Parent PLUS Loan Program

Who can borrow a PLUS loan?

A parent of a dependent undergraduate student who has a FAFSA on file may apply for a parent PLUS loan.  A dependent student is a student who is required to complete the FAFSA with parent information.  A parent is a biological, adoptive, or step-parent.  The parent completing the loan application does NOT need to be the parent on the FAFSA, but Mines will ask for relationship confirmation before processing a loan if the borrower is not on the FAFSA.

How much can a PLUS loan cover?

The current limit for a parent PLUS loan is the student’s total Cost of Attendance budget minus all other financial aid.  The Cost of Attendance includes direct expenses (tuition & fees, on-campus room & board) and indirect expenses (books, personal expenses, off-campus room & board).  Parent PLUS loans can help with paying both direct and indirect expenses.  Any amount in excess of the semester bill can be refunded to the parent or to the student.  If a parent or student wishes to reduce a loan, they may do so by emailing the Financial Aid Office.

How do I apply for a PLUS loan?

Each year in the summer before the fall semester begins, parents wanting a PLUS loan should login to the Federal Loan Portal to apply for a Parent PLUS Loan.  Parents must login using their FSA ID!  Parents should apply for a fall/spring loan unless their student is graduating at the end of the fall term.  Loans are automatically split in half for one disbursement in the fall another disbursement in the spring.  Parents must specify an amount for the loan or choose “maximum loan amount;” Mines will not fill in an amount for you.  Students must have a FAFSA on file and be a dependent student on the FAFSA every year their parent wants to borrow a PLUS loan.  Processed loans will show on the student’s Trailhead account as accepted and can take up to two weeks to process.

Origination Fees

4.288% origination fee for 2023-2024 loans with a first disbursement date before October 1, 2023.  You should plan for the origination fee when choosing your loan amount.  Mines can add origination fees to the Cost of Attendance.  Example:  A parent is approved for a $20,000 PLUS loan with two equal disbursements: $10,000 in the fall, $10,000 in the spring.  The net disbursement to the student’s bill in each semester will be $9,572: $10000 – (10000 x .04288) = $9572.

Interest rates

• 2023-2024:  8.05% Fixed interest rate

Master Promissory Note

First-time borrowers and those requiring an endorser (co-signer) must also complete an online Master Promissory Note. The promissory note must be for a Parent PLUS Loan and must list the student. The Parent PLUS Loan promissory note must be completed by a parent, for federal student unsubsidized and subsidized loans the promissory note must be completed separately by the student. A Parent PLUS Master Promissory Note is required for each student even if it is the same parent borrower.

Repayment Terms

Repayment begins after the loan is disbursed in full.  If the parent requested a fall/spring loan, the repayment will begin after the spring disbursement.  Parents may request to defer payment until after the student graduates (or drops below half-time 6 credits).  A loan with deferred payments continues to gain interest while the student is in school.  The parent is responsible for making payments; the loan cannot be transferred to the student.  If death or permanent disability were to afflict the student or the parent borrower, the loan may be forgiven.  The repayment term is typically 10 years.  Complete terms of the loan can be found on Disclosure Statement for Federal Direct Loans.

Other Important Information

If the borrower is denied a PLUS Loan, they may either pursue an endorser or choose to not pursue the loan.  Student’s whose parent is denied a PLUS loan may have additional student loan eligibility.  More than one parent can apply for the PLUS loan.  If you would like to split the parent loan between parents, please contact our office.

Loan repayment estimator

Other Payment Options

Direct Student Loans

• Student must have a completed FAFSA and be enrolled at least half-time; 6 credits.
• Subsidized and/or Unsubsidized loans will be offered to a student on Trailhead.

Private Loans

• These loans are made through banks, credit unions, or other financial institutions and are subject to the lending institution’s terms.  Mines does not have a preferred provider list.
• Students may be the primary borrower with a creditworthy cosigner.
• The maximum amount for these loans is the student’s Cost of Attendance minus all other aid.  Private loans can be used for both direct and indirect expenses like off-campus living costs.
• Private loans are certified electronically by Mines.  It is recommended to apply for fall and spring as one loan with half being disbursed in the fall and half in the spring.  Summer loans should be independently obtained in April.
• Any amount borrowed in excess of the student’s bill may be refunded to them for other expenses.
• If a student would like to reduce a loan amount, they may do so by emailing the financial aid office.
• Private loans can take up to 6 weeks to process.

Payment Plan or 529 College Savings Plan

• Our Bursar’s Office has a monthly payment plan and can assist with all methods of payment.  Please visit their payment options website for more information.