Click here to download your free FAFSA Guide. The interest rates are based on the 10-year Treasury Note (determined each year by the final auction prior to June 1) plus a fix margin (see table). The Federal Direct Graduate PLUS Loan is a loan limited to graduate students. Graduate students can borrow Grad PLUS loans to cover any costs not already covered by other financial aid or grants, up to the full cost of attendance. To obtain a Grad PLUS Loan, you should apply for a PLUS Loan at StudentAid.gov or contact the financial aid office at your college or university. Grad PLUS loan. The loan will be originated within one to two business days after you have accepted the Grad PLUS loan. Unlike Parent PLUS Loans, Grad PLUS Loans are eligible for nearly all of the different repayment plans offered by the U.S. Department of Education. You may cancel all or a portion of the loan by informing the school within 14 days after the date the school sends this notice, or by the first day of the payment period, whichever is later. The Direct PLUS Loan is unsubsidized, so interest accrues while the student is enrolled at least half-time and during deferment periods. In addition, you will have access to benefits typical of federal loans, including eligibility for income-driven repayment. Annual borrowing limit: $20,500 ($40,500 for medical students), Annual borrowing limit: Cost of Attendance (COA) minus other financial aid received, You are responsible for paying all interest, Loan payments can be deferred while you are enrolled on at least a half-time basis at an accredited graduate school or professional school, Simple credit check: You can’t have an adverse credit history, Cosigner/endorser (if you have a negative credit history), No bankruptcies or other adverse action on any Title IV loans, A current delinquency of 90 or more days on more than $2,085 in total debt; or, More than $2,085 in total debt in collections or charged off in the past two years (before the date of the credit report); or, Default, bankruptcy discharge, foreclosure, repossession, tax lien, wage garnishment, or write-off of federal student loan debt in the past five years (before the date of the credit report), Room and board (if you are living in college-owned housing), Other school charges (with your permission), Compare the costs and benefits of Grad PLUS Loans and, If you are denied for a Grad PLUS Loan due to an adverse credit history, find a. In addition, you don’t have to make payments during the six-month grace period after you graduate or drop below half-time enrollment status. Would love your thoughts, please comment. Get Your Free Guide to Filing the FAFSA Today! The Direct Loan program sends the Grad PLUS Loan funds to your school to be credited to your student account. A copy of this article has been sent to your email. Edvisors is not a lender and makes no representations or warranties about your eligibility for a particular loan or financial aid. You will use the same FSA ID used to sign your FAFSA to apply for your Grad PLUS Loan. The annual limit on a Grad PLUS Loan is equal to your school’s total cost of attendance (COA) minus any other financial aid received. A PDF of this page has also been sent to the email provided. Like the FAFSA, PLUS Loans must be requested each academic year. The Grad PLUS Loan interest rate is the same for all borrowers who get approved and can change each school year for new loans. The federal government does not pay the interest on the Federal PLUS Loan. Similar to the Parent PLUS loan for parents of dependent undergraduate students, the Graduate PLUS loan is an unsubsidized federally guaranteed education loan with no annual or aggregate limits. Close • Posted by just now. (Note: If you are denied a Grad PLUS Loan because of an adverse credit history, you don’t become eligible for higher Direct Unsubsidized Loan limits.). Loan offers from participating lenders that appear on our websites are not affiliated with any college and/or universities, and there are no colleges and/or universities which endorse Edvisors’ products or services. The parent PLUS loan, however, is only eligible for … A 4.228% fee is deducted from the loan amount before the funds are sent to the school. It offers a fixed interest rate and flexible loan limits. The Grad PLUS Loan, also known as the Graduate PLUS Loan, is a federal student loan meant for those who are going to graduate or professional school. Repayment of the Federal Direct Grad PLUS Loan begins within 60 days after the final loan disbursement, unless the student is enrolled at least half time and has requested, and received, a deferment. I want to take out a grad plus loan to pay for my masters program next year, but I have never had a credit card (planning to get one ASAP) and I don’t have a co-signer.... will I still be able to get this loan? ), * For loans borrowed Oct. 1, 2020 through Sept. 30, 2021. The original, now obsolete, meaning of the acronym was "Parent Loan for Undergraduate Students". When you login first time using a Social Login button, we collect your account public profile information shared by Social Login provider, based on your privacy settings. Lender search results do not constitute an official college preferred lender list. 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