Federal Direct PLUS Loans

About Direct PLUS Loans

Parents who wish to borrow to pay for their dependent student's educational expenses may apply for a low-interest Direct PLUS Loan funded by the U.S. Department of Education.

  • The interest rate is fixed at 8.05%.
  • A loan fee of 4.228% will be charged.
  • A credit check will be performed during the application process.
  • The maximum loan amount is the cost of attendance (determined by the school) minus any other financial aid received.
  • The parent who completes the application and obtains the PLUS Loan (as the borrower) is legally responsible for repayment of the loan.
  • Repayment begins within 60 days of the disbursement date.
  • A student whose parent is denied a PLUS Loan may be eligible for an additional $4,000 unsubsidized Direct Loan.
  • More information can be found here.

How to Get a Direct PLUS Loan

First, students should...

  1. Complete the FAFSA using SMC's code, 002317.
  2. Make sure all items in the financial aid column of their Student Dashboard are marked as "Complete".

Then, parents should...

  1. Apply for a PLUS Loan at studentaid.gov.

If approved, parents will then need to...

  1. Complete a Master Promissory Note via studentaid.gov.
  2. Complete Entrance Loan Counseling, if required as indicated when applying for the PLUS Loan.

Note: Students must meet and maintain SMC's Satisfactory Academic Progress Policy to remain eligible for the PLUS loan.