Graduate Plus Loan Amount Options for Graduate Students

If you're a graduate student looking to finance your education, you're likely considering a Graduate Plus Loan. These loans can be a great option, but it's essential to understand the different loan amount options available to you.

The standard Graduate Plus Loan allows you to borrow up to the cost of attendance minus any other financial aid you're receiving. This can vary depending on the school and program you're enrolled in.

You can also borrow a variable amount, known as the "Graduate Plus Loan Amount", which is the difference between the cost of attendance and any other financial aid you're receiving. This amount can be used to cover additional expenses, such as living costs or tuition fees.

A Graduate PLUS Loan can cover the full cost of attendance for your graduate program, with the exception of other financial aid received. There is no aggregate loan limit.

You can borrow up to the full student budget less total financial aid from all sources. This means you can borrow as much as you need, but only up to the cost of attendance minus any other financial aid you're receiving.

The interest rate for a Grad PLUS Loan is higher than for a direct unsubsidized loan, and it's fixed at 9.083% for 2024-2025 loans. This means you'll know exactly how much interest you'll pay over the life of the loan.

A Grad PLUS Loan is credit-based, so if your credit isn't strong, you'll need an endorser to cosign it. This can be a good option if you're not eligible for a direct unsubsidized loan.

Here are some of the key benefits of a Grad PLUS Loan:

To be eligible for a Federal Direct Graduate PLUS Loan, you must be a U.S. citizen or permanent resident, and you must be enrolled at least half-time in a graduate degree-granting program.

You'll also need to file the FAFSA to be eligible, and you must meet basic credit criteria set by the U.S. Department of Education.

The maximum you can borrow per academic year is equal to the cost of attendance minus other financial aid, including Federal Direct Subsidized, Unsubsidized, or a Private loan.

There is no aggregate maximum loan limit for the Graduate PLUS Loan, which means you can borrow up to the full student budget less total financial aid from all sources.

You'll need to go through credit approval by the U.S. Department of Education, and a 4.228% loan origination fee will be deducted from the loan for loans with a first disbursement date prior to October 1, 2024.

The interest rate is fixed at 9.083% for 2024-2025 loans, which is something to keep in mind when considering your borrowing options.

To apply for a Grad PLUS Loan, it takes about 20 minutes and you'll need to provide some personal information, including your verified FSA ID, school name, and contact details.

You'll also need to agree to the loan's terms by signing a Master Promissory Note, and if applicable, provide your employer's information.

If you're eligible, you can postpone loan payments while you're in school, as long as you're enrolled at least part-time at an accredited program, and for an additional six months after you've left school or dropped below part-time status.

Grad PLUS loans come with a fixed interest rate that won't change during the life of your loan.

There are multiple repayment plans available, including income-driven repayment plans, and the interest you pay on your loan can be tax deductible.

Here are some key points to keep in mind:

If you're looking for alternative options to pay for your graduate degree, you may want to consider a Graduate PLUS Loan. These loans are credit-based and may have competitive interest rates, with expanded repayment terms available.

Most private student loans don't have an origination fee, which can save you money upfront. However, be aware that interest rates may vary.

You can explore different options to find the best fit for your needs.

The federal government offers several types of student loans, including the Graduate PLUS Loan, which is available to graduate students and professional school students.

You must be enrolled at least half-time in a graduate degree-granting program to be eligible for the Graduate PLUS Loan.

The Graduate PLUS Loan is not based on need, but you still need to file the FAFSA to be eligible.

The Federal Direct Graduate PLUS Loan is a federal student loan available to students attending graduate school and professional school. It's a good option for those who've reached the federal direct unsubsidized loan limit of $20,500 per year.

Grad PLUS Loans come with a fixed interest rate, currently 9.08% for loans first disbursed on or after July 1, 2024, and before July 1, 2025. There's also an origination fee of 4.228% for loans disbursed on or after October 1, 2020.

To be eligible for a Grad PLUS Loan, you must be a U.S. citizen or permanent resident, and you must file the FAFSA.

A Grad PLUS Loan is credit-based, so if your credit isn't strong, you'll need an endorser to cosign it.

Unlike other federal direct student loans, there's no borrowing limit for a Grad PLUS Loan - it's up to your grad school's cost of attendance.

The interest rate for a Grad PLUS Loan is higher than for a direct unsubsidized loan.

Here's a quick comparison of the main types of federal student loans:

Remember, it's best to use federal direct loans first and use Grad PLUS Loans (or a private loan) to make up the difference needed.

The Graduate PLUS Loan amount can be a bit confusing, but let's break it down. You can borrow up to the full student budget less total financial aid from all sources.

The interest rate is fixed at 9.083% for 2024-2025 loans, which is a pretty standard rate for federal loans. This means you'll know exactly how much you'll be paying back over time.

A 4.228% loan origination fee is deducted from the loan by the U.S. Department of Education for loans with a first disbursement date prior to October 1, 2024. For example, if you borrow a $10,000 Grad PLUS Loan, you'll get a net disbursement of about $9,577.

The cost of attendance may include various expenses such as tuition and fees, room and board, books and supplies, technology and equipment, transportation, and miscellaneous and personal expenses.

Here's a breakdown of the loan details: