Do I have to pay back a Parent PLUS loan?

I feel like I was misled by my daughter’s college. They told me I couldn’t get help from them unless I applied for a Parent PLUS loan, even after I explained my financial situation. Now I have this loan due, but I’m on disability, and any extra income I had is gone. I’m almost 62 years old and financially unable to pay now or in the future. My daughter didn’t sign anything since she was under 18, and we used FAFSA and TAP to pay for college. Do I still have to pay this loan back?

Parent PLUS loans are in your name, so legally, you’re responsible for paying them back, even if your daughter didn’t sign anything. However, since you’re on disability, you might qualify for a Total and Permanent Disability (TPD) discharge.

@Perrin
Agreed. You should contact the Department of Education to check if you qualify for TPD discharge. That would completely eliminate your loan obligation.

@Perrin
Here’s the number for the Department of Education: 1-800-433-3243. They can guide you through the TPD process.

If TPD discharge isn’t an option, you might qualify for an income-contingent repayment plan. That could potentially lower your payments to zero based on your income.

Lake said:
If TPD discharge isn’t an option, you might qualify for an income-contingent repayment plan. That could potentially lower your payments to zero based on your income.

Exactly. Income-contingent repayment plans are designed to help people in situations like yours. Definitely explore that option.

You might want to reach out to your loan servicer to discuss hardship options. They might offer temporary forbearance while you figure out a long-term solution.

Oak said:
You might want to reach out to your loan servicer to discuss hardship options. They might offer temporary forbearance while you figure out a long-term solution.

Forbearance could give you some breathing room, but remember that interest will keep accruing. Try to find a permanent solution if possible.

If you’re struggling to navigate this, consider contacting a legal aid organization or a law school clinic. They might provide free or low-cost assistance to help with your case.

Federal loans like Parent PLUS have more flexible options than private loans. Don’t hesitate to reach out to the Department of Education or your loan servicer to advocate for yourself.

Jordan said:
Federal loans like Parent PLUS have more flexible options than private loans. Don’t hesitate to reach out to the Department of Education or your loan servicer to advocate for yourself.

Absolutely. The earlier you start the process, the more options you’ll have. Keep advocating for yourself!