| Direct loans are convenient, flexible and simple. A | | | | loan is a direct loan designed for parents without an |
| Direct loan is a loan by a lender to a customer without | | | | adverse financial history who wish to borrow money |
| the use of a third party. This type of loan enables the | | | | for their dependent student. In order for a student to |
| lender to have greater discretion in the distribution of | | | | be dependent he or she may not be 24 years or older, |
| loans. Typically the lender is the U.S. Department of | | | | a graduate or professional student, someone with legal |
| Education rather than a bank or financial institution. The | | | | dependents, an orphan or a ward of the court. Parents |
| federal government provides four types of direct loan | | | | of independent students are not eligible to apply for this |
| financing. | | | | type of loan.o The Federal Direct Consolidation loan is |
| These direct loans vary in criteria and repayment | | | | a consolidation of one or more federal loans combined |
| schedules:o The Federal Direct Subsidized Stafford | | | | into a direct loan. A single monthly payment is made to |
| Ford Loan is a direct loan, which means you do not | | | | the U.S. Department of Education. It is to the student's |
| pay the interest on the loan while you are school at | | | | advantage to consolidate, due to lower interest rates. |
| least part-time. This particular type of Direct loan is | | | | Direct loans give you the simplicity of having one |
| based on the student financial need in accord with | | | | contact for concerns with your financial assistance. |
| federal regulations.o The Federal Direct Unsubsidized | | | | You are able to have access to your Direct loan |
| Stafford/Ford Loan is a direct loan the government | | | | information on-line 24 hours a day, 7 days a week. |
| charges you interest while you are in school. The | | | | You are given the flexibility to choose your repayment |
| student does not need to be in extreme financial need | | | | options and are able to change your schedule as your |
| to receive this type of loan.o The Federal Direct PLUS | | | | needs change. |