The Federal Direct Parent PLUS Loan for Parent(s) of Dependent Undergraduate Students

The University of Georgia participates in the William D. Ford Federal Direct Loan Program.

The Federal Direct Parent PLUS Loan is an educational loan for parents of dependent undergraduate students who are enrolled at least half-time. Financial need is not a requirement, but good credit is required. The annual maximum loan amount is based on the student's Cost of Attendance (COA) minus other aid received.

The Financial Aid Application Process must be completed each year by ALL students requesting loans, even if the only aid being requested is the Parent PLUS Loan.

Click here for Origination Fee and Interest Rates.

Historically, the first loan payment was due from the parent within 60 days of the final disbursement of the PLUS loan for the award year.   However for Federal Direct Parent PLUS Loans first disbursed on or after July 1, 2008, the borrowing parent can choose to defer payments on the PLUS loan until six months after the date the student ceases to be enrolled at least half-time.  Accruing interest can either be paid by the parent borrower monthly or quarterly, or be capitalized quarterly.

Once the Parent PLUS Loan offer has been accepted by the parent or student, the Student Accounts department in the Bursar's Office will mail to the student's permanent address the "Parent PLUS Loan Authorization Form".  The borrowing parent completes, signs and returns this form to Student Accounts.  Upon receipt of this form, Student Accounts transmits the loan origination information to the U. S. Department of Education.  If the loan is approved by the Department of Education, Student Accounts then provides the borrowing parent instructions on completing the Web-based Master Promissory Note (MPN).

As is the case for all student aid at UGA, Federal Direct Parent PLUS Loan funds are disbursed by the Student Accounts Department. OSFA does not disburse checks. Federal Direct Parent PLUS Loans are disbursed each semester they appear on the student's Award. See the Student Accounts Web page (http://www.bursar.uga.edu/fin_aid_disbursement.html) for details.

If the parent is denied the Federal Direct Parent PLUS Loan and elects not to use an endorser, the student may be eligible for the additional Federal Direct Unsubsidized Loan not to exceed the student's Cost of Attendance (COA).  First and second year students may borrow up to $4,000; third and fourth year students may borrow up to $5,000.  The student must either mail, fax (706) 542-8217, or e-mail (osfa@uga.edu) to OSFA a request to add the additional Federal Direct Unsubsidized Loan before the additional Unsubsidized Loan can be added to the student's Award.

Once the student and parent(s) complete a new Award Year Financial Aid Application Process, Federal Direct Parent PLUS Loans are automatically included in the student Award if the parent received a Parent PLUS Loan at UGA during the previous academic year. Any other parent of a dependent student who would like to borrow should provide us a written request for a Parent PLUS Loan including the student's name, Social Security Number (SSN) and indicate the desired loan amount. The request may be mailed, e-mailed to osfa@uga.edu (if e-mailed include only the last four digits of the student's SSN), or faxed to (706) 542-8217.

The Student Accounts Department (not OSFA) disburses loan funds. Please refer to their Web page at http://www.bursar.uga.edu/fin_aid_disbursement.html for additional information.