is a not-for-profit, self-financing state authority, not reliant on state or federal appropriation, that serves students and families in Massachusetts and out-of-state students pursuing higher education in Massachusetts.

The is a non need based family education loan funded by the Massachusetts Educational Financing Authority (MEFA). The fixed rate undergraduate MEFA loan allows students and their families to borrow up to the full cost of education less financial aid at Massachusetts colleges and universities. Residents of all states are eligible to apply.

MEFA offers a number of payment options including immediate, deferred and interest only repayment as well as a option.

The parent borrower or any credit-worthy applicant can research and complete a or by phone at 800-449-MEFA.

There is no pre or accelerated payment penalty. Student loan interest may be tax-deductible. Deferred loans result in an increased cost of borrowing. The maximum certifiable amount is the cost of education minus any financial aid.

Other state programs

Students should review options available with their state's higher education assistance programs. Many states offer aid programs (e.g., grant and loan) to students attending institutions out of state.