Federal Direct PLUS Loan
|Who Is the Borrower?||Parents of eligible dependent undergraduate students. The borrower and the student must be U.S. citizens or permanent residents.|
|Interest Rate||Fixed for the life of the loan at 7.90%.|
|Credit Criteria||Must pass PLUS Loan credit check. Parents unable to meet the PLUS credit criteria may be able to borrow with a creditworthy “endorser.” The endorser cannot be released from the repayment obligation before the loan is repaid in full.|
|Fees||The net loan amount disbursed is less than the amount borrowed, because of a 4% origination fee.|
|Minimum and Maximum Allowed||Loans are approved from $100 up to the total annual cost of education minus any financial aid, including any Federal Direct Stafford Student Loan.|
|Repayment Terms||A 10-year standard monthly repayment of $12.56 per $1,000 borrowed, with a $50 monthly minimum payment. Extended and graduated repayment plans are available. Principal and interest payments begin 60 days after the loan has been fully disbursed. No prepayment penalty.|
|Enrollment Status||Students must be enrolled in an undergraduate degree program for at least 6 credits each semester.|
|Deferment Options||Can defer payments until 6 months after student ceases to be enrolled at least half time. During deferment period interest can be paid monthly, quarterly or capitalized quarterly. Borrowers must contact the Direct Loan Servicing Center to apply for a deferment.|
|Can Loan be Sold?||The loan will be held by the U.S. Department of Education for the life of the loan.|
|Other Borrower Benefits||Eligible for loan consolidation under Federal Direct Consolidation Loan Program.|
|How to Apply||
Get more information: http://studentaid.ed.gov
To apply, go to: Five Steps to Applying for a Federal PLUS Loan at Boston University.
Contact BU Financial Assistance: firstname.lastname@example.org
This information is based on information provided by lenders identified in response to a Request for Information issued by Boston University. The terms and conditions of any loan may vary depending on, among other things, market conditions and your credit score. Proposed terms may have changed since lenders provided information to Boston University. You should contact the lender to obtain current terms and information. You should review any proposed terms and obligations carefully.