Federal Direct PLUS Loan Denial

Federal Direct PLUS Loan Denial Information

The Parent PLUS Loan is a federal education loan program many families utilize to pay for tuition, room, and board not covered by financial aid or other loans, such as Direct Student Loans, provided to the student.  In the Parent PLUS Loan program, the borrower is a parent.  However, credit is a factor in determining eligibility for the PLUS loan and not everyone will be approved. While the credit criteria used to determine approval for PLUS are not as stringent as they are for other consumer loans, a parent borrower still needs to meet a few credit-based conditions in order to receive financing.  If those conditions aren’t met, a PLUS loan denial will be the result.  

If you have been denied, don’t give up hope, there are still a few options left!