What are some other differences I may notice with the Direct Loan (DL) Program?
• A guaranteed source of funding for student loans; • The loan processing should be more efficient and disbursements faster since the loan funds will come directly from the U.S. Department of Education; • There is a 0.5% fee rebate applied to Direct Loans for students and a 1.5% fee rebate for PLUS Loans for parents at disbursement. You can maintain the rebate reduction by making your first 12 payments on time. Failure to make any of your first 12 twelve payments on time will result in your loan debt increasing by the amount of the rebate you initially received; • A single point of service during repayment; • A lower interest rate on PLUS Loans; • Should you make payments late under Direct Loans, the late fees charged are less than the late fees charged in the FFEL Program; • Income contingent and income-based repayment plans when you enter repayment: this means you will have the option of ensuring that your loan repayment amount will always be affordable based on what your income will
Related Questions
- What is the difference between the Federal Direct Loan Program (DL) and the Federal Family Education Loan Program (FFELP)?
- What is the difference between the Direct Loan (DL) Program and the Federal Family Education Loan Program (FFELP)?
- What are the differences between the Direct Loan Program and the Federal Family Education Loan Program (FFELP)?
