federal-direct-graduate-plus-loan-credit-check
A minimum credit check is required for all Federal Direct Graduate PLUS Loan borrowers. As of March 29, 2015, applicants are considered to have adverse credit if they are 90 days or more delinquent or that are in collection or have been charged off during the two years preceding the date of the applicant’s credit report, but only if the total combined outstanding balance of those debts is greater than $2,085. If you do not qualify for a Federal Direct Graduate PLUS Loan on your own, you may become eligible by obtaining an endorser for the loan. Applicants who have an adverse credit history but who qualify for a Federal Direct Graduate PLUS Loan through the process for reconsideration due to extenuating circumstances or by obtaining an endorser for the loan are required to complete additional PLUS Counseling which will be provided by the Department of Education on studentaid.gov. Instructions on how to proceed in the event of an adverse credit decision will be provided to you by the Department of Education.
Your credit check will be valid for 180 days from the date when you authorize the Department of Education (ED) to review your record. If your loan is not processed within this window for any reason, a new credit check will be initiated by ED once GW forwards your loan request to them. Should you require additional funds after your original loan is processed complete a new Direct PLUS Loan Request for Graduate/Professional Student Borrowers on studentaid.gov in addition to submitting a new Graduate Loan Questionnaire found on the Forms and Documents page.
Please be aware that we will not begin sending loan records to the Department of Education for the next Academic Year after July 1st when they begin accepting requests. Therefore, if you authorize the credit check early in the spring for the following school year, your credit may need to be reviewed again by ED if you complete your application after the supplemental loan priority deadline. If your credit adversely changes, you may be subsequently denied by ED. Be sure to monitor your credit report and budget your finances accordingly at all times so that your credit is not negatively affected.