Annual loan limits are set for each class year by the Department of Education and cannot be changed by the school. Eligibility requirements are also determined by the Department of Education and all regulatory policies must be strictly adhered to by the college. Fixed interest rates are set by the federal government and subject to change.
(historical rates:https://studentaid.gov/understand-aid/types/loans/interest-rates)
First-time Graduate Unsubsidized Loan borrowers must complete:
(Click this link for more information regarding graduate unsubsidized loans)
(All unsubsidized loans should be accepted before applying for Graduate PUS Loan)
First-time Graduate PLUS Loan borrowers must complete:
(Click this link for more information regarding Graduate PLUS loans)
The Federal Direct Graduate PLUS loan is for graduate and professional degree students. To process a Graduate PLUS loan, the student must first file a FAFSA for the current academic year. It is recommended that the student accept all of the Federal Direct Unsubsidized Loan that they have been offered before borrowing a Graduate PLUS loan.
Graduate PLUS Credit Counseling is required if the U.S. Department of Education has informed you that you have an adverse credit history and you have obtained an endorser or documented to the satisfaction of the U.S. Department of Education that there are extenuating circumstances related to your adverse credit history.
The Graduate PLUS loan should be considered only if there is a gap between the student's cost of education and all other aid, including a Federal Direct Unsubsidized Loan. As with all loan programs, we urge you to borrow conservatively.
If possible, it is wise to make interest-only payments during the in-school deferment period to keep the interest from being capitalized and added to the principal balance of the loan.
Graduate federal direct unsubsidized loans will have an origination fee of 1.057% for loans that are first disbursed before October 1, 2024.
Graduate PLUS loans will have an origination fee of 4.228%. For loans first disbursed before Oct. 1, 2024,
An origination fee is a percentage of the total loan amount of the loan. The loan fee is deducted proportionately from each loan disbursement you receive while enrolled in school. This means the money you receive will be less than the amount you actually borrow. Know that you're responsible for repaying the borrowed amount, not just the amount you received.
Loan fee calculations that result in more than two decimal places must be truncated (not rounded) to two digits after the decimal point (cents).
Definitions:
*Unsubsidized loans accrue interest while the student is in attendance. Students have the option to make interest only payments on the loan while they are in school or defer all payment until after they graduate or leave school for any reason. Interest that has accumulated while the student is in school will be capitalized and added onto the principal balance of the loan.
*Grad PLUS Loans are offered to graduate and professional students, at participating and eligible post-secondary institutions. These loans are part of the Federal Direct Student Loan Program.
Accepting Federal Direct Unsubsidized Loans in Banner
Unsubsidized loans are awarded to students in an offered status. Students should review their financial aid award and decide if they need or want the loans that have been offered to them. Loans will not be originated and disbursed unless the student has accepted the loan in their Banner account. Students can choose to accept their loan in full, reduce the amount of the loan, or decline the loans completely. For assistance in reviewing and accepting your loans in Banner, the following links may be very helpful:
How to accept financial aid (pdf)
How to view/resolve requirements (pdf)
The following criteria will determine when a Graduate PLUS Loan is denied due to adverse credit:
A Graduate PLUS loan applicant has an adverse credit history if, in addition to other conditions (e.g., bankruptcy, foreclosure, tax lien, or a default determination) the applicant has one or more debts that:
The following options are available for students whose Graduate PLUS application is denied:
Students who are approved for a Graduate PLUS loan using an endorser, or who are approved following an appeal or reconsideration, must complete PLUS COUNSELING at https://studentaid.gov before the loan can be originated. PLUS Counseling is not the same as the Entrance Counseling requirement for first-time borrowers of a Graduate PLUS Loan. PLUS Counseling would be required in addition to Entrance Counseling if the loan was approved with an endorser or through an appeal.
Students who are borrowing Direct Unsubsidized Loans for the first time will be required to complete an online Entrance Counseling Session and a Direct Loan Master Promissory Note (MPN) at https://studentaid.gov
The Graduate PLUS MPN and Entrance Counseling are different than the MPN used for unsubsidized student loans and are also completed at Federal Student Aid website: https://studentaid.gov.
Students who borrow loans may be eligible for an in-school deferment as long as they are enrolled at least half-time or a minimum of six credit hours in required coursework. If a student drops below half-time, they will be contacted by their federal loan servicer regarding the first payment.
Helpful information: including repayment plans and calculators, public service loan forgiveness, and postponing repayment.
Information on other topics related to Federal Direct Graduate PLUS loans including loan consolidation, repayment plans, loan forgiveness, and/or cancellation may be found online at the following websites:
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