The federally sponsored Parent PLUS loan is a low-interest student loan for parents of undergraduate, dependent students. With a Parent PLUS loan, families can fund the entire cost of a child's education (less other financial aid).

• You may apply for a Parent PLUS loan to pay for the higher-education-related expenses of an undergraduate, dependent child. Parents of independent students are not eligible.
• You must be a U.S. citizen or national, a U.S. permanent resident, or eligible non-citizen.
• A credit check is required.

• You may qualify for a 0.25 percentage point interest rate reduction when you make payments on your federal Parent PLUS loans by automatic debit.¹

• Flexible repayment options are available.
• Defer repayment while the beneficiary student remains enrolled at least half time and for an additional six months afterward.
• You can manage your account online 24/7.
• There is no prepayment penalty.
• There are no income or collateral requirements.
• Interest may be tax-deductible.
• We have an easy online application and approval process with an instant credit decision.

Loan limit

You may borrow up to the full cost of your child's education less other aid received. 

• Standard repayment: You make both principal and interest payments each month up to a 10-year repayment term. This plan has the lowest total interest cost.
• Graduated repayment: You make reduced payments in the early years of repayment and increased payments thereafter, while still paying off the loans within the maximum 10-year period. With graduated repayment, you have a higher total loan cost than with standard repayment.
• Income-sensitive repayment: Payments are a percentage of your gross income. You must reapply every year for this plan and payments are adjusted annually to reflect changes in income. With income-sensitive repayment, you have a higher total loan cost than with standard repayment.
• Extended repayment: If you have high student loan debt, you may be eligible for up to a 25-year repayment term and the choice of standard or graduated payments to keep payments affordable. With extended repayment, you have a higher total loan cost than with standard repayment.
• Income-based repayment: Income-based repayment (IBR) offers an opportunity to make affordable payments on Stafford, Grad PLUS, and most federal consolidation loans (excluding those with Parent PLUS Loans). The federally mandated program is designed to assist those who have high student debt levels relative to their incomes. IBR payments are based on discretionary income, which takes into account household size. You must demonstrate partial financial hardship to qualify for the IBR plan.

• You are responsible for all interest that accrues on the Parent PLUS loan. Unpaid interest will be capitalized (added to the loan principal) and you will therefore pay interest on a higher amount.
• Repayment on a Parent PLUS loan begins within 60 days after the final disbursement of the loan.

Borrower benefit information is valid as of February 18, 2010.

¹ Borrowers who authorize the automatic debit of funds from a designated bank account to cover their monthly education loan payments will receive an interest rate reduction of 0.25 percentage point during repayment on eligible Parent PLUS Loans. Assuming the loan is serviced by Sallie Mae, the benefit remains available for as long as the borrower's monthly payment amount is successfully deducted from the designated bank account. Borrowers can elect to make payments via automatic debit through Sallie Mae's online account management system. This benefit lowers your interest rate but does not change the amount of the monthly payment. This benefit is suspended during periods of deferment or forbearance. If the loan is not serviced by Sallie Mae, other restrictions may apply.

FIFTH THIRD RESERVES THE RIGHT TO MODIFY OR DISCONTINUE PRODUCTS, SERVICES, AND BORROWER BENEFITS (INCLUDING INTEREST RATE REDUCTIONS) AT ANY TIME WITHOUT NOTICE. APPLICANTS SHOULD CHECK THE FIFTH THIRD WEBSITE CLOSE TO THEIR LOAN APPLICATION DATE AND AGAIN PRIOR TO DISBURSEMENT TO OBTAIN THE MOST UP-TO-DATE INFORMATION REGARDING PRODUCTS, SERVICES, AND BORROWER BENEFITS.

Fifth Third and Fifth Third Bank are registered service marks of Fifth Third Bancorp. Member FDIC. All loans subject to credit review and approval. Sallie Mae is a registered service mark of Sallie Mae, Inc. SLM Corporation and its subsidiaries, including Sallie Mae, Inc., are not sponsored by or agencies of the United States of America. ©2010 by Sallie Mae, Inc. All Rights Reserved.