General Information
Federal PLUS Loans are government sponsored low interest loans available to graduate and law students and to the parents of undergraduate students. These loans are borrowed either directly through the Federal Government (Direct Loans) or through private lenders, such as banks, credit unions, or savings and loan associations that participate in the Federal Family Education Loan Program (FFELP). Boston College participates in the FFELP process, so your loan will be funded by a private lending institution. You are charged an Origination Fee of 3% and a Guarantee Fee of 1% unless these fees are waived or reduced by the lender or guarantor.
Annual Loan Limits
Applicants can borrow any amount up to the full cost of education, as determined by Boston College, less all other resources. The cost of attendance includes tuition, room, board, mandatory fees, and allowances for books, personal expenses, and transportation.
Universities are federally mandated to certify all federal loans (including PLUS loans) to coincide with a student's enrollment. If a student is enrolled the fuill academic year, then the loan must be a full academic year loan. Only students attending for one semester may apply for a semester-only federal loan.
Credit Qualifications
Borrowers must meet the selected lender's minimum credit requirements to borrow this loan. A credit check will be performed when you begin this process. If you do not meet the credit requirements, you will not be able to continue the application process. Undergraduate students whose parents do not qualify for a PLUS loan, or independent undergraduate students can borrow additional federal Stafford student loan funds.
Interest Rate
PLUS loan borrowed after July 1, 2008 will have a fixed interest rate of 8.5%.
Repayment Information
For parent PLUS loans, repayment begins within 60 days after the loan has been fully disbursed with a maximum repayment term of 10 years. For Graduate PLUS loans, repayment term extends up to 10 years (extended repayment plan may be available) with no prepayment penalty. Repayment of principle and interest begins 60 days after the loan is fully disbursed. Deferment options are available while student is enrolled at least half-time at an eligible institution.