International Inquiries

Tuition and Financial Aid>Federal Financial Aid>Federal Aid Types>Federal Parent Loan for Undergraduate Students

Federal Parent Loan for Undergraduate Students


For: All parents and legal guardians regardless of income. Qualification is based solely on good credit. There are no debt-to-income ratio guidelines or employment verification requirements.

Loan Amounts: Parents may borrow up to the total education cost for the year, minus any other financial aid that the student is receiving. The total education cost can include tuition and fees, room and board, books and supplies, transportation, and living allowance.

Interest Rate: Generally, the interest rate charged will be variable (6.8 percent through June 30, 2008), based on the 91-Day Treasury Bill plus 3.1 percent and adjusted annually with a cap of 9 percent. Parents who elect to have their monthly payment deducted out of a bank account automatically will receive an instant interest rate reduction of 0.25 percent.

Applying: It is not necessary for you to complete a FAFSA (Free Application for Federal Student Aid) prior to applying. Parents and students must complete the PLUS application, designate a lender, and forward the completed application to Walden’s Office of Financial Aid. The university completes its portion and forwards it to the processing agent. At this time, a credit check is done. If the loan is approved, funds are made payable to Walden and the parent.

Disbursement: Usually done in three equal amounts at the beginning of each semester/quarter and sent directly to the university. A federal origination fee may be deducted from the proceeds.

Repayment: PLUS loan repayment normally begins within 60 days after the loan has been fully disbursed. In certain circumstances, parents may elect to repay the loan on a graduated repayment schedule, making interest-only payments (minimum is based on term of the loan or at least $50 per month) for a portion of the repayment term.

Resources

Financial aid staff are available to help you. Email finaid@waldenu.edu or call 1-800-WALDENU (1-800-925-3368) and follow the prompts for financial services.


Print    Email this Page


Check your financial aid status
Sign-in required. Access granted 3–5 business days after completing the FAFSA.
l