Graduate PLUS Loan
The Direct Graduate PLUS Loan (Grad PLUS) is available to U.S. citizens and permanent residents. Graduate students may borrow up to the full cost of attendance less other financial aid you are receiving. The Direct Graduate PLUS Loan is credit-based and requires credit approval. Direct Graduate PLUS loans are not based on need, however require filing of FAFSA.
- Credit approval is based on federally mandated criteria, not a credit score
- Enrolled at least half-time (5 credit hours in the fall and spring) in a graduate degree program to be eligible for this loan
- Must not have any current delinquency of 90 days or more
- Clear of any of the following within the preceding five years of the date of the credit check: default, bankruptcy, discharge, foreclosure, repossession, tax lien, wage garnishment, write-off of a Title IV debt, open collection.
Graduate plus Loans establish a specific circumstance for certain Graduate plus Loan applicants who would otherwise be considered to have an adverse credit history. Specifically, a Graduate plus Loan applicant may qualify for a Graduate plus Loan based on extenuating circumstances if the applicant:
- Has been or is delinquent for 180 days or less on mortgage loan payments, or on medical bill payments for the applicant or the applicant’s family
- Does not otherwise have an adverse credit history as determined in accordance with the federal regulations that apply to Graduate plus Loan applicants
If you think you may have one or more of the items outlined in the credit requirements listed above, you may want to obtain your credit report in advance of applying for a Graduate plus Loan. You should work to correct negative items on your credit report as soon as possible.
Credit denial options include:
- Applying for the loan with an endorser, which is a credit worthy loan cosigner
- Correct any invalid information on your credit report and reapplying
Correspondence will be sent by the Department of Education to Graduate Plus Loan applicants who receive an adverse credit determination. Information will include instructions regarding appealing the denial of a Graduate Plus Loan Application and securing an endorser for the loan.
You will need to log in using your Federal Student Aid (FSA ID) and select Request a Direct Grad PLUS Loan. Our office will receive notification of your completed application and, if eligible, the Tarleton State University Office of Financial Aid will send you an award notification to your go.Tarleton account.
Federal Direct Grad PLUS Loan Repayment
Repayment can be managed on the website of your loan servicer, which will be assigned to you by the U.S. Department of Education. While the interest rate on the loan is fixed, interest starts accruing on the loan at the time of disbursement to Tarleton State University. Payments can be deferred until after graduation as long as you are enrolled at least half-time. Accrued interest can either be paid quarterly while you are in school or capitalized (added) to the loan when you enter repayment. You will accrue future interest based on the principle balance while in repayment. The U.S. Department of Education has a Loan Repayment Estimator you can use to help estimate your loan repayment options.
The Department of Education deducts the origination fee before you receive any loan money, so the loan amount you receive will be less than the amount you will have to repay