<p>does anyone know what level of good credit is required to get a parent plus loan? My daughter received her tuition bill for this fall, and we cannot afford to pay the remaining balance that financial aid does not cover. However, due to long term unemployment, our credit at the moment is in the toilet. If we do not get approved, what other options are there? She will be a freshman.</p>
<p>There have been numerous posts regarding this and you might look. Good Luck.</p>
<p>hazmat,</p>
<p>ya put me on the spot (thanks for the vote of confidence). </p>
<p>I don't know how exactly the bank assesses ones creditworthiness for a PLUS loan but my guess would be using the same type of debt to income ratio that they use for extending consumer credit.</p>
<p>Has D first been able to take advantage of all loans the school has to offer her (unsubsidized stafford and perkins loans)? As a freshman, she is eligible for $2625. Does the school have the funds to give her a Perkins loan (up to $4000). Has she exhausted this full amount in loans? </p>
<p>IF not, I would suggest contacting the FA office to see if she could borrow her limit subsidized (that way the gov't is paying the interest while she is in school).</p>
<p>Apply for the PLUS loan anyway and let the process play itself out. The worse case scenario is should you be turned down than D can borrow an additional $4000 as an unsubdized stafford loan. I hope that this would be enough to close the gap.</p>
<p>I am a firm believer that our kids need to be active participants in the financing of their education. I know my own D is working over the summer. I supply carfare and lunch $ so that she is able to bank every $$ toward meeting her student contribution. Is your D currently working this summer to help earn $$ to offset the debt? If she is, maybe she can take on some babysitting or other odd jobs for additional money. If she has a job where she is paid by the hour or tis, maybe she can work some extra shifts. I know that this may not be the ultimate answer, but she won't be the first person to have to bite the bullet to do a little more. I hope it all works out.</p>
<p>This is the site recommended in a former post for folks with credit history problems.....their school recommended this site.</p>