Loans

What is a federal direct loan?

A long-term federal loan which students begin to repay six months after graduation or a drop below half-time enrollment. The interest rate for graduate students is fixed.

Who qualifies?

Master's-degree seeking students must be enrolled at least half-time per term and be enrolled in classes that count toward the degree. The student must be a U.S. citizen or an eligible non-citizen; males must have registered for the Selective Service.

Can I get a Subsidized Loan?

The Budget Control Act of 2011 made two significant changes to the graduate loan program. Graduate students were no longer eligible for SUBSIDIZED loan funds. Subsidized loans are loans that the federal government paid the interest while the student was enrolled in school and at times of deferment. Going forward, all federal loans are unsubsidized for graduate students. The Loan Rebate was also eliminated.

What is an Unsubsidized Loan?

An unsubsidized loan is when the student is responsible for the interest while enrolled in school. Interest begins to accrue on the day that funds are disbursed. The interest can be paid quarterly or capitalized and added to the loan principal.

How much can I borrow?

Graduate students may qualify for up to $20,500 of unsubsidized funds per academic year from the Federal Direct Unsubsidized Loan program. In most circumstances, students will apply for the entire academic year at one time. The loan will disburse equally each term. A student needs to reapply each academic year.

Graduate students may borrow up to a lifetime amount of $138,500 from the Federal Direct Unsubsidized Loan program.

Is there a fee for my direct loan?

Students pay an Origination Fee to the Department of Education. The fee is a percentage of the amount borrowed. Fees are deducted before the loan is disbursed into the student's account. The fee changes Oct. 1 of each year.

How do I apply?

Follow these steps to apply for a Federal Direct Unsubsidized Loan. (The FAFSA and PTS Form is year specific.)

1. Borrowers must complete the FAFSA. If selected for Verification, the school will mail further instructions to the student. (PTS School Code G03356) 
2. Complete a Federal Direct Loan Master Promissory Note at https://studentaid.gov/mpn/
3. Complete a Federal Entrance Counseling Session at https://studentaid.gov/entrance-counseling/
4. For the 2024-2025 academic year, submit a loan request form via MyPTS to the Financial Aid Office: https://my.pts.edu/ICS/ 

What is it?

A long-term, credit-based, federal education loan with a fixed interest rate in the student’s name.

Who can apply?

A student enrolled at least half-time per term working toward a master's degree; must be making satisfactory academic progress and not be in default on an education loan. The student must be a U.S. citizen or an eligible non-citizen and males must be registered for Selective Service.

Students must pass a credit check but may apply with a qualified co-borrower. It is recommended that students should apply first for the Federal Direct Unsubsidized Loan (see above).

How much can I borrow?

The annual limit is the Cost of Education minus all other financial aid, including other loans. A student needs to reapply each academic year online and through the Financial Aid Office.

Is there a fee?

The Federal government charges Graduate Plus borrowers an Origination Fee which is deducted before the loan proceeds pay into the student's account.

When does payment begin?

The first payment on a Direct Graduate PLUS Loan is due within 60 days after the loan is fully disbursed. There is no grace period for Direct Graduate PLUS Loans.

Students can postpone payments if enrolled on at least a half-time basis until graduation. Usually, the Servicer will automatically grant an in-school deferment based on data reported by PTS to the Department of Education showing enrollment. The Servicer will notify the student of the deferment and of the option to cancel the deferment and begin making payments. Generally, the in-school deferment will remain continuously in effect until graduation or a drop below half-time enrollment status.

Interest is charged on a Direct PLUS Loan beginning on the date of the first loan disbursement, and it continues to be charged during periods of deferment or forbearance. The student may pay the interest as it accrues. The Direct Graduate PLUS Loans can be consolidated with other eligible student loans into a single consolidation loan.

How do I apply?

1. Graduate Plus borrowers must complete the FAFSA. If selected for Verification, the school will mail further instructions to the student.

2. Students must submit a PTS Graduate PLUS Loan Request Form to the Financial Aid Office

3. Students should visit https://studentaid.gov/plus-app/ to complete:

• the Federal Graduate PLUS Application for the credit check;
• the Federal Graduate PLUS Master Promissory Note; and
• the Graduate PLUS Entrance Counseling Session.

• 8.08 percent Graduate Direct Loans
• 9.08 percent Graduate PLUS and Parent PLUS Loans

What is it?
Private loan programs offer competitive interest rates and borrower benefits. Unlike the Federal Direct Loan or Federal Direct Graduate PLUS Loan, these loans do not offer federal benefits. The student applies directly to a commercial lender. The Department of Education recommends that a student apply for scholarships and federal loans before pursuing private loans.

Who can apply?
Eligibility criteria, terms, and conditions vary by lender. It is important that the student compare loans to receive the best value.

How much can I borrow?
The annual limit is the Cost of Education minus all other financial aid, including loans.

What should I compare?
Compare interest rate and fees. Federal loan benefits include various repayment options, deferment and forbearance options, loan forgiveness/cancelation options, and death and disability benefits 

What are Regulation Z and Self-Certification Forms?
Private education loans are subject to additional regulations as a result of Truth in Lending legislation. The Federal Reserve Board approved Regulation Z, which revises the disclosure requirements for private education loans. Disclosures will be provided directly to the student. Students need to complete a Self Certification Form. This form will be provided by your lender. To complete the required Cost of Attendance, visit PTS Cost of Attendance. Students can find their individual awards on the contracts received from the Financial Aid Office. Per federal regulation, lenders are required to provide borrowers with a three business day right-to-cancel period after the final disclosure. Also, lenders are required to add an additional three business days for a borrower to receive the final disclosure. In most cases, the disbursement process will begin on the eighth day.

How do I apply?
PTS believes it is important to help students navigate the complex task of choosing a private loan provider, which is why we participate in ELMSelect..

ELMSelect is a loan comparison service offered free-of-charge. Once in ELMSelect a student can compare various loan programs from a roster of alphabetically-arranged loan products that PTS students have utilized in the past or link directly to the lender of their choice. ELMSelct will contact PTS to certify enrollment data electronically. Both PTS and the student will receive notification upon disbursement.

PTS does not endorse any specific lender. A student has the right to choose any lender for a private loan. PTS does not accept any revenue sharing funds from any lender. Your choice of lender, other than those posted, will not result in denial or delay of processing. If NOT applying through ELMSelect, your lender-of-choice can fax the certification request to the PTS Financial Aid Office at 412-924-1384.