The U.S. Department of Education has made a Direct PLUS loan program for the students where the loans are given to the students of the schools that have participated in such program. Hence, it is not open for all the students or all the schools, just the specified ones are eligible for such program.

Eligibility for the PLUS loan:

Same at the other student loans, there can be two conditions for availing the PLUS loan; the borrower can be a dependent student or an independent person. In order to be eligible for a PLUS loan, the borrower must be a graduate or a professional degree student who is enrolled at least half-time at such school which has participated in PLUS loan program and which has a program leading to a degree or certificate. In case of a dependent borrower, the student can be an undergraduate enrolled for at least half-time at such a participating school.

Who can ask for federal student aid?

There is certain general eligibility criterion that has to be fulfilled by the student in order to be eligible for the federal student aid program and ultimately the PLUS loan program. These are as under;

1) Non U.S. Citizens who are holding green card (Non US but, permanent residents of U.S.) can be eligible for the aid if the other basic eligibility criteria are satisfied.

2) The students who have criminal record can also be eligible for the federal aid but it is limited to certain extent. Criminal record includes, conviction for a drug offense, or the student is subject to any involuntary civil commitment after completion of period of imprisonment for a sexual offense.

3) Students, who have got intellectual disability like Mentally Retarded, can also get the federal aid. But for these types of students PLUS loan may not be available.

4) To get the Federal aid, the student must stay eligible throughout the loan term.

Application and credit check for PLUS loan:

The application for the PLUS loan can be made from the eligible school. The information for the same can be obtained from the financial aid office. Though this loan is specifically for the students, it requires credit check. So, in order to qualify for this kind of loan one must have a good credit score. If there is an adverse credit score even then there is a provision of endorsement according to which the borrower can get the loan. The endorser must have a good credit history in order to support his endorsement over the loan taken by the borrower.

PLUS loan gives benefits to the borrowers who have reached on the verge of completion of their studies and entering into the real world market with the fresh tool of knowledge.