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    Home > Finance > ED LOOSENS ELIGIBILITY FOR PARENT LOAN PROGRAM
    Finance

    ED LOOSENS ELIGIBILITY FOR PARENT LOAN PROGRAM

    Published by Gbaf News

    Posted on November 7, 2014

    1 min read

    Last updated: January 22, 2026

    The image illustrates the recent changes in eligibility for the federal PLUS loan program, aimed at helping parents and graduate students. The Education Department's new rules allow borrowers with minor overdue debts to qualify, enhancing access to education financing.
    Parent loan program eligibility changes announced by Education Department - Global Banking & Finance Review
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    WASHINGTON (AP) – The Education Department has loosened credit requirements for a federal student loan program used by parents and graduate students.

    A new regulation announced Wednesday updates the definition of adverse credit history as it pertains to the federal PLUS loan program. Under the rule, a potential borrower with overdue debt less than $2,085 is considered not to have adverse credit history. Others may still be able to participate if they pass additional steps, but must participate in loan counseling.

    In 2011, the department rolled out more restrictive requirements. Afterward, there was an outcry from Historically Black Colleges and Universities which serve a low-income population and have seen thousands of students lose eligibility.

    Copyright 2014 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

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