What Types of Loans are Available from the US Department of Education

Under the Federal Family Education Loan Program (FFELP), the US Department of Education offers a number of loans to students including:

Federal Direct Stafford Loans

These loans are based on financial need and aim to help students who would not otherwise be able to afford school. On these loans, the federal government pays interest while the student remains in school.

Federal Direct Unsubsidized Stafford Loans

The eligibility standards for this type of loan are smaller, since students do not have to prove financial need. However, students are responsible for all interest on this type of loan.

Federal Direct PLUS Loans

This type of loan is intended for parents who have children who are dependents. Parents can borrow money so that their children can attend college or university.

Who Qualifies for Loans From the US Department of Education?

US Department of Education loans are intended for United States immigrants or residents who are or will be attending and an eligible university or college. In most cases, an eligible college or university means a traditional four-year college with a degree or certificate program that is recognized by the Department of Education. In general, US Department of Education loans are created for use within the United States.

How Can You Apply for Loans From the US Department of Education?

Applying for loans from the US Department of Education is simple. If you are about to attend or are currently attending a college or university, your student financial aid center will be able to provide you with the free application form. You can also get loan information and applications directly from the United States Department of Education (www.ed.gov/DirectLoan or 800-848-0979).

If you are a United States citizen or resident who is or will be attending school in the United States, US Department of Education loans can help you pay for your education. US Department of Education direct loans, in particular, are especially favored among students. This is because these loans are easy to apply for, easy to obtain, and easy to repay. With low interest rates, generous repayment terms, and a simple process for claiming money, these loans help the United States Department of Education help students get quality schooling.