William D Ford Direct Student Loan Program - The Down and Dirty Truth on the Student Aid Hot Topic

The William D. Ford Federal Direct Student Loanundergraduates of $2,625 for entering freshman,
Program, also referred to as Direct Loan Program, is$3,500 for sophomores, and $5,500 for juniors and
a federal program offered by the US Department ofseniors. So these loans will not take care of all
Education that provides loans to student without theexpenses but they will still help considerably.
help of an intermediary institution.And as far as rates go the direct student loans have
This means that the loan comes directly from thea fixed interest rate that is published set every July
Federal Government, which is why it is called a direct1st. It is usually a low rate, but because it changes
loan program.each year you will have to check to see what the
This federally backed program has helped more thancurrent rate is. And it is also important to note that
5 million students pay for college since it wasthere is a loan fee that can be up to 4% of each
founded in 1994. It gives students and schools andirect loan.
alternative to traditional guaranteed student loans andBut the real exciting part of the loan is its repayment
it adds some healthy competition into the studentflexibility. Most people do not land in the dream job
loan marketplace.right out of college so it is good to know that you
What You Get With The William D Ford Directhave some payment options and this program fits
Student Loan Programthe bill.
These loan programs are some of the most soughtIf you are unable to pay off the loan amount in time
after loans because of their flexibility and low interestand you want to defer the payment, then there are
rates.number of provision for you to do so.
You are limited to maximum loan for dependent