Parent PLUS Loan

A Federal Parent Loan for Undergraduate Students (PLUS) is a low-cost education loan for parents. The PLUS Loan offers excellent repayment terms and a fixed interest rate of 8.5% and a 4.0% fee -- 3.0% origination fee, and 1.0% default fee. The 4.0% fee is deducted from the amount borrowed before the college receives the funds. However, if you prefer to borrow on a per semester basis, you must apply over the phone by contacting AES at 1-800-692-7392.

First-Time Borrowers should apply upon reviewing this information and no later than July 1. The Financial Aid Office recommends applying for the full year rather than on a per semester basis. You may access the list of LVC's preferred lenders below for information and application instructions. As a first-time borrower, the first disbursement of the PLUS will be delayed until the end of the drop/add period.

Current Borrowers should reapply after receiving the financial award package in early July. By waiting until the package is received, you'll know the total amount you'll need to borrow to cover annual expenses. The Financial Aid Office recommends applying for the full year rather than on a per semester basis. However, if you prefer to borrow on a per semester basis, you must apply over the phone by contacting AES at 1-800-692-7392. You may access the list of LVC's preferred lenders below for information and application instructions.

Advantages of the PLUS Loan include:

  • Qualifications for a PLUS are based solely on good credit, and there are no debt-to-income ratio or employment verification requirements
  • The maximum amount you may borrow is equal to the cost of attendance minus other financial aid (Pease note: the cost of attendance includes the estimated expenses for books, transportation and personal, not just billable charges)
  • Flexible repayment terms with up to 10 years to repay the loan and a forbearance option allowing the parent to make interest-only payments or no payments for up to four years while the student is enrolled
  • Interest may be tax deductible
  • Payments as low as $50/month
  • No penalty for early repayment or payoff
  • The student is eligible to borrow additional unsubsidized Stafford Loan Funds if the PLUS Loan is denied (more information below)
  • Provides a built-in insurance for death and disability that applies to both the borrower and the student at no additional cost
  • You may opt to do a combination of both the PLUS Loan and the HES payment plan

If your parents are denied the PLUS Loan, you (the student) are eligible to borrow additional funds through the unsubsidized Stafford Loan program ($4,000/year for freshmen and sophomores and $5,000/year for juniors and seniors). You must notify the Financial Aid Office in writing or via email of the amount you would like to borrow in additional Stafford funds after the PLUS Loan is denied. You may send an email to finaid@lvc.edu. No additional Stafford funds will be processed without a written request.

LVC's PLUS preferred lender list

Graduate PLUS Loan

The Graduate PLUS is a federal loan for full-time graduate students. It offers excellent repayment terms and a fixed interest rate of 8.5%. There is also a 4.0% fee -- 3.0% origination fee and 1.0% default fee. The 4.0% fee is deducted from the total amount borrowed before the college receives the funds.

Students choosing to borrow through the Graduate PLUS loan should do so upon reviewing the financial award package which is mailed in early July. By waiting until the package is received, you'll know the total amount needed to cover annual expenses. The Financial Aid Office recommends applying for the full year rather than on a per semester basis. However, if you prefer to borrow on a per semester basis, you must apply over the phone by contacting AES at 1-800-692-7392.

First-time borrowers will be required to complete Entrance Counseling (if haven't done so in the last 6 months) and a Master Promissory Note (MPN). Due to new federal regulations, current borrowers will also need to complete Entrance Counseling since this was not a requirement last year. Our office will be notified via email when you complete the session.

You may access the list of LVC's preferred lenders below for information and application instructions.

LVC's Graduate PLUS preferred lender list