Direct Student Loans
The Direct Loan program is a federal student aid program where the federal government
is the lender. Colleges and universities decide whether they want to participate
in the Direct Loan program. If your school participates in the Direct Loan program,
Stafford and PLUS loans
at that school are provided by the school itself with the US Department of Education
serving as the lender.
With the Direct Loan program, the Department of Education serves as the lender and
the PLUS and Stafford loans
are offered in the same amounts as they are in the FFEL program (where private lenders
actually lend the money to students rather than the government).
As they are with the FFEL program, Stafford and
PLUS Loans offered through the Direct Loan program
are based on the FAFSA application – students must complete this form to be eligible
If you attend a Direct Loan school, we encourage you to speak to your school’s financial
aid office about how to obtain a Stafford loan.