Federal PLUS Loan

Description: Loan for parents and graduate students funded and administered by the U.S. Dept. of Education.
Rate: 7.9% fixed
Fees: 4% fee; fees are deducted from the total amount disbursed to the school
Eligibility: U.S. Citizen/permanent resident; parent of full/part-time, parent of dependent undergraduate student; graduate student. A credit check is required.
Amount: Up to the difference between college costs and financial aid received.
Repayment Term: Up to 10 years for a standard repayment term. Loan repayment begins within 60 days after final disbursement. Parents can choose to defer payments until up to 6 months after the student leaves school or drops below half-time status. Interest accrues during this period and can be paid monthly, quarterly, or will be capitalized. Payments can be deferred for graduate students until graduation. Forbearance options are also available.
Minimum payment: $50/month
How to apply: Submit the FAFSA by your school's deadline. You will also need to complete an application, known as a Master Promissory Note, to accept your award.