Why is Catholic University entering the Direct Loan Program?
A. Federal Direct Lending provides the most stable source of loan funding available because funds are provided by the U.S. Treasury. The instability of the debt markets and inability of private lenders to deliver a uniform system of fund delivery has strongly influenced our decision to find the most secure and reliable solution possible. While there are many private lenders still in the Federal Family Education Loan Program (FFELP), Catholic University is concerned about future developments that could negatively impact our students. By entering the Direct Loan Program at Catholic University, students will not have to shop around for a lender or worry that the lender they chose may not still be in the program in future years. The Direct Loan Program provides certainty that access to student loans will not be a problem in the future. Q. What are the primary differences between Direct Loans and the Federal Family Education Loan Program (FFELP)? A. The primary difference is the source of t
