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Parent PLUS Loan

What changed for Parent PLUS loans on July 1, 2026: the new yearly and total limits, the 2026-27 rate and fee, repayment and forgiveness rules, and a calculator for your payment and total cost.

Updated November 4, 2026. Free, no sign-up; everything runs in your browser and nothing you type is stored.

Parent PLUS loan calculator

Amount borrowed ($)Interest rate (%)Origination fee (%)Repayment term (years, standard plan)This year's Parent PLUS for this student ($)Total Parent PLUS for this student so far, incl. this year ($)

Monthly payment

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–Paid to the school after the fee

–Total interest

–Total repaid

Parent PLUS loan changes for 2026-27

New limits: for Parent PLUS loans first disbursed on or after July 1, 2026, parents can borrow up to $20,000 a year per student and $65,000 in total per student. Before, the limit was the cost of attendance minus other aid.
Legacy rule: families with a Direct Loan disbursed before July 1, 2026 may keep the old limits while the student stays continuously enrolled in the same program, for up to three more academic years; confirm with the school's financial aid office.
Rate and fee for 2026-27: 9.07% fixed interest and a 4.228% origination fee, taken out of each disbursement.
Repayment: new Parent PLUS loans disbursed on or after July 1, 2026 can only use the standard repayment plan, with no income-driven option. Parents who consolidated earlier loans before that date may keep income-contingent repayment access.

How much a Parent PLUS loan costs

Borrowing $20,000 at 9.07% for 10 years costs about $254.11 a month and $10,493 in interest on top of the $20,000; the 4.228% fee means only about $19,154 reaches the school. Because the rate is high and payments can't be tied to income for new loans, compare the student's own Direct Loans first, then private parent loans.

Parent PLUS loan forgiveness

Parent PLUS loans can be discharged if the parent dies or becomes totally and permanently disabled. Forgiveness options that depend on income-driven repayment don't fit new Parent PLUS loans limited to the standard plan; borrowers with older loans should check their options with their servicer and the school.

Common questions

How much can parents borrow with a Parent PLUS loan?

For loans first disbursed on or after July 1, 2026: up to $20,000 a year and $65,000 total per student, unless legacy rules apply.

What is the Parent PLUS interest rate for 2026-27?

9.07% fixed, with a 4.228% origination fee.

Can Parent PLUS loans use income-driven repayment?

New loans disbursed on or after July 1, 2026 are limited to the standard plan; some earlier consolidated loans keep income-contingent access.

Is a Parent PLUS loan in the parent's name?

Yes, the parent is the borrower and is responsible for repayment.

Sources

More loan and car calculators: FAFSA Student Loans 2026-27 · Do Medical Bills Affect Your Credit · SBA 7a Loan · Student Loan Interest Deduction

General information, not financial, tax or legal advice. Check important numbers with the official source before acting on them.