Federal Parent Loan for Undergraduate Students (PLUS)

This loan program may be used to bridge the gap between cost of attendance and traditional need-based and/or merit-based assistance. Unlike the Federal Direct Stafford Loan, the Direct PLUS loan program requires that a borrower be creditworthy. In addition, a yearly Direct Parent PLUS loan application must be completed to confirm the borrower is creditworthy.


Important -  Please read the information on this page before clicking on the PLUS online application link at the bottom of the page

  • Parent borrower must not be in default on a federal loan
  • Parent borrower must be a biological or adoptive parent or a stepparent
  • Student must file a Free Application for Federal Student Aid (FAFSA)
  • A parent not included on the FAFSA remains eligible for the Parent PLUS Loan
  • Student must be enrolled at least half time
  • Parent borrowers must pass a credit check; if denied, an option to obtain a credit-worthy endorser or allow the student to borrow additional funds from the unsubsidized Stafford loan program is available
  • Credit checks are valid for 90 days; for loans to be used in the fall, do not apply before JUNE 1.

Maximum amount:

In most cases, the parent is eligible to borrow up to the cost of attendance minus any other financial aid the student receives. If in doubt, contact your student’s advisor.

If you request a specific amount, processing fees will be deducted from the amount requested. You can always check the box that says “maximum amount available” and our advisor will calculate this for you.

Additional information:


When the loan is disbursed, the Department of Education calculates a 4.204 percent processing fee which is deducted from the amount you request to borrow.

During the deferment period, accruing interest can be:

  • Paid by the parent borrower monthly
  • Paid by the parent borrower quarterly
  • Capitalized quarterly

Completing the online application:

Please go online to studentloans.gov to complete the Parent PLUS loan application. You will need your FSA ID to sign into this secure website. If you do not have one, please apply at https://fsaid.ed.gov/npas/index.htm

This application will immediately complete a credit check and you will be able to see the decision as soon as the application is submitted. If you are a new borrower, and the credit is accepted, to expedite the loan funds please fill out the Parent PLUS master promissory note (MPN). This MPN will be valid for 10 years or until you submit a written request to close it.

Remember when prompted for the school’s state, Graceland University is located in Iowa, for financial aid purposes.

Contact information:

For help with the online application or website please contact the Loan Origination Center at 800-557-7394. For general questions about the loan, please call Student Financial Services at 641-784-5369.  For more information please read: https://studentloans.gov/myDirectLoan/whatYouNeed.action?page=plusApp


Online application (studentloans.gov)

Sign the master promissory note  (studentloans.gov)

Request for loan increase