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Study Urges Tough Measures for Parent- PLUS Loan Requirements

When changes to the Parent PLUS loan program in 2011 resulted in loan denials for thousands of families the following year, it led to a huge disruption for students whose parents suddenly became unable to pay college tuition bills.

From October 2011 to October 2012, the rejection rate for PLUS loans jumped from 28 to 38 percent, and the loan denials disproportionately affected students attending for-profit schools and historically Black colleges and universities (HBCUs).