Parent PLUS loan terms

• The annual interest rate is variable, however will not exceed 9%. As of July 1, 2009 the fixed interest rate for PLUS loans is 7.9%. For current interest rates on the PLUS Loan, please visit the Direct Loans for Students website.   
• A processing fee of 4% is assessed by the Federal Loan Processor and deducted at the time of funds being released.
• Repayment begins 60 days after the final disbursement of the academic year.  If requested, the Department of Education offers other repayment options.  Contact the Federal Direct PLUS Loan Servicer at 1-800-848-0979 for detailed information.
• The parent is obligated to repay the full amount of the loan and accrued interest. Interest begins to accumulate immediately upon initial release of funds.