PLUS Loan Repayment Options
You have a choice of repayment options, depending on the loan program you are applying for, so you can choose the one that best meets your individual needs. Payments can be made online, and you may be eligible to receive a 0.25% interest rate reduction if you sign up to have your monthly payments auto-debited every month from a bank account.
Parent PLUS loans have 3 available repayment plans:
- Standard Repayment
- Graduated Repayment
- Extended Repayment
Unfortunately, Income Based Repayment and Income Contingent Repayment are not allowable repayment plans for the Parent PLUS loan, nor for a Direct Consolidation Loan that includes a Parent PLUS loan.
The Standard Repayment Plan requires you to pay a fixed amount each month based on your principle and interest but will be no less than $50 or the interest that has accrued.
The Graduated Repayment Plan allows you to make a monthly payment that starts out low and then increases over time until the loan is paid in full. The required monthly payment is calculated based on your loan debt and interest rate, but it will never be less than the amount of interest that accrues each month.
Extended repayment provides eligible Federal Stafford, Federal PLUS, Alternative loan, and Federal Consolidation loan borrowers with payment relief through a lengthened repayment term of up to 25 years.
PLUS Loan Consolidation
With the Plus Loan Consolidation Program, the borrower may refinance multiple loans. The original loans are paid in full and a new loan for the combined balance is originated, for a new term, often at a new interest rate.
Note: All of the consolidation payment plans listed above may also be available for eligible Federal Stafford loans and Graduate Plus loans. Repayment plans for Private Student loans may vary by lender.