Federal Direct Loans

Benefits of Federal Direct Student Loans

Federal student loans are secured by the federal government, the interest rate is fixed for the life of each specific loan, and there is no prepayment penalty fee.

Repayment of your federal direct loan does not begin until you graduate, leave school, or change your enrollment status to less than half-time.

No credit check is required for federal student loans (except PLUS loans) and student loans can help you establish good credit.
There are several repayment plans, including an option to tie your monthly payment to your income. If you are having trouble repaying your loan, you may be able to temporarily postpone (defer) or lower your payments.