College of the
Canyons also participates in the PLUS loan program funded by
the federal government and guaranteed by the State of
California. Parent PLUS loans were created by the federal
government to help parents or stepparents pay for their
dependent student’s college costs, including tuition, fees,
books, housing, food and reasonable transportation
expenses. PLUS loans are made by banks, savings and loans
and credit unions under the Federal Family Education Loan
Program. PLUS loans are not based on your family’s income
or assets and parents can borrow up to the total cost of
education, minus any financial aid you receive. You must be
enrolled at least half time and be making satisfactory
academic progress.
The parent who
applies for the PLUS loan must be a U.S. citizen or an
eligible non-citizen, have a valid Social Security Number,
not be in default on a federal loan, not be liable for a
grant or Federal Perkins Loan overpayment and not have an
adverse credit history.
The interest rate
for a PLUS loan is fixed at 8.5%. The federal government
charges a 3% origination fee for each PLUS loan. You will
also be charged a 1% guarantee fee by College of the
Canyons’ guaranty agency, EdFUND. These fees are
automatically deducted from each disbursement of your loan.
Interest begins to accrue immediately and repayment starts
within 60 days of the loan’s last disbursement. You will
have up to 10 years to repay a PLUS loan. Your parent(s)
may choose to postpone interest payments, but any accrued
interest will be added to the original loan amount
(capitalization).
You
must first complete your FAFSA in order for your parents to
be considered for a PLUS loan.If
your parent is interested in a PLUS loan for you, a written
request must be submitted to the Financial Aid Office by
your parent(s). Your parent(s) may apply for a
PLUS loan online at
www.edfund.org at the PLUS Portal located in the section
entitled “Students and Parents”. At EdFund’s PLUS Portal
website, your parent(s) will be given a list of lenders to choose from for their
PLUS loan. This link will connect your parent(s) directly to
the lender of their choice website for a PLUS credit check,
application and/or information concerning loan processing.
Your parent(s) will be notified by mail whether or not their
PLUS loan has been approved. PLUS loan checks will be mailed
directly to the student’s parent(s).
This website is being updated and
maintained by the Financial
Aid Office: (661) 362-3215
