Parent PLUS Loan

About

A Parent PLUS Loan is a loan that a parent (who may be a natural, adoptive, step, or divorced parent), borrows from the federal government to help pay for their child’s educational expenses while he/she attends Community College of Denver.

This loan is not based on income-to-debt ratio. Parent PLUS Loans are approved for parents who have a good credit rating. Your loan will be reported to credit agencies and becomes a part of your credit history.

Parents who have an adverse credit history will not be approved. Federal regulation classifies an individual as having an adverse credit history if they are 90 days or more delinquent on any debt or the subject of a default determination, bankruptcy discharge, foreclosure, repossession, tax lien, wage garnishment, or write-off of a debt during the five years preceding the date of the credit report.

Loan repayment is not deferred, unless the parent is enrolled at least half time at an eligible school.

The Parent PLUS loan application may be completed online at StudentLoans.gov or via hardcopy submission. All items must be completed in the Parent PLUS Loan Borrower Information Section, with only one parent as the borrower for the loan. Complete, sign, and return your Parent Plus Loan Application to the Office of Financial Aid.

Parent PLUS Loan eligibility is contingent upon approved credit. The result of your credit check will determine your next steps.

If your credit is approved: 

If your credit is denied:

  • Direct Loans will send you information on how to repair your credit or obtain an endorser.
  • If your credit is repaired or you obtain and endorser, you can complete an electronic Master Promissory Note (eMPN)
  • Your Federal Student Aid PIN is required.

If your credit is denied and you are not able to obtain an endorser or repair your credit:

  • Your child may borrow an additional unsubsidized loan.
  • The maximum additional loan that can be borrowed is $4,000 in unsubsidized loan funds.
  • The student must accept the loan and submit an eMPN, if required.

Each semester, your Parent PLUS Loan will be credited to your child’s tuition account after all requirements are met. It is applied first to the total tuition and fee expenses for the semester. If your child’s total financial aid (other than work-study) exceeds the total expenses, he/she will have a credit balance that will be refunded to him/her. Financial aid refunds are mailed directly to the student.

Important Notes Regarding this loan are as follows:

  • The parent borrower is obligated to repay the gross amount of the loan and accrued interest. The borrower may prepay all or any part of the unpaid balance of the loan at any time without penalty.
  • The repayment period begins on the date the loan is fully credited to the student’s tuition account. The first payment is due within 60 days from that date.
  • Payments will be made to the U.S. Department of Education. The U.S. Department of Education will provide the borrower with an opportunity to select a repayment plan. If the borrower does not select a plan, the Department will assign the borrower the Standard Repayment Plan.