Grad PLUS Loan — 2007/2008 Academic Year
The Grad PLUS loan is a federal loan available to graduate/professional students. The details provided below describe VSAC’s Grad PLUS loans with a first disbursement before 7/1/08.
The VSAC Difference!
VSAC Graduate/Professional PLUS loans automatically receive a one-time interest rebate equivalent to 4.3% of the outstanding principal balance followed by annual interest rebates equivalent to 1.3% of the outstanding principal balance.*
GET THE FACTS
HOW TO APPLY
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Apply Online or request Online Credit Pre-approval
The Graduate/Professional PLUS loan is a credit-based loan; we must review your credit. You may request a loan application (Master Promissory Note) during the online credit pre-approval process. -
Indicate that VSAC is your Lender
When you accept your school’s financial aid award package, indicate that VSAC is your lender (VSAC Lender Code: 830075; VSAC Guarantor Code: 750).TIP: Use the financial aid award package to determine how much to borrow. You are eligible to borrow up to the total cost of your education less any financial aid. However, only borrow what you need and what you will comfortably be able to repay.
- Wait for instructions from VSAC and your school regarding next steps.
ELIGIBILITY
You may be eligible if you are:
- a graduate student
- eligible for federal student aid (have you completed the FAFSA?)
- applying for the maximum Stafford loan for which you are eligible
- enrolled/enrolling at least half-time at an eligible postsecondary school
- credit-approved or applying with a credit-approved endorser
- a Vermont resident or attending school in Vermont or already a VSAC customer
BORROWER BENEFITS*
Annual Rebates
VSAC Graduate/Professional PLUS borrowers automatically qualify for this great benefit!
4.3% - Year One
Interest rebate equivalent to 4.3% of the outstanding principal balance1.3% - Year Two & Beyond
Interest rebate equivalent to 1.3% of the outstanding principal balance
Get the Savings - VSAC applies interest rebates even while you are in school!
See how much you can save when you borrow through VSAC!
INTEREST RATE & FEES
The interest rate is fixed at 8.5%.
Fees are deducted at disbursement:
- 3% federal origination fee
- 1% federal default fee
LOAN AMOUNTS
The total amount which you can borrow is determined by your school’s financial aid office; you can borrow up to the cost of your education, less any other financial aid. There is no income requirement; you must work with your school to determine how much to borrow.
REPAYMENT
- No payments will be due while you are enrolled at least half-time. Notification will be sent to you prior to the first due date.
- Payments are due each month on the same day.
- The standard repayment period is 10 years; you may be eligible for additional years based on the total amount you borrow and when you borrowed your first federal loan.
- There are no prepayment penalties.
- You may be eligible for temporary payment suspension through deferment and/or forbearance.
- Grad PLUS loans are eligible for federal loan consolidation.
ENDORSER
- Obtaining an endorser is only necessary if the primary borrower cannot resolve their adverse credit issues.
- An endorser agrees to be secondarily liable for the loan if the borrower does not pay as agreed.
- Endorsers are reported to the credit bureaus as secondarily liable for the loan.
- Endorsers do not receive monthly bill statements but do receive past due notices.
- If the primary borrower is unable to pay, the endorser is expected to make payments, including any late or collection fees.
- Endorsers may request assistance with repayment if payments are not manageable.
- Endorsers are not required to sign paperwork or meet eligibility requirements for repayment options requested by the borrower.
- If the primary borrower consolidates the PLUS loan, the endorser will no longer be liable for the loan.
ADDITIONAL FINANCING OPTIONS
Interested in exploring additional financing options? Check out these additional sources of aid.
*The borrower benefits described are effective for Grad PLUS loans with a first disbursement before 7/1/08. In addition to these benefits, VSAC will pay the 1% federal default fee on PLUS loans approved on or after 5/19/08. VSAC evaluates benefits each academic year and reserves the right to modify, terminate, or discontinue them at any time, at its sole discretion. Loans 180 or more days past due are not eligible for the annual rebate benefit.
