When to apply for Parent PLUS loans - before or after FAFSA award package?

You need to wait until after the financial aid award package comes in. Here's why: the Parent PLUS loan is designed to cover the \

Do u need to apply for PLUS loan every year? Or is it a one time thing?

We just went thru this last yr with my son!!! You definitely have to wait for the financial aid package first because you need to know how much to request for the PLUS loan. It's super annoying because by the time you get the award letter it's usually pretty late in the game.

Ugh that's what I was afraid of. Did your son's school include the Parent PLUS loan as an option in his award letter or did you have to figure out the amount and apply separately?

@Parkhana - Yes, you need to apply for the Parent PLUS loan EVERY year. It's not a one-time application for all four years. Each academic year requires a new application and credit check.

That's good to know! I was assuming it would be annual but wasn't sure. I'm worried about the credit check part - do they look at debt-to-income ratio or just whether you have any major negative marks?

waiting for the award package is THE WORST. my daughter got accepted to 3 schools and we had to wait until APRIL for all the aid packages to come in before we could figure out the parent plus stuff. almost had a heart attack when i saw how much we needed to borrow lol

Same!! We had to take out way more than we thought because they offered WAY less aid than their \

To specifically answer your timing question: Parent PLUS loan applications for the 2025-2026 academic year typically open around May/June 2025. You apply through studentaid.gov using your (parent) FSA ID, not your daughter's.\n\nThe application asks for the specific loan amount, which is why you need the award letter first. It shows:\n- Cost of Attendance (COA)\n- Minus your daughter's grants/scholarships\n- Minus her direct loans\n= The remaining amount (your PLUS loan amount)\n\nAlso important: PLUS loans have an origination fee (around 4.2%) that's deducted from the disbursement amount. So if you need $20,000 to cover costs, request about $20,900 to account for the fee.

This is incredibly helpful, thank you! I didn't know about the origination fee being that high. Do you know how long the approval process typically takes once I apply?

If anyone here is trying to reach Federal Student Aid to ask about Parent PLUS loans, I highly recommend using Claimyr. I spent DAYS trying to get through to ask questions about our loan application that the school couldn't answer. With Claimyr, they held my place in line and called me when an agent was available. Saved me hours of hold time. Their demo video shows how it works: https://youtu.be/TbC8dZQWYNQ\n\nThey literally saved our sanity during the whole financial aid process. The website is claimyr.com if anyone needs it.

Does this actually work? FSA never picks up when I call!

Yes! That's exactly why I used it. I had called 8 times before and either got disconnected or couldn't wait on hold for 3+ hours. Claimyr held my place so I could do other things and then connected me when an agent was ready.

one thing nobody told us was that even after you APPLY for the parent plus loan it takes like another 3-4 weeks to actually get processed and approved!!! wish we'd known that sooner cuz we almost missed the tuition deadline and had to pay a late fee.

That's really good to know!! Our daughter's school requires the first payment by July 15th so it sounds like we need to start this whole process ASAP once we get her award letter.

@OP regarding your credit check question: The Parent PLUS loan credit check is actually fairly minimal compared to private loans. They're mainly looking for \

This is such a relief! My credit isn't bad but we have a lot of debt from home renovations, so I was worried about the debt-to-income ratio. Thank you!

MY ADVICE: Also look into private student loans!! Sometimes they have better interest rates than Parent PLUS loans. We found a credit union offering 2% lower than the PLUS rate, which saved us thousands. Just make sure you compare the total costs including fees.

But private loans dont have the same forgiveness options or income-driven repayment plans that federal loans do. Just something to consider if theres any chance you might need those in the future.

Thanks everyone for the helpful advice! I'm going to wait for her award letter before applying, build in extra time for processing, and check on private loan options too. This is all so complicated - wish they taught this stuff in high school!

You're welcome! One last piece of advice: once your daughter's award letter arrives, call the school's financial aid office directly if you have questions about the Parent PLUS process. They can often walk you through their specific timeline and requirements, which sometimes vary slightly between institutions.

Great thread! As someone who just went through this process last year, I wanted to add a few things that caught me off guard. First, some schools will actually include an estimated Parent PLUS loan amount in their initial award letters to give you a full picture of financing options - it's worth asking your daughter's financial aid office if they do this. Second, while you're waiting for the award letter, it's a good time to gather your financial documents since you'll need tax info for the PLUS application. Also, if you're considering multiple schools, remember you can't transfer a Parent PLUS loan between institutions, so wait until you know her final choice. The interest rate for Parent PLUS loans is fixed but tends to be higher than undergrad federal loans (currently around 7.28%), so definitely worth comparing with private options if your credit is solid. Good luck with the process - the waiting is definitely the hardest part!

Just wanted to jump in as someone currently going through this process! My son is also starting fall 2025 and we're in a similar boat. One thing I learned from calling our school's financial aid office is that they actually encourage parents to create their FSA ID account NOW if you haven't already - that way you're ready to go the moment the PLUS loan application opens. The FSA ID creation process can take a few days to verify, so getting that done early saves time later. Also, our school's financial aid counselor mentioned that if you have questions about the award letter when it arrives, don't hesitate to schedule a phone appointment with them. They can often explain exactly how much you'd need to borrow and walk you through the next steps. The whole process is definitely nerve-wracking but at least we're all figuring it out together!

As a new parent navigating this process, this thread has been incredibly helpful! I'm in a similar situation with my daughter starting fall 2025. One question I haven't seen addressed - for those who've done this before, do schools typically send award letters all at once or do they trickle in over weeks/months? I'm trying to plan when to expect ours so I can start the Parent PLUS process with enough time before any deposit deadlines. Also, has anyone had experience with appealing financial aid awards if the package isn't sufficient? I'm wondering if that's something to try before committing to a large Parent PLUS loan amount.