Parent Plus Qualifications???? Insights please

I am worried about qualifying for a Parent Plus Loan. I had some credit issues a few years ago that resulted in a few credit card charge offs in 2015 – three years ago. Now all of my bills have been up to date for the last few years and my debt to income ratio is high. It says charge offs in two years, but what if they still show on credit report? What are the chances of being approved? Thanks.

The criteria are being more than 90 days past due on a ‘major’ debt, which is defined as being over $2500, filing bankruptcy within the last 5 years, or having defaulted on a federal debt.

If you do not qualify, your student will get to take an additional $4000 as a direct loan. If that isn’t enough, you should probably look at another school.

https://studentaid.ed.gov/sa/sites/default/files/plus-adverse-credit.pdf

Your most recent two years is what they look at. As long as your charge-offs were 2 years prior to your application date you’ll be fine. You may be declined in the auto review process, but it’s easy to file an appeal to document the two year dates. You’ll need a copy of your credit report when you submit your appeal to show the dates of charge off. If you don’t have a recent copy of your report get one now so you can confirm the dates.

Thanks so much. I’ve pulled all three reports and they all are at least three years old. I am hopeful to pay the loan off each year, but having the buffer of the loan would be very helpful. Any idea which reporting (transunion, experian, equifax) they pull to check?