Direct Loans Customer FAQ

Direct Loans are federal student loans provided by the U.S. Department of Education to help cover the cost of college or career school. Subsidized Direct Loans are need-based, with the government covering the interest while the borrower is in school, during the grace period, and certain deferment periods. Unsubsidized Direct Loans are not need-based and accrue interest throughout the loan term. With Direct Loans, students can borrow directly from the government, with interest rate and repayment terms generally more favorable compared to private loans. The repayment plans can be customized based on the borrower's income, providing flexibility after graduation. Direct Loans serve as an accessible and affordable option for students pursuing higher education....

To be eligible for Direct Loans, you must meet certain criteria. Firstly, you must be a U.S. citizen or an eligible non-citizen. Secondly,...

The main difference between subsidized and unsubsidized Direct Loans is the interest that accrues on the loan while the borrower is...

The interest rates for Direct Loans vary depending on the loan type and disbursement date. For Direct Subsidized Loans and Direct Unsubsidized...

You are required to start repaying your Direct Loan after you graduate, leave school, or drop below half-time enrollment. If you have...

Yes, borrowers of Direct Loans have the option to defer or forbear their loan payments. Deferment allows borrowers to temporarily postpone...

Loan consolidation is a process offered by Direct Loans that allows borrowers to combine multiple federal student loans into a single...

There are several options for loan forgiveness available for Direct Loans. One such option is Public Service Loan Forgiveness (PSLF),...

If you are unable to make your Direct Loan payments on time, it is essential to take prompt action to avoid any negative consequences....