Federal Direct PLUS Loan

Loans for the parents of dependent undergraduate students, as well as for graduate- and professional-school students.

Eligibility: 
  • You must be a U.S. citizen or eligible noncitizen.
  • You must be enrolled at least half-time in a graduate-level program leading to a degree or certificate.
  • You must not be in default on any federal education loans or owe an overpayment on a federal education grant, and must meet other general eligibility requirements for federal student aid.
  • A credit check that will be performed and will exclude anyone with an adverse credit history.
Eligibility for parents: 
  • You and your child must each be a U.S. citizen or eligible noncitizen.
  • You must be a biological or adoptive parent (or, in some cases, the stepparent) of the student for whom you are borrowing.
  • Your child must be a dependent student who is enrolled at least half-time. Generally, a child is considered dependent for federal purposes if he or she is under 24 years of age, has no dependents, and is not married, a veteran, a graduate/professional degree student, or a ward of the court.
  • You and your child must not be in default on any federal education loans or owe an overpayment on a federal education grant, and must meet other general eligibility requirements for federal student aid.
  • A credit check that will be performed and will exclude anyone with an adverse credit history.
Interest rate: 

Fixed at 8.05% for loans first disbursed from July 1, 2023, through June 30, 2024

Interest rate for graduate students: 

Fixed at 8.05% for loans first disbursed from July 1, 2023, through June 30, 2024

Loan fees: 

4.228% for loans first disbursed from October 1, 2020, through September 30, 2024

Loan limits: 

Direct PLUS loan amounts are limited to the cost of attendance minus any other financial assistance received.

Interest accrual: 

Interest begins to accrue as soon as the loan is fully disbursed (paid out). Graduate and professional students are responsible for interest payments on the PLUS loan while in school. A student may pay the interest monthly while still in school or may capitalize the interest by allowing it to accrue and adding it to the principal when the loan goes into repayment.

Interest accrual for parents: 

Interest begins to accrue as soon as the loan is fully disbursed (paid out). For the parents of dependent undergraduates, the PLUS loan enters repayment as soon as it is fully disbursed, but a deferment may be requested. If the loan is deferred, the borrower is responsible for interest payments on the loan during the deferment period. He/she may pay the interest monthly while the loan is in deferment or may capitalize the interest by allowing it to accrue and adding it to the principal when the loan goes into repayment.

Repayment: 

Direct PLUS loans for graduate and professional students are automatically placed into deferment while the student is enrolled at least half-time and for an additional six months after that enrollment ceases.

Once the loan enters repayment, the time frame depends on the type of repayment plan. For information on repayment plan options, visit the Federal Student Aid Repayment Plans webpage.

Repayment for parents: 

A Direct PLUS Loan enters repayment as soon as it is fully disbursed (paid out). Parent borrowers may request a deferment while their student is enrolled at least half-time and for an additional six months after that enrollment ceases. Borrowers must contact their loan servicer to request a deferment.

When the loan enters repayment, the time frame depends on the type of repayment plan. For information on repayment plan options, visit the Federal Student Aid Repayment Plans webpage.

Application procedure for graduate students: 

Please visit the website of your graduate or professional school for application procedures.

Additional resources: