which loan type allows you borrow up to the cost of attendance, minus other aid you have received?
Which loan type allows you to borrow up to the cost of attendance, minus other aid you have received?
Answer:
The type of loan that allows you to borrow up to the cost of attendance, minus other aid you have received, is called a “Direct PLUS Loan.” Direct PLUS Loans are federal loans that graduate or professional students and parents of dependent undergraduate students can use to help pay for college or career school. The loan amount can cover up to the total cost of attendance, which includes tuition, fees, room, board, books, and other related expenses, minus any other financial aid received.
To be eligible for a Direct PLUS Loan, the borrower must not have an adverse credit history. The interest rate on Direct PLUS Loans is fixed and set by the federal government. It is important to note that the borrower is responsible for repaying the loan along with any accrued interest.