Federal Direct PLUS Loans are available for credit-worthy parents of dependent students, who are U.S. citizens, not in default on a prior student loan and who don’t owe a refund on a federal grant. Should a parent be denied a PLUS loan due to adverse credit history, the federal government will mail a packet outlining the process for obtaining a credit-worthy cosigner. Students whose parents are denied and are unable to obtain a credit-worthy cosigner may qualify for an additional Unsubsidized Stafford Loan ($4000 for freshmen and sophomores; $5000 for juniors and seniors).
PLUS Loan funds can be applied toward educational expenses including tuition, fees, room, board, books, personal, transportation and the cost of a required laptop computer for freshmen. It cannot be used for non-educational expenses such as buying a car, paying credit card debt, mortgage payments, home improvements, etc. Parents who've applied for loans to pay for indirect educational expenses (laptop computer, off-campus housing, etc.) should expect to receive a refund sometime after the add/drop period has expired once ALL direct educational expenses have been paid.
*** ALL BORROWERS SHOULD APPLY FOR THE TOTAL AMOUNT NEEDED FOR THE YEAR ***
For questions regarding credit denials and endorser requirements, borrowers are directed to call the Federal Direct Loan Department at (800) 557-7394. All other inquiries should be directed to the Loan Coordinator in the Office of Financial Aid at Quinnipiac University at (203) 582-8750.