Direct PLUS Loan for Graduate Students
The Federal Direct PLUS Loan for Graduate Students (GradPLUS) is a credit-based loan that graduate students may borrow to fund their education. Students must be enrolled at least half-time in a degree program. It is strongly recommended that students take full advantage of their Federal Stafford Loan eligibility before applying for a GradPLUS loan.
Interest Rate and Fees
The federally-determined interest rate for the GradPLUS loan is fixed at 7.9 percent. Federal GradPLUS loans are subject to a 3 percent loan origination fee and a 1 percent federal default fee, both of which will be debited from your loan proceeds at the time of disbursement.
Repayment
Repayment on the GradPLUS loan begins within 60 days of the final disbursement, however currently enrolled students can qualify for an in-school deferment.
Maximum Loan Amount
The maximum amount a student can borrow in a GradPLUS loan is the total cost of attendance (comprised of tuition and fees, room and board or living costs, books and a personal expense allowance) minus all other financial aid.
Endorser
Students who are denied a GradPLUS loan may wish to add an endorser (co-signer) to the loan.
Application Tips
- File your Free Application for Federal Student Aid (FAFSA) and borrow the maximum in Federal Stafford Loans before applying for a GradPLUS.
- Apply for the total amount needed for the entire academic year
- 50 percent of loan will be disbursed in August and 50 percent in January
- Repayment would begin after January disbursement, unless the option to defer while enrolled in school has been selected
- Remember to account for up to 4 percent loan fees in determining your loan amount.
Loan Counseling
All first time GradPLUS loan borrowers are required to complete the federally-required GradPLUS Entrance Counseling. before the funds to disburse to your student account.
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