Federal Direct Graduate and Veterinary Medicine PLUS Loan
- To complete the Federal Direct PLUS Loan Application and Master Promissory Note, go to StudentLoans.gov.
- Sign in with your FAFSA PIN and select "Request PLUS Loan" under the "PLUS Loan Process" heading. Then select the "Graduate PLUS" option.
- After you have completed your PLUS Loan Application, you can "Complete MPN" under the "Master Promissory Note" heading. Be sure you select the "Graduate PLUS" MPN (Only needed if you are a first time Graduate PLUS Loan Borrower without an active MPN).
- Select "Complete Entrance Counseling" under the "Counseling" heading (Only needed if you are a first time Graduate PLUS Loan Borrower).
Graduate and Professional (including Vet Med) students may take out a Federal Direct Graduate and Veterinary Medicine PLUS Loan to help pay for their education. The loan is used to cover whatever is not already covered by their financial aid package, up to the full cost of attendance.
For more information, visit the Department of Education.
Qualified Borrowing Amounts
- Students may borrow up to the amount of the cost of education, which Iowa State University refers to as the Cost of Attendance, minus any other financial aid.
- Grad PLUS Loan funds are generally disbursed in two payments over the course of an academic year
- The student must complete a FAFSA to apply for the Grad Direct PLUS Loan
- The student must borrow their maximum amounts for the aid year from the Stafford Subsidized and Unsubsidized Loans before they can receive a Grad Direct PLUS Loan
- The Federal Grad Direct PLUS Loan is subject to credit analysis. In the case of adverse credit, the student may borrow the loan with a credit worthy co-signer
- Students begin repayment on the PLUS loan six months after the student ceases to be enrolled on at least a half-time basis
There is a 2.5% origination fee that is deducted proportionally from each loan disbursement
- By federal law the total origination fee is 4.0%, but Direct Loans offers a 1.5% rebate. The total origination fee changes to 4.204% begining JULY 1, 2013.
- If the borrower fails to make 12 on-time monthly payments, the rebate will be lost and the fee will be 4.0%
- The interest rate is fixed at 7.9% (see interest rates and origination fees)
- The loan can be deferred if the student is enrolled on at least a half-time basis
Please contact Direct Loan Services at 1-800-557-7394 regarding any questions you may have involving the PLUS loan application process at www.studentloans.gov