Graduate Plus Loan Programs
What is a Graduate PLUS Loan?
The Federal Direct Graduate PLUS Loan is for graduate/professional students who are interested in federal financing in addition to the Federal Direct Loan. Graduate PLUS Loans are available to credit worthy, U.S. citizens or eligible non-citizens. To process a Grad PLUS Loan a Free Application for Federal Student Aid (FAFSA) must first be submitted and Direct Loan eligibility must be utilized. The Grad PLUS Loan may be processed for up to the cost of attendance less any existing financial aid.Borrowing Limits
Direct Graduate PLUS loans can be processed for up to your remaining cost of attendance. Refer to your Financial Aid Disclosure in SHU Awards for this amount. Your cost of attendance includes estimates for direct and indirect costs, such as living expenses, transportation, books, and supplies. You are not required to borrow the entire amount of your cost of attendance; only borrow what you need. It is recommended that you borrow conservatively and stick to a budget if you are using loan funds for living costs. Your Grad PLUS loan may only be used to pay for education-related expenses. You can review your Student Account online to determine your semester billed tuition and fee costs.
Interest Rates & Fees
2025-2026 Academic Year
The Grad Plus Loan Program requires a 4.228% origination fee. The U.S. Department of Education deducts the fee before you receive any loan money, so the loan amount you actually receive will be 95.772% of the certified amount.
The interest rate for the Graduate PLUS Loans is a fixed rate of 8.94%. Interest is charged on Grad PLUS Loans during all periods, beginning on the date of your loans first disbursement. To find out more information on interest rates for Grad PLUS Loans, contact the Direct Loan Servicing Center at 800-557-7394.
2024-2025 Academic Year
The Grad Plus Loan Program requires a 4.228% origination fee. The U.S. Department of Education deducts the fee before you receive any loan money, so the loan amount you actually receive will be 4.228% of the certified amount.
The interest rate for the Graduate PLUS Loans is a fixed rate of 9.08%. Interest is charged on Grad PLUS Loans during all periods, beginning on the date of your loans first disbursement. To find out more information on interest rates for Grad PLUS Loans, contact the Direct Loan Servicing Center at 800-557-7394.
Applying for a Federal Direct Graduate PLUS Loan
For first time borrowers, there are 5 steps to applying for the Federal Direct Grad PLUS Loan. Repeat borrowers who have already completed a Federal Direct (Graduate) PLUS Loan Master Promissory Note (MPN) and Graduate PLUS Loan Entrance Counseling for previous years must complete Steps 1, 4 and 5.
No PLUS Loan will be processed until a valid credit approval has been received by the U.S. Department of Education.
Attention MAC users, you must use Internet Explorer or Firefox as your browser in order to complete your Master Promissory Note. Safari is not compatible with the Department of Education's website.
- Complete the Graduate PLUS Loan Application
This application provides the Department of Education with the information necessary for the credit check to be done. Click on the above link, sign in with your FSA ID. - Electronically sign the Direct (Graduate) PLUS Loan Master Promissory Note (MPN)
This part of the process is collecting your electronic signature on the Promissory Note where you agree to the terms and conditions of the loan. - Complete the Graduate PLUS Loan Entrance Counseling
This counseling is a federal requirement and will inform you of your rights and responsibilities as a borrower under the Federal Graduate PLUS Loan program. - Complete the Graduate PLUS Loan Certification Form
Submit it to Student Financial Assistance to finalize the loan process.
2025-2026 Graduate PLUS Loan Certification Form
2024-2025 Graduate PLUS Loan Certification Form - Complete the Annual Student Loan Acknowledgment (Optional)
The Annual Student Loan Acknowledgment is an optional online session that allows students to see how much they have borrowed in Federal loans, preview what their monthly payments might be, and explain concepts such as capitalization and the difference between federal and private loans. This optional task cannot be completed until after April 15 for the upcoming academic year which begins each fall.
What will you gain from the Annual Student Loan Acknowledgment?
- Knowing how much you owe in Federal student debt will allow you to make informed choices before agreeing to borrow more money to pay for higher education.
- Calculating the monthly payments and the median salary you can expect to receive after graduating from college will give you a better understanding of your obligation.
- Breaking down basic loan concepts such as interest accrual, capitalization and the difference between private and federal student loans will help you better understand the balance for repayment.
Disbursement
Direct Loans are typically divided into equal disbursements for each semester. You may review SHU Awards for the semester installment amounts of your loans. After classes begin (typically after the add/drop period), your loans will post to your Student Account. To be eligible for federal loan disbursement, you must initiate attendance, be enrolled at least half-time (3 or more credits), and be meeting satisfactory academic progress. All outstanding financial aid requests related to eligibility must be received as indicated in SHU Awards under My Documents. When your loans disburse, you will receive a disbursement notification from Student Accounts, so it is important to stay connected and keep your contact information current.
Refunds
If your federal financial aid exceeds your student’s billed charges for the term, a financial aid refund will be issued within 14 days of aid disbursement. For more information, refer to the Student Accounts Credit Balance Processing webpage. You may elect to have the credit held for future academic year charges.
Modify, Cancel or Return (a portion of your loan)
To increase a loan amount, you may submit an additional Grad PLUS Loan Certification form. Note: if your credit approval has expired, you will need to obtain a new credit approval. You may request a modification or cancellation to a future term by emailing SFA@sacredheart.edu. For returns back to the lender, send your written request to either SFA or to Student Accounts within 120 days of your PLUS loans disbursement date.
Enrollment
Changes in your enrollment status may impact your financial aid. If you drop below 3 credits, you will be ineligible for federal loan disbursement. Review our Financial Aid Withdrawal Policy and go over the changes with your Financial Aid Counselor. Failed attendance and course withdrawals affect your satisfactory academic progress, which may also impact aid eligibility.
Repayment
After your loans disburse, you will be assigned a federal loan servicer who will manage the repayment of your Direct Grad PLUS loans. Borrowers are automatically assigned to the 10-year standard repayment plan. However, there are several repayment plans available to Direct Loan borrowers. Contact your loan servicer for information on the different repayment strategies.
If you elected to not defer during the application process, your repayment date will begin 60 days after the loan is fully disbursed. If you elected to defer payments, the repayment date will be after a 180-day grace period following your graduation, withdrawal from courses, or when you drop below 3 credits. During this grace period, you are not required to make payments though interest will continue to accrue.
How much have I borrowed?
Visit the Federal Student Aid website and log in with your FSA ID. The My Aid page will display your loan history for federal student loans. Private loans are not included.