A graduate student may apply for a Direct PLUS Loan for Graduate Students. The amount available is the cost of attendance (COA) minus all other financial aid awarded, including Direct Unsubsidized Loans. You must not have an adverse credit history. If you do not pass the credit check, you may still be able to borrow the loan if someone agrees to endorse the loan. The endorser promises to repay the loan if the borrower fails to do so.
The interest rate for the Direct PLUS Loan for graduate students is fixed at 5.30% for PLUS Loans disbursed from July 1, 2020 - June 30, 2021. The interest rate for the Direct PLUS Loan for graduate students is fixed at 6.28% for PLUS loans disbursed from July 1, 2021 - June 20, 2022. Interest is charged from the date of the first disbursement until the loan is paid in full. Interest rates will be determined on an annual basis; however, rates for the specific academic year borrowed will be fixed for the life of the loan. An origination fee is deducted proportionately each time a disbursement is made. The repayment period for a Direct PLUS Loan begins at the time the PLUS Loan is fully disbursed, and the first payment is due within 60 days after the final disbursement. However, you may defer repayment while you are enrolled at least half-time, and for an additional six months after you cease to be enrolled at least half-time.
To apply, log into studentaid.gov and under the "In School Tab", click on Apply for a PLUS Loan for Graduate School. You will sign if with your FSA ID. This will initiate a credit check to be approved.
If approved, you must complete a Direct PLUS Loan Master Promissory Note (MPN) online at studentaid.gov using your FSA ID. The MPN is a legal document in which you promise to repay the loan and any accrued interest and fees to the U.S. Department of Education. The MPN explains the terms and conditions of the loan and can be used for PLUS Loans that a graduate student receives over a period of multiple academic years.
You must also complete the Entrance Counseling at studentaid.gov using your FSA ID. The student type needs to be "graduate or professional" for the Entrance Counseling.