PLUS Loans: How Much Money for College Can I get with a PLUS loan?

PLUS loans offer parents the ability to pay for their children’s education even when they do not have enough capital to pay out-of-pocket. PLUS loans for parents provide families with a way to enable a student to concentrate on what matters most- their studies. By not having to worry about paying for education on their own via taking out student loans or other forms of financial aid, students experience much less stress and in theory will perform better overall in their academic studies.
However, most parents and even students are not aware of federal PLUS loans, so finding out as much about them as possible- including how much total money you can get- is essential to properly explaining a PLUS loan to your parents.

PLUS loans are obtained by your parents pending a credit application. While credit requirements are much less strict than those of traditional loans, it is important that your parent’s credit situation be in decent standing. For this reason, one of the first steps to obtaining a PLUS loan is to have your parents check their credit reports in order to catch any mistakes or inaccuracies and arm themselves with valuable information. After this is accomplished, you’ll have a better idea of how much money you can get with a PLUS loan.

How Much Money is Available Through a PLUS Loan?

PLUS loans are relatively easy to get, and the best part is that unlike regular student loans issued by the United States Department of Education, PLUS loans can be for any amount. In fact, your parents can use a PLUS loan to pay for your entire education- tuition, books, lab fees, transportation, living expenses, and health insurance can all be paid for with the PLUS loan.

The total amount of money for college that you can get with a PLUS loan depends upon your parent’s credit standing and how much expenses you have for college. Some parents might opt to simply pay for tuition, while others will pay for much more. For this reason, it is vital to have a candid conversation with your parents about how much your education will really cost and what part of that your parents can afford to fund using a PLUS loan.