The loan type that lets you borrow up to the school’s cost of attendance, minus any other financial aid you’ve already received, is the Direct PLUS Loan (often called Parent PLUS for parents of undergrads, and Grad PLUS for graduate/professional students).

Quick Scoop

  • Direct PLUS Loans are federal student loans.
  • Your school sets the total cost of attendance (tuition, fees, housing, books, etc.).
  • The maximum PLUS amount = cost of attendance − other aid (grants, scholarships, subsidized/unsubsidized loans, etc.).
  • They require a basic credit check and start accruing interest as soon as they are disbursed.

So, if you see a multiple‑choice question like:

Which loan type allows you to borrow up to the cost of attendance, minus other aid you have received?

The correct answer is: Direct PLUS Loan (often shown as “Direct PLUS” or “Parent/Grad PLUS”).

Information gathered from public forums or data available on the internet and portrayed here.