I understand that Parent Loans are based on a good credit rating. I do not have a good credit rating, what will happen when I apply?
If you apply and are denied, the school will receive a copy of the denial notice to the parent. Once the school receives that notice, we can replace the Parent Loan with a maximum of $5,000 Unsubsidized Stafford Loan, which is another student loan. Eligibility will be evaluated at the time of the denial. That amount is per academic year. The PLUS loan must be reapplied for yearly, in order to continue to check the credit-worthiness of the parent.
