Parent Loans
PLUS loans require a credit check
and
credit checks are time sensitive.
Directions on How to Apply for a PLUS will be available after May1st.
Federal Direct PLUS Program
The Federal Direct Parent PLUS loan is a loan program for parents to help finance the cost of education. The loan is through the Department of Education and funded by the Department of the Treasury. The loan has a fixed rate of 7.90% with a 4% origination fee and an immediate 1.5% fee rebate. Therefore, the net fee is 2.5% which is deducted from the total amount borrowed prior to disbursement. The maximum amount a parent can borrow is verified by the College. It is determined by the total cost of attendance minus any financial aid awarded. Please refer to your financial aid award letter for these amounts. Repayment of principal and interest begins after the second disbursement for a maximum term of 10 years. You may be eligible for payment deferment if you meet certain requirements determined by the Department of Education. More information on the deferment option can be found on the Department of Education’s website: http://www.ed.gov/offices/OSFAP/DirectLoan/postpone.html .
We will begin processing Federal Parent PLUS loans on or about July 15, 2010. The Department of Education requires that a credit check be performed. Once approved, the credit check is only good for 30 days. Because of this time schedule, you should not apply for the loan earlier than June 30, 2010. If a parent is denied a Federal Parent PLUS loan, the student may qualify for additional funds from the Federal Direct Unsubsidized Stafford loan program. The student will have to make the request for the additional funds in writing to the financial aid office. Additional information on the Federal Direct Unsubsidized Stafford loan can be found at: http://studentaid.ed.gov/PORTALSWebApp/students/english/studentloans.jsp .
Disbursement of Funds
The PLUS Loan is normally payable in two disbursements, on-half of the total in each semester, and will not be disbursed to your account earlier than 10 days before the start of classes.
Loan funds will not be disbursed to the student's account until all necessary paperwork is completed, certified by the College, approved by the lender, and the student has enrolled in sufficient credit hours.
All undergraduates at Connecticut College must be enrolled full-time, normally 16 credit hours per semester.
Do not apply for your PLUS loans before June 15, 2009. Credit checks are time sensitive and if you apply prior to this date, you may have to reapply.
Here are two charts: 2009-2010Cost of Education and Calculating the Bill. This information will help you determine what you owe the Accounting office and what you may be eligible for in a PLUS loan.
|
Connecticut College Student Budget |
|
|---|---|
| Tuition & Fees | $ 42,335 |
|
Room & Board |
8,780 |
| Books & Supplies | $ 1,000 |
| Miscellaneous | $ 500 |
| Transportation(cost may vary) | $ 400 |
| TOTAL | $ 53,015 |
Calculating the Bill |
||
|---|---|---|
| BILL | Fall Semester | Spring Semester |
| Comprehensive fee (tuition,fees room and board) $51,115/2=25,557.50 |
$ 25,557.50 | |
| Health Insurance - may change (This can be waived but the Waiver Form must be signed and return to the appropriate department. Actual fee will be determined in April.) |
$ 711 | 0 |
| Tuition Deposit (if you were required to send in a deposit, you can deduct it from the semester charges for the fall) |
$ 500 | 0 |
| AMOUNT OWED TO THE BURSAR'S OFFICE (with Health Insurance) |
||
Last Modified: Friday, November 06, 2009 16:09