If your credit decision was denied for the Graduate or Parent Plus Loan, you may still receive a Direct Plus loan by obtaining an endorser who does not have an adverse credit history. This guide has been created to assist the person who will be the endorser and/or cosigner on a Direct Plus Loan with the step by step instruction on how to complete this process online with Federal Student Aid Office.
Before you begin – your endorser may need to create a FSA ID
- Whomever your endorser is, will need to create a FSA ID to use on studentaid.gov, if they do not already have one.
- Continue through the prompted steps until the FSA ID is created.
Once your endorser has created a FSA ID, they will need to take the following steps:
Step 1 –
Log into the Direct PLUS Loan Endorser site, using their (existing or newly created) FSA ID.
Enter the borrower’s last name. This would be the parent that was denied for the parent Plus loan or the student denied for the graduate Plus loan. The borrower should have received an email from the Department of Education containing the endorser code.
If they lost it, the borrower can look up their endorser code with the following steps:
- Select their first name in the navigation bar at the top of the page and select “My Documents” from the drop-down options.
- On the “My Documents” page, under the “My Documents” section, choose “Direct PLUS Loan Application” from the drop-down.
- They can locate the Direct PLUS Endorser Code by selecting and expanding the Direct PLUS Loan Application that the endorser will co-sign (and if they are endorsing more than one loan, each loan will have a separate identifier).
Step 2 –
The endorser will then complete the rest of the application. Once the Department of Education makes a decision, they will email both the endorser and the borrower.
If the endorser is approved:
The borrower must complete the Plus Credit Counseling and a new PLUS Master Promissory Note.
You must wait until you have received the notice that the endorser was approved to do this.
