Federal Graduate/Professional PLUS Loans

Fixed 8.5% interest rate for loans made on or after July 1, 2006. Lower your rate with the NC Advantage.

Although you do not have to demonstrate financial need to borrow PLUS Loans, you must have a good credit history and have already applied for your annual loan maximum eligibility under the Federal Stafford Loan program.

You must be enrolled, or accepted for enrollment, at least half-time in a graduate or professional program of study.

Repayment on a PLUS Loan starts once funds are disbursed. However, as long as you are certified as enrolled at least half-time, your payments will be deferred.

PLUS Loans can be used to cover any educational expenses not covered by other forms of financial aid. Federal standards for PLUS loans are described in the bulleted items below.

The maximum annual loan limit is the cost of attendance minus any other financial aid you are qualified to receive.

• For loans first disbursed on or after July 1, 2006, standard charges are a 1% federal default fee and a 3% origination fee; however, no federal default fee is charged on a Graduate/Professional PLUS Loan from CFI -- which saves you money.
• The fixed interest rate for Graduate/Professional PLUS Loans is 8.5%.
• Repayment begins 60 days after the funds are disbursed, and the repayment term is up to 10 years. As long as you are enrolled at least half-time, your PLUS Loan payments are deferred.
• To be eligible to borrow a Graduate/Professional PLUS Loan, you must not have adverse credit.

To borrow a Graduate/Professional PLUS Loan from College Foundation, Inc. (CFI), the prospective borrower must have a North Carolina Connection as well as meet federal loan requirements. The required connection is established by meeting at least one of the following:

You are:

• A resident of North Carolina; or
• Enrolled, or accepted for enrollment, at a North Carolina college or university eligible to participate in the Federal Family Education Loan Program; or
• A previous CFI borrower; or
• A current or former participant or beneficiary in the North Carolina 529 college savings plan; provided that, the savings account was active on or before June 1, 2008 and not closed due to a rollover to another qualified tuition program.

Nondiscriminatory Policy