MIT Student Financial Services Loans

Federal Direct PLUS Loan –
parents of Dependent undergraduates

A federal low-interest loan for U.S. parents of U.S. undergraduates or U.S. graduate and professional students.

How to Apply

Applying for the first time? Complete steps 1 and 2 by July 1 to receive an anticipated financial aid credit on the fall bill or by December 1 for the spring bill. Applications are accepted throughout the academic year.

Reapplying? Complete step 1 by July 1 to receive an anticipated financial aid credit on the fall bill or by December 1 for the spring bill. Applications are accepted through the academic year.

  • Step 1 - Complete the Free Application for Federal Student Aid.  If you would like to be considered for federal aid only and not complete the entire MIT financial aid application process, please e-mail sfs@mit.edu to let us know.
  • Step 2 –Complete an application on-line by signing in under the “Manage My Direct Loan” with your FAFSA Pin at StudentLoans.gov. MIT will receive the information electronically within 48 hours and update the student's financial aid package to reflect the PLUS loan.
  • Step 3 – The parent borrower must sign a master promissory note on line at StudentLoans.gov.

About This Loan

Eligibility requirements
  • Both parent and student must be U.S. citizens or permanent residents
  • The dependent student must be enrolled at least half-time
  • Borrower must pass a standard credit check
  • Parent and student may not be in default on a prior education loan
Maximum annual loan
Aggregate limit
  • None
Interest rate
  • 7.9% fixed as of July 1, 2008
  • Interest begins accumulating after the loan’s first disbursement
Fees
  • Net fee of 4.0% deducted from amount borrowed for loans disbursed.
Repayment
  • Begins 60 days after loan is fully disbursed, or (if agreed to by the parent borrower), the day after the student's six-month grace period ends
  • Generally 10 to 30 years to repay, depending on plan
  • Three repayment plans including standard, extended and graduated.
  • In order to defer your payments, you must complete a deferment form, complete your section of the form, and (if appropriate) bring it in to the Student Services Center, 11-120, to have the school section completed. Please note that deferments under the Federal Direct PLUS Loan defers your payment but not the accrual of interest.
Important Sites

Loan exit counseling
If you borrowed a Federal Direct Stafford Loan, Federal Perkins Loan or Federal Direct Graduate PLUS Loan, you are required by federal law and MIT policy complete an exit interview online before graduation. If you borrowed an MIT Technology Loan, contact your loan counselor to schedule an exit interview. Required reading: the SFS loan exit counseling guide.

Loan entrance counseling
Online counseling via WebSIS is required for all first-time borrowers of Federal Direct Loans, Federal Perkins Loans and MIT Technology Loans.

Campus Partners
Campus Partners handles billing and payment for Federal Perkins Loans and MIT Technology Loans.

Direct Loan Servicing Ctr.
The DLSC handles billing and payment for Federal Direct Loans and Graduate PLUS Loans.

Loan payment calculator
Estimate your loan payments.

Compare loans

These two printable charts can help you compare loans available to undergraduates and their families, and loans available to graduate students.

View Undergraduate loans

View Graduate loans
 
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