Parents do not automatically qualify for PLUS loans. In order to be eligible for a PLUS loan, parents must meet certain criteria, including:
- The student for whom the parent is borrowing must be a dependent undergraduate student enrolled at least half-time in an eligible program.
- The parent must be the student’s biological or adoptive parent, or the student’s stepparent if the stepparent’s income and assets are taken into consideration on the Free Application for Federal Student Aid (FAFSA).
- The parent must not have an adverse credit history, as determined by the Department of Education. This means the parent cannot have any delinquencies or defaults on their credit report, and cannot have any debt that is currently in collections.
- The parent must pass a credit check in order to be approved for the loan.
If a parent meets these criteria, they can apply for a PLUS loan by completing the FAFSA and submitting a PLUS loan application. The loan amount will depend on the cost of attendance at the student’s college, minus any other financial aid the student has received.
