Graduate School Loans > Federal Grad PLUS Loans
Save money on Federal Grad PLUS Loans
- Cover up to 100% of school expenses
- Fixed interest rate of 8.5%
- 0.25% Auto Debit Reward
Federal Grad PLUS Loans
Many students take more than one loan per single year of school. If a Federal Stafford Loan isn't enough to cover your full cost of attending schoolAnnual cost of attending a specific school, including tuition, fees, room and board, books and supplies, transportation and personal expenses. This amount is determined by your school., a Federal Grad PLUS Loan can bridge the gap. We recommend a Federal Grad PLUS Loan before applying for a Certified Private Loan.
Why choose a PLUS loan?
- PLUS loans enable graduate students to help finance up to 100% of their cost of attendance
- PLUS loans are available whether or not you have financial need
- PLUS loans have fewer credit requirements than Certified Private Loans
What are the loan terms?
- Fixed 8.5% interest rate
- 3% federal origination fee
- 1% federal default fee (waived if paid by guarantor)
- Deferred payments – No payments due until 6 months after you graduate or enroll in school less than half-time
- 10-year standard repayment term (may be extended up to 25 years)
- 0.25% Auto Debit Reward – 0.25% interest rate reduction during repayment, when payments are set up for automatic debit from a bank account
How much can you borrow?
- Up to your cost of attendance (COA) minus other financial aid
For example, if the cost of attendance (as determined by your school) is $40,000 and you receive $25,000 in other financial aid (such as scholarships and other loans), you can borrow up to $15,000
Who is eligible?
- Graduate students who are US citizens or eligible non-citizens
Non-citizens Eligible for Federal Stafford Loans and Federal PLUS Loans:
- US permanent residents with an I-151, I-151C, or I-551 card
- Victims of human trafficking with a T visa (T-2, T-3, or T-4, etc.)
- Holders of an I-94 Arrived-Departure Record from US Citizenship & Immigration Services (USCIS) with any of the following designations: "Asylum Granted," "Conditional Entrant" (if issued before April 1, 1980), "Cuban-Haitian Entrant," "Status Pending," "Refugee," "Parolee" (if paroled in the US for at least 1 year with the intention to become a US citizen or permanent resident and evidence not in the US for temporary purposes)
- Recipients of Notice of Approval to Apply for Permanent Residence (I-171 or I-464)
- Holders of a student visa (F1 or F2) or exchange visitor visa (J1 or J2)
- Members of international organizations with G visas
Please refer to the Federal Student Aid Web site for the most current information:
http://studentaid.ed.gov/PORTALSWebApp/students/english/
aideligibility.jsp - Graduate students who are enrolled at least half-time at an eligible schoolWe offer Federal loans at all schools that participate in the Federal Family Education Loan Program (FFELP) – participating schools will display loans as an eligible option in the first step of our online application.
- Graduate students who pass a credit checkLenders contact Credit Bureaus (Equifax, Experian, TransUnion) who have tracked your credit history (e.g. credit cards, loans) to determine whether you have been diligent in your repayment of debts.
- No cosigner required
How to Get a Federal Grad PLUS Loan
In addition to completing a loan application with us, you must complete the Free Application for Federal Student Aid (FAFSAA form to be filled out annually by current and anticipating students (and their parents) in the US to determine eligibility for federal student aid (including Stafford and PLUS loans, Pell grants and work-study programs). In addition, many states and schools use information from the FAFSA to award nonfederal aid.) at fafsa.ed.gov each year.
Apply
In this step, we determine whether we can provide a PLUS loan to you
- We offer PLUS loans at all schools that participate in the Federal Family Education Loan Program (FFELP) – participating schools will display Federal PLUS Loan as an option in the first step of our online application
- Have your Social Security number, driver's license and two references ready
- Apply online and follow the instructions to complete your application, or call us at 1-877-728-3030 to apply by phone
Sign
In this step, you sign a Master Promissory Note (MPN) confirming that you want to receive a loan from us
- You can e-sign online or sign a paper MPNfor Federal Stafford Loans & Federal PLUS Loans – A single promissory note used for multiple loan requests and outlines the borrower’s rights and responsibilities. Borrowers who sign MPNs for federal loans can reapply for subsequent loans without signing additional MPNs each year.
- To e-sign, you will need your Federal Student Aid PIN (FSA PINThe 4-digit number issued by the U.S. Department of Education. You can use it to confirm your identify on U.S. Department of Education systems and to sign your Master Promissory Note.) – if you don't have a PIN, you can get one at pin.ed.gov
Returning customers: If you previously signed a Federal Grad PLUS Loan MPN with us, in most cases you will not need to sign one again
Certify
In this step, your school confirms your eligibility and determines your final loan amount
- When we have your signed MPN, we will contact your school and request school certification
- To ensure successful and prompt school certification, you should:
- Complete the FAFSA at fafsa.ed.gov (your school will not certify your loan unless you complete the FAFSA)
- Check with your school's financial aid office for other requirements
New customers: If you previously had a PLUS Loan with another lender, you should inform your financial aid office that you want to change your lender to Discover Student Loans, Lender ID 831312 (Discover Bank)
Disburse
In this step, we fund your loan
- We fund your loan in installments according to the disbursement scheduleYour school notifies us when your loan installments should arrive. provided by your school
- We send the money directly to your school
- Your school applies the funds to your account and forwards any remaining funds to you (for rent, books or other costs related to attending school)
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