Students sitting on the third floor of the Student Center studying and having conversations.

Graduate Federal PLUS Loans

Students in a graduate or professional program of study (post-baccalaureate programs do not qualify for this loan) who have completed a FAFSA application to determine other federal aid may qualify for the Graduate PLUS loan.

Graduate students may apply for a PLUS loan if:

  • They are in a qualified graduate program.
  • They are United States citizens or eligible non-citizens.
  • They are not in default on a federal student loan.
  • They do not owe a refund on a federal education grant.


Eligibility for a Grad Direct PLUS Loan is determined by a credit check. Students determined to have adverse credit will not be approved. Students who are denied a PLUS loan may apply with a qualified endorser. An endorser is someone who agrees to repay the loan if you do not repay it.

Origination and Interest Rates

Grad PLUS loans have a 4.2228% origination fee and a fixed interest rate of 8.05%. The interest rate is not subsidized while the student is in school.


Repayment begins 60 days after disbursement. Grad PLUS loan borrowers may choose to have repayment deferred (postponed) while in school, enrolled at least half-time, and for an additional six months after the student is no longer enrolled at least half-time. Interest that accrues during these periods will be capitalized if not paid by the borrower. The repayment term is up to 10 years. Unless requested there is no six-month grace period.

How to Apply

The FAFSA application must be completed by student’s applying for a Grad Direct PLUS Loan. Please note, the student must be in school at least half-time (minimum3 graduate level credits), working on a master’s degree or beyond and eligible for student aid.

The Grad PLUS loan is a three-step process:

  1. The student must “Apply for a Direct PLUS Loan.”
  2. Select “Login to Start.”
  3. If you are approved, you must next go to “Complete Loan Counseling (Entrance, Financial Awareness, Exit)”then choose “Log in to Start” in the “I am a Graduate Student” box.
  4. Once the entrance counseling is completed, choose “Complete Loan Agreement (Master Promissory Note)”then select “Log in to Select MPN Type” in the “I am a Graduate Student Section” fill in the required data and select Montclair State University as the school to receive the information and submit.
  5. Please note that the PLUS loan credit expires 180 after the approval date.
  6. In order for the approved loan to be certified by our office, we must have the approved request entrance counseling and MPN completed before the end of the semester to which the PLUS loan applies.

Please review the video below for a step by step tutorial on the two-step Grad PLUS loan process:

Refund Checks:

If you have received a refund after all your loans have been disbursed the following options are available:

  1. You may keep the refund and use for winter or summer classes and/or spring books.
  2. You can cash the check and then repay the lender or servicer in the same amount or a lesser amount (if you need some of the funds for educational expenses).
  3. You can request a reduction of the loan for the upcoming semester.

More Questions?

Get more information about the Grad Direct PLUS Loan program.