Loans

Federal Parent Loan for Undergraduate Students (PLUS)

PLUS are loans parents can get to pay for your education if you are a dependent undergraduate student in a degree program. PLUS interest rate is 8.5% (fixed). The loans are unsubsidized, which means interest begins when the loan is disbursed.

Federal PLUS loans enable parents with good credit histories to borrow for each dependent child enrolled at least half-time (6 hrs.). PLUS loans (like Stafford Loans - see Section 10 of the Handbook) are made by private lenders. Parents may borrow up to the cost of attendance minus any financial aid received by the student. Repayment of both the principal and interest begins 60 days after the loan is fully disbursed but interest begins to accumulate after the first disbursement is made. Western offers pre-approval and on line PLUS Application. WIU will receive and certify the loan electronically.

It is highly recommended that parents start this process at least 6-8 weeks prior to the beginning of the school year in order to better guarantee that the disbursement will arrive on time. If you prefer to choose a lender not listed on the link above please send a copy your Application/Promissory Note to the Financial Aid Office. Also please attach a note providing the loan period and the amount of loan requested. Your loan period can be fall/spring, fall only, spring only or summer. PLUS is considered financial aid and students must meet WIU Satisfactory Progress Requirements to remain eligible for federal aid and MAP.

Students whose parents are denied a PLUS loan may be eligible for additional Federal Unsubsidized Stafford Loan. For more information, visit the Financial Aid Office or the ISAC College Zone website.

Parent Loan (PLUS) proceeds are credited directly to the dependent student's University account. Any unpaid tuition, fees and University contracted room and board are withheld from the proceeds. Any excess funds are disbursed to the parent borrower. Excess credit resulting from subsequent payments of grants, loans, or other types of student financial aid will be returned to the parent borrower until all proceeds from the PLUS loan have been paid out. Parents may complete the Direct Deposit Authorization-Parent Borrower form.