Direct Grad PLUS Loan For Graduate Students
What is a Direct Grad PLUS Loan?
Graduate students are now able to borrow up to the total cost of attendance minus other financial aid received under the Direct PLUS Loan Program. Direct Grad PLUS Loans have the same loan benefits as the Direct Parent PLUS Loan Program.
Grad PLUS Loan Lenders
You can only obtain Direct Grad PLUS Loans through the government (Direct Loan Program).
Graduate PLUS Loan Interest Rate
Graduate PLUS Loans have a fixed interest rate of 7.9%.
What are the Other Types of Graduate Student Loans?
There are 2 other types of graduate student loans available:
- Direct Stafford Loans
Graduate students should always borrow the maximum in Direct Stafford Loan funds before utilizing the Direct Grad PLUS Loan. The Direct Stafford Loan has a lower interest rate and does not require a credit check.
- Private Graduate Student Loans
Private graduate student loans are a non-federal loan option that can help you finance your graduate education. Keep in mind that you can borrow the full cost of attendance using the Direct Stafford and Grad PLUS Loans, and so most students won’t need to utilize private graduate student loans. However, if you (or a credit-worthy co-signer) have significant income and a good credit history, you might be able to get a lower rate by shopping around with private student loan lenders. Keep in mind that private loans have variable interest rates, so your rate can go up and down. You may want to check with your school’s financial aid office to see if they recommend any private loan programs.