This is a federally guaranteed student loan and is not based on financial need. Interest accrues from the time the loan is disbursed to the school with origination fees taken out at the time of disbursement. Each loan has a fixed interest rate for the life of the loan and the maximum amounts you can receive per school year is determined by the number of months you are in school. 

General Requirements

  • Application: complete the Free Application for Federal Student Aid (FAFSA). 
  • Credit Check: you must submit to a credit check by the U.S. Department of Education. You authorize the credit check when you agree to the Financial Aid Notification Terms and Conditions. Eligibility includes:  
    • Students cannot be 90 days or more delinquent on the repayment of any debt or the subject of a default determination, bankruptcy discharge, foreclosure, repossession, tax lien wage garnishment, or write-off of a Title IV debt during the last 5 years.
    • The Direct Loan Processor will notify you and our office of the result of the credit check.
    • If credit is approved, loan funds are disbursed and applied to tuition, fees, and other university charges.
  • Loan specific requirements: 
    • Complete a separate Master Promissory Note (MPN)
    • Complete a separate Entrance Counseling requirement. 
  • Interest rate: The fixed interest rate for Grad PLUS loans disbursed between July 1, 2025, and June 30, 2026, is 8.94%.
    • The interest rate for the 2026-2027 aid year is set on July 1 of each year and cannot exceed 9.50%. 
  • Repayment: begins within 60 days of the final loan disbursement during the academic year. Principal and interest payments may be deferred if you meet deferment requirements. Your Federal Direct Grad PLUS Loan will be automatically deferred if you’re enrolled at least half time in a degree-seeking program.

New borrowers vs. Legacy Borrowers

With the passing of the Big Beautiful Bill in July 2025, changes have been made to the Federal Direct Loan Program and eligibility requirements. As of July 1, 2026, the federal government makes a distinction between new borrowers and legacy borrowers:

New Borrowers

Students who begin course work in a NEW medical degree program on or after July 1, 2026.

  • This loan program is not available to new borrowers.  
Legacy Borrowers

Students who started their medical degree program prior to July 1, 2026, and continue in the same program. 

  • Annual Loan limit: up to the cost of attendance. 
  • Lifetime Aggregate: $138,500.00