Federal Direct Grad PLUS Loans

St. Lawrence University participates in the William D. Ford Federal Direct Loan program for all Federal educational loans, including the Federal Grad PLUS Loan. A Federal Direct Grad PLUS Loan is a Federal loan that is an option for graduate or professional students who are attending school at least half-time. The Grad PLUS Loan is in the student’s name. A credit check will be performed on all Federal Grad PLUS Loan borrowers. The interest rate on a Federal Direct Grad PLUS Loan is usually better than many of the alternative student loans and currently has a fixed interest rate of 7.21 percent set by the Federal government.

More information:

  • The annual loan amount maximum for a Federal Direct Grad PLUS Loan is determined by the cost of attendance less all accepted financial aid.
  • A Federal Direct Grad PLUS Loan is not need-based.
  • A credit review must be performed to determine eligibility.
  • There is a 4.288 percent Origination Fee.
  • The repayment period begins when the loan is fully disbursed, with the first payment due 60 days after the final disbursement. Federal Direct Grad PLUS loans may be deferred while the borrower is enrolled at least half-time (6 credit hours). A student must contact the loan servicer to request the deferment. If the Direct PLUS loan was first disbursed on or after July 1, 2008, a student may also defer repayment for an additional 6 months if enrolled less than half-time.

* Note: to keep the rebate, you must make the initial 12 required monthly payments on time when you begin repaying your loan.

Application Process:
For students who wish to apply for a Federal Direct Grad PLUS Loan, the process is a simple two-step process as outlined below. Borrowers must complete both an application and Master Promissory Note (MPN). A FAFSA pin is required to complete steps 1 and 2.

Step 1. Complete the Federal Direct GradPLUS Loan application: The first step in obtaining a Federal Direct Grad PLUS Loan is to complete an application at StudentLoans.gov. Please note - when completing the PLUS loan application, an amount must be listed in the "maximum loan amount required" field. If you need assistance in calculating the amount to borrow, send an email request to sfs@stlawu.edu and include your name and day time phone number where you can be reached.

Step 2. Complete a Master Promissory Note: New borrowers of a Federal Direct Grad PLUS Loan will also need to complete a Master Promissory Note (MPN). Borrowers will need to go to StudentLoans.gov to complete this step.

Remember, by signing an MPN you are agreeing to pay back any Federal Direct Grad PLUS Loans that you receive to pay for your education.

Step 3. Complete your Entrance Counseling: As a condition of receiving your first Federal Direct Grad PLUS Loan, all first time borrowers must complete Grad PLUS student loan "Entrance Counseling". Entrance counseling needs to be completed on-line at StudentLoans.gov. Per Federal regulations, Federal Direct Grad PLUS Loan proceeds will not disburse until this entrance counseling session is completed. This entrance counseling session will inform the borrower about the overall Federal Direct Grad PLUS Loan program and their rights and responsibilities. St. Lawrence University will receive the results of this completed session electronically. If you have previously borrowed a Federal Direct Grad PLUS Loan, and completed the corresponding entrance counseling, then you are not required to fulfill this requirement again.

The U.S. Department of Education offers the following Websites to assist in the planning for repayment of Federal educational loans:

Loan Repayment Information for Federal Loans

Loan Repayment Calculator for Federal Loans