how to apply

• Complete the Free Application for Federal Student Aid (FAFSA) and the 2009-2010 Supplemental Form for Graduate Students to the Financial Aid Office. (For faxing instructions, visit www.usc.edu/contactfao.) Otherwise go to Step 2.
• Select any lender, and apply online. (After you are approved by the lender, the Financial Aid Office will be notified and the loan will be certified.)  If you choose a lender not listed on this page, fax a 2009-2010 Graduate and Professional Student Federal PLUS Loan Request Statement to the Financial Aid Office. (For faxing instructions, visit www.usc.edu/contactfao).
• If you need to complete a Graduate and Professional Student Federal PLUS Loan Master Promissory Note (MPN), your lender will contact you. The MPN is valid for all PLUS loans with this lender for up to 10 years.

Basic Information

• To apply for this loan, you must be a U.S. citizen or permanent resident, and must have filed the appropriate form:
• Free Application for Federal Student Aid (FAFSA)
• 2009-2010 Supplemental Form for Graduate Students
• You must be enrolled at least half-time, submit all required documents, and maintain Satisfactory Academic Progress and loan eligibility.
• You must already have borrowed the maximum Federal Stafford Loan amount.
• You must meet federal established credit criteria or apply with an endorser who meets the credit criteria. (Your lender will perform a credit check.)
• The current interest rate is fixed at 8.5 percent, with a 10-year repayment term that begins when the loan is fully disbursed. However, you may defer payment until you graduate, withdraw or drop below half-time enrollment.
• To reduce the cost of borrowing, consider making interest only payments while you are in-school.
• Your loan is generally disbursed in two equal parts, at the beginning of each semester.
• Federal Origination Fees of 3.0 percent will reduce each disbursement.
• Federal Default Fees of up to 1.0 percent may also reduce each disbursement.
• There is no penalty for early repayment.

to qualify

The student must be a US Citizen or eligible non-citizen, and the student's credit report must be free of the following adverse items:

• Currently 90 days or more delinquent on repayment of any debt
• Debt discharged in bankruptcy during the past five years
• Evidence of a default, foreclosure, tax lien, repossession, wage garnishment, or write-off of a Title IV debt during the past five years

Benefits of the Federal Graduate and professional student PLUS Loan

• You do not need to submit your tax returns to the Financial Aid Office
• Borrow up to the full cost of education — tuition, mandatory fees, room and board, books and supplies, and even transportation, less other aid received
• Fixed interest rate
• No prepayment penalty                           
• No income-to-debt ratio
• Credit check is less strict than private student loans                          
• Students who do not meet the credit requirements may apply with a co-signer (called an “endorser”)
• Postpone payments up to 60 months while student is in school
• Payment Flexibility: income-based, graduated and extended payment options
• Accrued interest capitalizes once at repayment
• Student may reduce cost of borrowing by making payments while in-school
• Federally insured against death and total disability

Federal Graduate PLUS Lenders

USC has analyzed all known lender programs of this type offered to USC students. The criteria utilized to evaluate these lenders included (in order of importance) customer service, technology, lender background, disclosure/transparency and default initiatives. The compilation and analysis of data during the lender selection process was conducted by an independent advisory firm with USC making the final selection of lenders based solely on the best interests of borrowers. 

The use of a lender on the USC list is not required. USC will process loans from any eligible lender the student selects. USC may not deny or otherwise impede the borrower's choice of a lender or cause unnecessary delay in loan certification for those borrowers who choose a lender that is not included on the lender list below. 

The top lender programs for the Federal Graduate PLUS Loans, based on the analysis described above, are presented on this page in alphabetical order. Bear in mind that USC does not endorse or recommend specific lenders. For more information, contact the Financial Aid Office at www.usc.edu/contactfao.

Although every effort is made to provide the most accurate and up-to-date information, the content of this publication is subject to change due to alterations in federal, state, university or lender policy or procedure. The USC Financial Aid Office cannot be held liable for the consequences of such changes in policy or procedure. The most current information can be found by contacting the lenders directly at the customer service numbers provided below.

*Denotes an affiliated lender. A Wells Fargo Company.