Graduate PLUS Loan
Beginning in Summer 2009 & 2009-2010 academic year, UTSA will process all Graduate PLUS Loans through the William D. Ford Federal Direct Loan Program.
Graduate or professional students are now eligible to borrow under the PLUS Loan Program up to their cost of attendance minus other estimated financial assistance. The terms and conditions applicable to Parent PLUS Loans also apply to Graduate/Professional PLUS loans. The interest rate is a fixed rate and is set July 1st of each year.
- Who can apply and what are the requirements?
- How does the Graduate PLUS Loan affect my financial aid?
- What is the interest rate and the origination fee for the Graduate PLUS Loan?
- What is the Graduate PLUS Loan repayment period?
- How do I apply?
- What if the Graduate PLUS Loan is denied?
Who can apply and what are the requirements?
Potentially eligible Grad PLUS borrowers are those who are enrolled at least half-time in a graduate or professional program.
Requirements:
- Graduate students need to be classified as a Graduate student in order to be eligible to receive the Graduate PLUS Loan.
- Graduate students need to be enrolled at least half-time (4hrs) per semester fall/spring & (3hrs) in the summer term in order to be eligible to receive the Graduate PLUS Loan.
- Graduate students need to be making Satisfactory Academic Progress (SAP) in order to be eligible to receive the Graduate PLUS Loan.
How does the Graduate PLUS Loan affect my financial aid?
- Graduate student PLUS applicants must file a FAFSA.
- Graduate students are not required to accept the Direct Stafford Loans that are offered, but are encouraged to consider all options before applying for the Graduate PLUS Loan.
- Graduate students can generally borrow the difference between the university's cost of attendance minus their other financial assistance.
What is the interest rate and origination fee for the Graduate PLUS Loan?
The interest rate on the Gradute PLUS Loan is fixed at 7.9%. Interest is charged from the date the first disbursement is made until the loan is fully repaid. Graduate PLUS Loans are subject to a 4% origination fee, however, there is a 1.5% interest rate rebate that helps reduce this fee. Once repayment begins, you must make 12 on-time monthly payments to retain this benefit.
What is the Graduate PLUS Loan repayment period?
The repayment period for a Graduate PLUS Loan begins on the date of the final disbursement of the loan and the first payment is due within 60 days after the date the loan is fully disbursed. Although repayment does not begin until after the final disbursement, interest does accrue while the student is enrolled. Students must contact the Direct Loan Servicing Center at 1-800-848-0979 to request a deferment based on their enrollment status.
How do I apply?
- Complete and turn in a UTSA Graduate PLUS Request Form for the correct academic year to Enrollment Services at either the Main Campus or Downtown Campus.
- We will no longer accept faxed or emailed copies. Because UTSA completes credit checks through the U.S. Department of Education original signatures are required. If the form is submitted incomplete, then please note this will delay the processing of your loan.
What if the Graduate PLUS Loan is denied?
- The Federal Loan Origination Applicant Services (LOAS) will issue a loan denial letter that will identify the name and telephone number of the agency who provided the credit information. (Please note that our office is not provided any information about the specific reason for the denial).
- The Federal Loan Origination Applicant Services (LOAS) may be contacted at 1-800-557-7394 or you may write to the Direct Loan Origination Center at:
Applicant Services
P.O. Box 5691
Montgomery, AL 36103-5691
- UTSA will email the student borrowers as well to inform them of their denial of the Direct Grad PLUS Loan.
- Based on what the student borrower completed on the Option Selection and Certification Section of the Request form will determine how UTSA will proceed in awarding.
- If the student borrower chose the option to appeal the credit decision, UTSA will include in the email the steps that need to be completed to begin the appeal and/or the endorser process.
- If the student borrower decides not to pursue the appeal and/or the endorser process, then it is the student’s responsibility to notify our office so we can make the necessary changes to cancel the loan.