Direct PLUS Loans / Federal PLUS Loans for graduate and professional students
- Unlike the Direct and Federal PLUS Loans for parents, this loan is in the student's name and based on the student's credit rating.
- Loan enters repayment as soon as it’s fully disbursed:
- You can request a deferment while you are in school.
- For loans first disbursed on or after July 1, 2008, you can request a deferment while you are in school and until six months after you graduate, withdraw, or drop below half-time enrollment.
- Interest begins to accrue from the date the loan is disbursed, though you can choose to pay it later if you are in a deferment status
- If you choose to don’t pay the interest as it accrues, it will be added to the principal amount of your loan and increases the amount you have to repay.
- If you pay the interest as it accumulates, you'll repay less in the long run.
- Complete the FAFSA (Free Application for Federal Student Aid) for the loan period
- Establish eligibility for the maximum annual amounts of Unsubsidized Loans for the period
- Meet minimum credit requirements
- Loans first disbursed on or after July 1, 2006 have a fixed interest rate of 7.9 percent for Direct PLUS Loans and 8.5 percent for Federal PLUS Loans.
- Loans first disbursed between July 1, 1998 and June 30, 2006 have a variable interest rate with a cap of 9 percent. The interest rate is adjusted each year on July 1 (your loan holder will notify you of interest rates changes annually). Contact your loan holder to determine the interest rate. If you have a loan first disbursed prior to July 1, 1998, contact your loan holder to determine the interest rate.
- Federal Family Education Loan (FFEL) Program: Private lenders such as banks, credit unions, and savings and loan associations make the loans. You choose your lender.
- Federal Direct Student Loan Program (FDSLP): The U.S. Government makes loans through schools
You may borrow up to the cost of education minus any financial aid received. There is no aggregate maximum.
You can borrow a Grad PLUS Loan under one of two federal student loan programs, each with the same general terms, conditions, interest rates, benefits and loan amounts.
Your school usually will participate in one of the programs.
You have a variety of repayment options. Learn more.
Deferment and forbearance
Cancellation, forgiveness, and discharge
Important note about Federal PLUS Loans and the Federal Family Education Loan Program: Beginning July 1, 2010, the loan types are Direct PLUS Loans available through the William D. Ford Federal Direct Loan Program. The U.S. Government makes these loans directly through schools.
If you borrowed prior to July 1, 2010, you may have a Federal PLUS Loan (also known as a Federal Grad PLUS Loan) from the Federal Family Education Loan (FFEL) Program. (Under the FFEL Program, private lenders such as banks, credit unions, and savings and loan associations made the loans.) Although the FFEL Program and Federal PLUS Loans no longer are available, existing loans remain active.