Types of Aid

Federal PLUS Loan

Graduate students and parents of dependent undergraduate students may apply for a Federal Direct PLUS Loan. The Federal PLUS Loan requires an additional application and the borrower must pass a credit check. A graduate student Federal PLUS Loan applicant must submit the Free Application for Federal Student Aid (FAFSA) for the applicable aid year.

Interest rates

Interest is charged on a PLUS Loan from the date of the first disbursement until the loan is paid in full.

Borrowers pay an origination fee assessed by the Direct Loan servicer

Eligibility

The parent borrower must:

  • be the biological or adoptive parent, or step-parent of the dependent undergraduate student for whom the loan is being borrowed.
  • not be in default on a federal student loan and not owe a refund on a federal education grant.
  • be a United States citizen or eligible noncitizen.
  • meet the lender’s credit requirements.

The student must:

  • be a dependent student enrolled at least half time in a program leading to a degree or eligible certificate program.
  • not be in default on a federal student loan and not owe a refund on a federal education grant.
  • be a United States citizen or eligible noncitizen.
  • meet general federal student financial aid eligibility standards
  • be enrolled at least half-time (undergraduate students: 6 semester hours / graduate students: 4 semester hours).

If a parent is denied a PLUS loan due to adverse credit, the student will become eligible for a Federal Direct Unsubsidized Stafford loan. Amounts vary depending on the student’s academic level.

Federal Direct PLUS Loans must be processed prior to the end of the semester for which the student was enrolled. Therefore, parents or graduate students are encouraged to complete the application process well in advance of the end of the semester.

Master promissory note (MPN) and Entrance Counseling

Parent and graduate student borrowers must sign a Direct PLUS loan Master Promissory Note

Graduate student PLUS borrowers must complete Direct PLUS loan Entrance Counseling

Parents and graduate student PLUS borrowers are not required to complete PLUS loan exit counseling.

Borrowing Limits

The Federal Direct PLUS Loan maximum amount is the student’s cost of attendance minus any financial aid.

Repayment

After a parent or graduate student borrower receives the full disbursement of the Federal Direct PLUS Loan for the school year, the repayment period begins. You will make your first payment within 60 days after the entire PLUS Loan is disbursed for a school year.

Repayment for a graduate PLUS loan borrower is deferred while you are enrolled at least half-time.