Parent PLUS Loan

The Federal Parent PLUS loan is available for parents of undergraduate dependent students. It is a federal loan that must be repaid. The interest rate is determined by the federal government and is currently fixed at 6.41%. Eligibility for this loan is based on credit history as determined by federal guidelines and the Department of Education. Half the loan will be added to the student's account in the fall and the other half will disburse during the spring semester. The maximum loan amount is not to exceed the student’s federal budget. Prior to disbursement, the Department of Education withholds 4.288% from the loan amount to cover loan origination fees.

Repayment of a Parent PLUS loan typically begins within 60 days after the full disbursement of the loan. However, a parent can request deferment of the PLUS loan while the student is enrolled. Documentation and additional paperwork may be required by the Department of Education in order for the deferment to be granted. This documentation may be required each year of enrollment. Interest will continue to accrue during the deferment period.

Important Information Regarding The PLUS Loan Process

  • Parent PLUS loans will have a 4.288% origination fee charged when funds are disbursed to the school.  This origination fee is already reflected on the student's myLipscomb account.
  • Parent PLUS loan credit decisions are only valid for 90 days.
  • PLUS loan approvals received will be divided evenly between fall and spring semesters.  If the loan is for one term, the Parent MUST contact the Financial Aid Office in writing to make the change.
  • If you previously completed a PLUS loan master promissory note with the Department of Education, you have NOT completed the PLUS loan process.  You must complete the steps above in order to be credit approved.  A Master Promissory Note does not mean a credit decision has been made.
  • Once the PLUS loan is approved, you will need to complete a PLUS loan Master Promissory Note in order for funds to be released to the school at the appropriate time.

Questions: Contact Donna Taylor (Phone: 615-966-6200)

Graduate PLUS Loan

The Federal Graduate PLUS loan is available for independent graduate students. It is a federal loan that must be repaid. The interest rate is determined by the federal government and is currently fixed at 6.41%. Eligibility for this loan is based on credit history as determined by federal guidelines and the Department of Education. The loan amount is not to exceed the student's cost of attendance, so the student will need to contact our office to find out how much loan money they are eligible for.

Half the loan will be added to the student's account in the fall and the other half will disburse during the spring semester. The maximum loan amount is not to exceed the student’s federal budget. Prior to disbursement, the Department of Education withholds 4.288% from the loan amount to cover loan origination fees.

In order for the Grad PLUS Loan to disburse, you must complete a Master Promissory Note at studentloans.gov.

Questions: Contact Deidra Cummings (Phone: 615-966-6203)