Graduate and professional students can now finance the remaining cost of their education through the new Federal Graduate and Professional Student PLUS Loan Program.
- The Graduate and Professional Student PLUS Loan Program will be based on the Parent PLUS Loan Program, but the Graduate and Professional Student PLUS will not reduce eligibility for the Federal Stafford Loan.
- Graduate and Professional students who wish to take advantage the PLUS Loan must file the Free Application for Federal Student Aid (FAFSA), so that the maximum Federal Stafford Loan eligibility can be determined.
- The FAFSA is available online at www.fafsa.ed.gov
- The Graduate PLUS application will be certified by the school and the eligibility will be based on the cost of education (as determined by the school) less any aid (including Stafford) received.
- Graduate students can obtain this loan even if they have no credit history, but one of the main differences between the Graduate PLUS and the Parent PLUS is that graduate students will not be eligible for any additional Federal Stafford if the Graduate PLUS Loan is denied.
- The Graduate PLUS has a fixed interest rate of 8.5%
- In addition, there may be as much as a 3% origination fee and 1% guarantee fee deducted from each loan disbursement.
- You may wish to check on the borrower benefits when applying for a Graduate PLUS loan, since lenders offer different incentives.
- Repayment of the Graduate PLUS Loan can be deferred until graduation (or whenever the student ceases to be enrolled half-time).
Graduate and Professional PLUS Loan Comparison Chart
275 Eastland Rd.