How to Apply for a Direct Graduate PLUS Loan
In order to qualify for a Direct Graduate PLUS Loan, you have to:
- Meet Federal and Penn State Financial Aid Eligibility Requirements
- Be a graduate student enrolled in an eligible program
- Submit a Free Application for Federal Student Aid (FAFSA)
- Be offered for your full Federal Direct Unsubsidized Loan eligibility
- Accept and successfully complete a credit check performed by the U S. Department of Education.
Determine the length of the loan and the amount you wish to borrow.
The disbursement of a $10,000 fall/spring loan would be $5,000 for the fall semester and $5,000 for the spring semester if you select a fall/spring loan period. The loan amount will be divided equally between the two semesters.
There are four loan term periods:
| Term | Period | Application Opens |
| Fall/Spring | August to May | June |
| Fall only | August to December | June |
| Spring only | January to May | October |
| Summer only | May to August | April |
| The fixed interest rate for Direct Graduate PLUS Loans first disbursed on or after July 1, 2022 | 7.54% |
| The fixed interest rate for Direct Graduate PLUS Loans first disbursed on or after July 1, 2023 | 8.05% |
| The origination fee for loans first disbursed on or after October 1, 2019 and prior to October 1, 2020 | 4.236% |
| The origination fee for loans first disbursed on or after October 1, 2020 and prior to October 1, 2024 | 4.228% |
Create a Student Budget
Your Cost of Attendance less any other Estimated Aid determines the total amount you can borrow (you can find these amounts on your Award Summary in LionPATH). If you require more help, our Interactive Loan Calculation Tool is available.
Calculate the Loan Fee (Net vs. Gross) for 2022-23 or 2023-24
The total loan amount you wish to take out will be divided by 0. 9577. For instance, ask for a gross amount of $10,670 ($10,000/0) in order to receive a net amount of $10,000. 9577 = $10,442).
The Award Summary and Student Account Statement in LionPATH will show your authorized and accepted Direct Graduate PLUS loan, but the loan amounts will differ.
The gross amount of the loan is shown on the Award Summary. The Tuition Bill, on the other hand, displays the net amount following the deduction of loan origination fees.
Graduate students will need to apply for the Direct Graduate PLUS Loan on studentaid.gov. Like the FAFSA, PLUS Loans must be requested each academic year.
Preview a read-only version of the Direct Graduate PLUS application here.
When you submit your application, you will be informed whether your credit has been accepted or rejected.
Your employment status, debt-to-income ratio, and credit score are not taken into account; however, bad credit usually leads to a PLUS loan denial.
For more information about adverse credit, visit federal student aid.
If you are denied the Direct Graduate PLUS loan, download the plus adverse credit pdf for more options.
Your application will be sent to us electronically in two to three business days if it has been granted credit. We will process the application and add the Direct Graduate PLUS to your Award Summary as soon as the data has been loaded into LionPATH. Processing for the upcoming academic year will begin in July. Spring-only in October, and Summer in April.
The application will NOT process if:
- You are not enrolled in a degree-seeking graduate program
- You do not currently have a Penn State FAFSA on file.
- Your eligibility for federal aid has not been granted (either because we have not yet begun to award or because you are ineligible).
- You are in default on a previous federal loan
First-time borrowers are required to Complete a Master Promissory Note (MPN) and Entrance Counseling for the Direct Graduate PLUS Loan at studentaid.gov. The Master Promissory Note and Counseling must be signed/completed for the loan to appear as a credit on the bill and disburse into your student account.
Usually, you will only have to finish these tasks once while you are a college student. Unless your application is rejected and subsequently approved with an endorser, or unless it has been more than ten years since your last note signing, you are not required to sign a new MPN for each application that is submitted.
Once you’ve been admitted to Penn State, you can finish these requirements whenever you choose. If these tasks are still unfinished when we start processing your loan(s), they will be shown to you in your LionPATH “To Do List.” Once completed on studentaid. gov, we will receive an electronic notice in the next two to three business days. Your To Do List item will then be deleted from your LionPATH record at that point.
You can preview a copy of the Grad MPN or Grad Entrance Counseling on studentaid.gov or for more information and/or to complete the the MPN or Counseling log into studentaid.gov.
If you experience any technical issues signing the MPN, please get in touch with the U S. Department of Educations Student Loan Support Center at 800-557-7394.
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Information for
FAQ
When can i apply for a Grad PLUS loan for 2023-2024?
After April 1, 2023, students will have access to “Apply for a PLUS Loan” for the 2023–2024 school year. Your promise to repay your loan is outlined in the Graduate PLUS Master Promissory Note, which is a legally binding contract between you and the Department of Education.
Is there a deadline for Grad PLUS loans?
Application Deadlines: The PLUS Loan Application is made available by the end of May, one month before the fall term begins. It is advised that all of these steps be finished by August 1st for the fall term, or by December 1st for the spring term.
When to apply for 2023 student loans?
Fill out a Free Application for Federal Student Aid (FAFSA®) between October 1 and October 31, 2023, to be eligible for federal student aid for the 2023–2024 award year. 1, 2022, and 11:59 p. m. Central time (CT) on June 30, 2024. Updates or corrections to the FAFSA must be made by 11:59 p.m. m. CT on Sept. 14, 2024.
How often do you apply for Grad PLUS loan?
If you want to be eligible for a graduate (grad) PLUS loan, you have to fill out a Direct PLUS Application every year.
Read More :
https://studentaid.gov/understand-aid/types/loans/plus/grad
https://studentaid.psu.edu/types-of-aid/loans/federal-direct-loans/federal-direct-graduate-plus-loan/how-to-apply-for-a-graduate-plus-loan