I Have a PLUS Loan in Default. What Do I Do?

Depending on why your PLUS loan is in default, there are different steps to resolve the matter. Please see the different possibilities and steps for how to resolve each below:

If your parent is not in default or accidentally marked that they were in default:

• You and your parent can submit the Resolve Parent Default Status form and check the corresponding box in section B to correct the error.

If your parent is currently in default on a previous federal student loan or PLUS loan and will not be able to resolve it within the current academic year:

• You and your parent can submit the Resolve Parent Default Status form and check the corresponding box in section B.
• You can submit a Parent PLUS Loan Denial Funds Request form to Financial Aid and Scholarship Services, requesting a student Direct Unsubsidized Denial Loan. There are specific limits on the amount of additional student Direct Unsubsidized Denial Loans that may be awarded. It is based on your grade level, your remaining cost of attendance and your remaining aggregate lifetime limit. 

If your parent is no longer in default:

• You and your parent can submit the Resolve Parent Default Status form, check the corresponding box in section B and attach documentation showing your parent is in good standing such as deferment papers, consolidation papers or a copy of payments satisfying the default by the lender.

Need additional help? Access 24/7 live chat, create a case from My ASU Service Center or call 855-278-5080.