The Office of Financial Education is committed to educating students on navigating loans, budgeting and developing solid financial habits. We know parents play an important role in their personal growth and many students still seek advice and guidance from their parents regarding managing money. We want to provide resources and information to parents so they are able to offer the best information possible to their child.

Attend a Financial Education appointment with your student!

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Federal Direct Parent Plus Loans

Federal Direct Parent PLUS loans are loans parents may apply for on behalf of their dependent student. Your student must be admitted to a degree-seeking program and enrolled at least half-time (six credits). For more information about rates and how to apply click here.

Federal Parent Plus Loan FAQs

What is the interest rate?

The interest rate for a Parent PLUS loan is 6.31% fixed. Interest begins accruing when the loan is disbursed.

Why should I get a Parent PLUS loan?

A Parent PLUS loan is helpful if the amount of aid your student receives does not cover the total cost of their attendance at MSU.

Are there any fees for a PLUS loan?

There is a 4.276% origination fee. This is the money the lender takes out before disbursement. For example, if you borrow $3,000 with a 4.276% origination fee, you will actually receive $2,871.72.

Can I transfer the PLUS loan to my child?

No. As the name implies, this is a loan for parents and it is in your name. The student is now the borrower and the loan cannot be transferred.

Who can take out a PLUS loan?

Only biological or adoptive parents and stepparents may take out PLUS loans. Students with legal guardians and no living parents qualify as independent students.

How much can I borrow?

You may borrow up to the full cost of attendance (annually). There is no aggregate limit on the amount you may borrow during the time your student is in school

When do I begin repaying my loan?

You may either make payments while your child is in school or defer the payments until their graduation. But be aware that deferring will accrue interest. You can choose to pay off the interest during deferment, or you can wait to pay interest and principle until graduation.