Direct Loans

Applying for Direct Loans
Direct Loans are low-interest loans for students and parents to help pay for the cost of a student’s education after high school. The lender is the U.S. Department of Education (the Department) rather than a bank.

Direct Loans are:

• Simple – You borrow directly from the federal government.
• Flexible – You can choose from several repayment plans that are designed to meet the needs of almost any borrower, and you can switch repayment plans if your needs change.

What kinds of Direct Loans are available?

• Direct Subsidized and Unsubsidized Loans – Your eligibility for Direct Subsidized and Unsubsidized Loans is based on the information reported on the Free Application for Federal Student Aid (FAFSA). No interest is charged on subsidized loans while you are in school at least half-time, during your grace period, and during deferment periods. Interest is charged on unsubsidized loans during all periods. For more information, please click on the link below:
  http://www2.ed.gov/offices/OSFAP/DirectLoan/pubs/studentbasics.pdf
• Direct PLUS Loans – Direct PLUS Loans are low-interest loans available to parents of dependent students and to graduate and professional degree students. Interest is charged during all periods. For more information, please click on the link below:
  http://www2.ed.gov/offices/OSFAP/DirectLoan/pubs/parentbasics.pdf

What are the eligibility requirements?
You must be enrolled at least half-time at a school that participates in the Direct Loan Program, and you must meet general eligibility requirements for the Federal Student Aid programs. You can find more information about these requirements on the Direct Loan website at www.direct.ed.gov, or by contacting your school’s financial aid office.

Apply for Direct Loan Online:
You must complete a Master Promissory Note (MPN). The MPN is a legally binding agreement to repay your loan to the Department. In most cases, one MPN can be used for loans that you receive over several years of study. Please go to the Direct Loan Home Page for Students by clicking on the link below. After signing in with your PIN number, you will be able to complete the application. This is the same PIN number that you used for your FAFSA application.
https://studentloans.gov/myDirectLoan/index.action