Dear Parents:
You may want to consider a Federal PLUS Loan (Parent Loan for Undergraduate Students) to assist in paying the costs of college. This is a government-sponsored loan for parents of dependent undergraduate students. This loan is often used to help parents with the family's expected contribution. Parents of all income levels are eligible; however, new regulations require a credit-worthiness evaluation.
If you are interested in more information or would like to apply for a PLUS loan, please contact the Financial Assistance Office at 1-800-321-ALMA.
There are two steps in applying for a PLUS Loan.
Step 1-fill out the Alma College PLUS Loan Application.
Step 2-click here to select a lender and to complete a PLUS promissory note online.
Borrowing Limits
Up to the cost of attendance minus any aid. The maximum amount of Federal Stafford Loan eligibility will be counted as aid whether or not the student applies.
Interest Rates
This is a fixed rate loan at 8.5%.
Fees
All PLUS loans are subject to an origination fee of 3% and a guarantee fee of up to 1%. Fees are deducted from the loan proceeds at the time funds are disbursed.
Disbursements
PLUS Loans are sent directly to the school in two disbursements. The loan will be credited to the student’s account balance and any excess will be refunded at your discretion.
Repayment
Repayment of your PLUS Loan begins within 60 days after disbursement. The maximum repayment period is 10 years. The minimum monthly payment on principal and interest is $50.
