Parent Loan for Undergraduate Students (PLUS)

The PLUS loan is available to parents of dependent undergraduate students to assist in paying for educational costs after other financial aid has been awarded. The funds are borrowed directly from the US Department of Education. 

Student must have completed a FAFSA in order to receive a PLUS Loan.   Students will see an award named "PLUS Loan - Offered" on his/her Award Letter or in the LOUIE account. This is the maximum amount a parent may be eligible to borrow. 

How does my parent apply for the PLUS Loan? 

Complete the Parent PLUS Loan Application.   

Completing the online application:

  • Parent will need to use their PIN to apply for the loan.
  • An instant credit decision is included in the online application
  • The Office of Scholarships and Financial Aid will typically receive completed applications the following business day.  The parent and student will both receive an email outlining the remainder of the process. 

Approval

If approved, the parent who completed the loan application must also complete a PLUS Master Promissory Note (MPN) prior to funds being released. 

  • Parent will accept or decline the loan after the credit check results are received by NAU.
  • Parent will sign the PLUS MPN at studentloans.gov using their electronic PIN. 
  • PLUS loan funds will pay charges (tuition, fees, housing and other current charges) on the student account. A refund for any excess funds will be sent to the parent via mail in the form of a check. However, if the parent chose for the student to receive the excess funds, they will be deposited into the student's account electronically (if direct deposit is set up) or mailed in the form of a check to the student's address on record.  

For more information, see the Parent PLUS Loan Terms

Denial 

If denied, the parent has three options.  More information on these options will also be emailed to the parent and student:

The Department of Education will send the parent documents regarding the denied PLUS loan application. These documents will include endorser information along with information on how to appeal the decision. Parents can begin Appeal process and and endorsers can begin the endorsement process online at studentloans.gov by signing in with his/her PIN

The denial decision will be sent electronically to the Office of Scholarships and Financial Aid who will offer the eligible student an unsubsidized loan within 3-5 business days.  The student must accept the additional unsubsidized loan in LOUIE before funds can release to the student’s account.  If the parent and student are pursuing an endorser or appealing the credit decision, the additional unsubsidized loan can simply be declined by the student in LOUIE.