PLUS Loans Credit Requirements

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Frankie55
Posts: 122
Joined: Thu Nov 04, 2010 6:14 pm

PLUS Loans Credit Requirements

Postby Frankie55 » Tue Jan 25, 2011 3:02 pm

I'm assuming these are just basic "don't be delinquent/in default on past loans" requirements, right? I have good credit, but like a lot of people applying for these, I haven't been out of undergrad very long, and my parents have poor credit. I won't need to have existing income/a parent to co-sign, will I?

sidhesadie
Posts: 454
Joined: Mon Jul 12, 2010 4:54 pm

Re: PLUS Loans Credit Requirements

Postby sidhesadie » Wed Jan 26, 2011 2:51 pm

My understanding is that as long as you don't have defaults/delinquencies, foreclosures, bankruptcies, judgements, collection accounts or charge offs on your credit you should not need a cosigner.

cowgirl_bebop
Posts: 901
Joined: Sun Aug 15, 2010 2:32 pm

Re: PLUS Loans Credit Requirements

Postby cowgirl_bebop » Sat Jan 29, 2011 10:14 am

sidhesadie wrote:My understanding is that as long as you don't have defaults/delinquencies, foreclosures, bankruptcies, judgements, collection accounts or charge offs on your credit you should not need a cosigner.


TITCR. I am in a similar position as the OP as none of my family members have good enough credit to cosign on a loan for me.

Grad Plus loans are not based on credit scores like private loans. Instead they are based on the federal standard, which simply means not being in default or delinquent on a loan, etc. The GWU financial aid site puts it like this:

* Fixed interest rate of 7.9%
* Same payment deferment and forbearance options as the Federal Direct Stafford Loan (e.g. hardship, unemployment, and in-school)
* Fee of 4%, rebated down to 2.5%, is charged on this loan
* Loan eligibility is based on the federal standard (no adverse credit, e.g., no past-due payments, charge-offs, collections in the past 90 days) as opposed to your credit score
* May be consolidated with other federal loans

FromtheD
Posts: 11
Joined: Mon Jan 17, 2011 8:00 pm

Re: PLUS Loans Credit Requirements

Postby FromtheD » Tue Feb 01, 2011 3:35 pm

I have a question regarding the PLUS requirements. If I've just recently paid off my collections on some past due accounts, but they are now settled, when the time comes to apply for this loan, will that have any effect? Is the 90 days in the clear thing really true?

cowgirl_bebop
Posts: 901
Joined: Sun Aug 15, 2010 2:32 pm

Re: PLUS Loans Credit Requirements

Postby cowgirl_bebop » Tue Feb 01, 2011 9:07 pm

FromtheD wrote:I have a question regarding the PLUS requirements. If I've just recently paid off my collections on some past due accounts, but they are now settled, when the time comes to apply for this loan, will that have any effect? Is the 90 days in the clear thing really true?


I think the best person to answer that is your financial aid adviser at whatever school you plan on attending. They would know more about the restrictions in practice than we would.

wardy007
Posts: 24
Joined: Sat Dec 04, 2010 5:41 pm

Re: PLUS Loans Credit Requirements

Postby wardy007 » Wed Feb 02, 2011 3:20 pm

cowgirl_bebop wrote:
FromtheD wrote:I have a question regarding the PLUS requirements. If I've just recently paid off my collections on some past due accounts, but they are now settled, when the time comes to apply for this loan, will that have any effect? Is the 90 days in the clear thing really true?


I think the best person to answer that is your financial aid adviser at whatever school you plan on attending. They would know more about the restrictions in practice than we would.



does anyone know the answer to this question????




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