The Federal Direct Parent Loan for Undergraduate Students (PLUS) is a non-need based loan available to parents of dependent students. There is no established annual maximum a parent may borrow on behalf of each dependent child; however, the loan amount cannot be greater than the difference between the student\u2019s\u00a0cost of attendance<\/a>\u00a0and his or her other estimated financial aid. There are no lifetime borrowing limits in the Direct PLUS program. Direct PLUS borrowers are subject to a credit check to determine credit worthiness.<\/p>\n\n\n\n The student borrower must meet the general requirements listed\nbelow.<\/p>\n\n\n\n The Department of Education will check your credit when you apply\nfor the loan. If you are found to have an adverse credit history, you may still\nborrow a Direct PLUS Loan if you get an endorser who does not have such a\nhistory. An endorser is someone who agrees to repay the loan if you do not. In\nsome cases, you may also be able to obtain a Direct PLUS Loan if you document\nto the Department of Education\u2019s satisfaction that there are extenuating\ncircumstances related to your adverse credit history.<\/p>\n\n\n\n Students who are interested in borrowing a Direct PLUS Loan may complete the Direct PLUS Request Process at www.studentaid.gov<\/strong><\/a>. Student borrowers will be able to do the following:<\/p>\n\n\n\n We strongly recommend that you complete the Direct PLUS application process online at www.studentaid.gov<\/a>, as this will significantly speed up processing of your loan. In the event that you do not wish to complete the process at www.studentaid.gov<\/a>, you may request a paper form from the Financial Aid Office. New borrowers must also complete an MPN at www.studentaid.gov<\/a> or request a paper MPN from the Financial Aid Office. Borrowers should be aware that their loan will be submitted to the National Student Loan Data System (NSLDS) and will be accessible by authorized agencies, lenders, and institutions.<\/p>\n\n\n\n Loans first disbursed on or after July 1, 2022 and before June 30, 2023 have a fixed interest rate of 7.54% as well as a origination fee of 4.228%. The origination fee is charged by the federal government and is applied to the principal amount of the loan.<\/p>\n\n\n\n The repayment period<\/a> for Federal Direct PLUS\nloans begins on the day the loan is fully disbursed. Unless the borrower\nrequests an in-school deferment<\/a>, the\nfirst payment of interest and principal is due 60 days after the loan is fully\ndisbursed. An in-school deferment allows repayment to begin six months after the\nstudent ceases to be enrolled on at least a half-time basis. Deferment of\nFederal Direct PLUS loans is for principal only; interest continues to accrue\nand the borrower must pay all of the accrued interest on the loan after it is\ndisbursed.<\/p>\n\n\n With the standard plan, you\u2019ll pay a fixed amount each month until\nyour loans are paid in full. Your monthly payments will be at least $50, and\nyou\u2019ll have up to 10 years to repay your loans.<\/p>\n\n\n To be eligible for the extended plan, you must have more than\n$30,000 in Direct Loan debt, and you must not have an outstanding balance on a\nDirect Loan as of October 7, 1998. Under the extended plan, you have 25 years\nfor repayment and two payment options: fixed or graduated. Fixed payments are\nthe same amount each month, as with the standard plan, while graduated payments\nstart low and increase every two years, as with the graduated plan below.<\/p>\n\n\n With this plan your payments start out low and increase every two\nyears. The length of your repayment period will be up to ten years. If you\nexpect your income to increase steadily over time, this plan may be right for\nyou. Your monthly payment will never be less than the amount of interest that\naccrues between payments.<\/p>\n\n\n\n\n
Graduate PLUS Loans<\/h2>\n\n\n
\n\n\n\n\n
Requirements<\/a><\/li>\n\n\n\n
Processing<\/a><\/li>\n\n\n\n
Rates and Fees Information<\/a><\/li>\n\n\n\n
of Loan<\/a><\/li>\n<\/ul>\n\n\n\n
\n\n\nEligibility<\/h3>\n\n\n
\n
must have filed a Free Application for Federal Student Aid (FAFSA).<\/li>\n\n\n\n
must be matriculated in a degree program.<\/li>\n\n\n\n
must be registered on at least a half-time basis (6 credits per term).<\/li>\n\n\n\n
must maintain satisfactory academic progress.<\/li>\n\n\n\n
must not be in default on a federal educational loan or owe an overpayment on
an educational grant.<\/li>\n\n\n\n
borrower must have a satisfactory credit history as determined by the federal
loan servicer.<\/li>\n\n\n\n
borrower and student must be a U.S. citizen or eligible noncitizen.<\/li>\n<\/ul>\n\n\n\n
\n\n\nApplication<\/h3>\n\n\n
\n
a Direct PLUS application.<\/li>\n\n\n\n
an instant credit decision.<\/li>\n\n\n\n
the credit check decision during the application process.<\/li>\n\n\n\n
the Federal Direct PLUS Master Promissory Note (MPN) (new borrowers only).<\/li>\n\n\n\n
endorser co-sign an application.<\/li>\n<\/ul>\n\n\n\n
\n\n\nInterest and Fees<\/h3>\n\n\n
\n\n\nRepayment<\/h3>\n\n\n
Standard Repayment<\/h4>\n\n\n
Extended Repayment<\/h4>\n\n\n
Graduated Repayment<\/h4>\n\n\n