Federal Loan Programs offer Federal Student Loans for Students and
Parents. These loans are from the U.S. Department of Education. They are funded and/or guaranteed or insured by the federal government.
The programs are: William D. Ford Federal Direct Loan (Direct Loan) Program and
Federal Family Education Loans (FFEL) Program.
The most important student loan is the one with lowest interest rate.
Student Loans Quick Link List:
Student Loans Parent Loans Federal Student Loans Private Student Loans Loans For Graduates Federal Graduate Loans Private Graduates Loans Loans By Profession Federal Parent Loans Private Parent Loans Other Parent Loans Federal Programs Peer to Peer Loans Personal Loans Student Loans Repayment Apply For Student Loans Student Loans In Default Interest Rates
Students Parents Undergraduate Students Graduate Students Professionals MBA Students Business Students Law Students Medical Students Nursing Students Dental Students Military and Veterans International Students Disadvantaged Students
Obama Student Loans Student Loan Taxes Federal vs. Private Loans Private Loan Benefits Loans Repayment Protection Interest Rates Explained How To Choose a Lender Highly Rated Student Loans International Student Loans Best Student Loan For Me How To Choose a Student Loan Student Loan Lenders Bad Credit History Loans Student Loans Eligibility Loan Process Federal Direct Loans Program Federal FFEL Loans Program Compare Loan Types Before You Get a Loan After You Get a Loan Interest Rates Compare Student Loans Build Perfect Credit History
Federal Stafford Loan(Sub) Federal Parent PLUS Loan Federal Stafford Loan(UnSub) Federal Perkins Loan Private Student Loan
Federal Stafford Loan (Sub)
Financial Aid WIZARD Student Loan Calculator
Loans Discussion Loans Facts Loans FAQ Loans Glossary Loan News and Articles Loans Questions Loans Tips |
Federal Loan Programs Overview
Federal Family Education Loans (FFEL) Program has guaranteed loans made by private lenders.
Direct Federal Loans are made directly by the federal government to college students.
Both of the programs offer Loans For Students and Loans For Parents.
In those programs students can find Student Loans for Undergraduate Students and
the Direct Loans Program offers lending solution for the Graduate students.
Federal Direct Loan Program also known as William D. Ford Federal Direct Loan Program is a government
sponsored program for students and parents to help pay for the cost of education after high school. The actual lender is the U.S. Department of Education rather than a bank or other financial
institution.
Federal Family Education Loan (FFEL) Program is a government sponsored program for students and parents to help
pay for the cost of education after high school. Student Loans made through this program are often called FFEL Loans.
A Federal Perkins Loans is a student loan offered to eligible students enrolled in accredited American institutions of
higher education to help finance their education. Offered to students who demonstrate financial need.
Federal Program Loan Rates
Both federal programs offer lowest Interest Rates on Student Loans.
Most of the time the interest rate does not go over 6%. Interest rates on Private Student Loans will be much higher.
Federal Program Differences
There are almost no differences between these two programs, but the only difference worth noting has to do with repayment. Loans from the
Federal Direct Loan Program are easier to defer or cancel all together as they are made
by the federal government.
Federal Program Loan Repayment
Loans from Federal Direct Loan Program are repaid directly to the federal government and
loans from Federal Family Education Loan (FFEL) Program are repaid to the bank or private lender that
made the loans.
Most of the loans under these programs offer something called: grace period. During this grace period you do not have to pay any principal. With some of the loans you do not
even have to pay the interest.
|
||||||||||||||||||||||||||||||||||||||||||||||||||||
 |
Student Loan Tips |
Q: Take Out Student Loans As The Last Resort
When you try to get all types of Financial Aid and you do not receive anything or if the amount of money is not enough try borrowing money by taking out loans.
Q: Use Your Grandparents
Everyone talks about parents, but very rarely do we hear Grandparents. They can take out a Loans and help you store some of the assets.
Q: Apply for federal loans first.
Federal loans offer many advantages over other types of loans and they should be the once to apply for first.
View All Tips
 |
Important Questions |
Q: What is the best student loan?
Difficult question. There is no such thing as the ultimate best loan, because every student has a different requirement. Sometimes the best student loan could be the one you get, if no other
financial aid is provided. Federal student loans carry low interest rates and can be forgiven. Some of them do not need to be repaid while you're in school.
Q: How can I get a FFEL or Direct Loan?
For either type of loan, you must fill out a FAFSA. After your FAFSA is processed, your school will review the results and will inform you about your loan eligibility.
You also will have to sign a promissory note, a binding legal document that lists the conditions under which you're borrowing and the terms under which you agree to repay your loan.
Q: Is credit history required for any of these programs?
Not really. Most of the federal loans for students do not require a credit history check. Credit history check is performed if you are a parent looking for a federal PLUS loan.
View All Questions
U.S. Department of Education offers student loan programs. Both Federal Direct Loan Program and
Federal Family Education Loan (FFEL) Program provide best Student Loans
on the market with the lowest Interest Rates.
Back Home
