Now, grad PLUS loans offer federal borrower benefits that private loans don’t have. This means you can change your payment plan as needed, including income-driven plans; get the same fixed rate regardless of your credit; and are eligible for loan forgiveness for public service work or after a set number of payments on an income-driven plan. , take the federal benefits into account, and decide what is best for you before moving forward.
By considering these issues, you can make an informed choice about what kind of student loans are right for you. parent PLUS and grad PLUS loans. These share the same interest rate, fees, and general eligibility requirements. However, parent PLUS loans are only made to parents of undergraduates, while grad PLUS loans are available to graduate and professional students. Grad PLUS borrowers also have access to more income-driven repayment options than parent borrowers do. For the 2023-24 school year, the interest rate on grad PLUS loans is 8.05% and the origination fee is 4.228%. Borrowers should compare these rates to private student loans when deciding how much to borrow.