Federal PLUS Loans

The Federal PLUS loan is available for parents of dependent students. This loan program is "credit based" and not "need-based". A parent may borrow up to the dependent student's costs of education less other aid offered. The interest rate is variable, not to exceed 9 percent. Interest is not subsidized by the federal government.

The Federal PLUS annual maximum is set at "cost of attendance" minus other aid, including Federal Stafford Loan and Federal College Work-Study eligibility. A student's total aid package, including a Federal PLUS, may not exceed the cost of attendance. For example, if your cost of attendance is $6,000 and you receive $4,000 in other financial aid, your parents could borrow up to-but no more than-$2,000.

The student and parent must complete and return a Free Application for Federal Student Aid in addition to the Federal PLUS application. Both applications are available in the Financial Aid Office.

Select a lender. Once we have processed your loan, a promissory note will be mailed to your parent(s). Your parent(s) must sign the promissory note and mail it to the lender. When your lender receives the signed promissory note they will disburse the funds to our office, Northwest Florida State College will verify if you are still eligible to receive them.

Once we have confirmed your continued eligibility, Northwest Florida State College will require your parents to endorse the disbursement check. The loan will be disbursed in at least two installments. The funds will first be applied to your tuition, fees, and other school charges. If any loan funds remain, your parents will receive the amount as a check. Any remaining loan funds must be used for your education expenses. Repayment of PLUS loans must begin within 60 days after the final loan disbursement.