As the name suggests parents plus loan is for parents, but then all parents cannot take it, because it specifically includes parents whose children will be attending a post-secondary institution from a community college, trade school or four-year college. In other words if the parents are unable to finance their child’s further studies then they can take parent plus loan.


They are considered a good option when compared to student loans because the rate of interest is much lower here and offer very affordable repayment plans. Parent plus loan is can be obtained through the Department of Education and if approved the loan amount is sent directly to the applicant. At present the rate of interest on parent plus loan is 3.28%. Undoubtedly it is the lowest rate of interest charged on any loan.