Direct (Government) Education Loans
Direct (government) education loans fall under the jurisdiction of the William D.
Ford Federal Direct Loan Program as part of the U.S. Department of Education’s Direct
Loan Program. Federal Direct (government) education loans are low-interest loans
intended to help students and parents pay for a college education.
If you think you need to apply for a loan, Direct (government) education loans should
be your first source to fund your education. Alternative education loans are to
be used to provide additional funding for your education after federal loans are
sought. In order for you to understand the specifics of the loan you will need,
you should meet with a student financial services officer at the Brown Mackie College
location of your choice. This officer can develop a student financial aid
plan based on your specific set of circumstances.
The Direct (government) education loan program offers the following types of loans:
- Subsidized: for students with demonstrated financial need, as determined by federal
regulations. No interest is charged while a student is attending school at least
half-time and during deferment periods.
- Unsubsidized: not based on financial need; interest is charged during all periods,
even during the time a student is in school and during grace and deferment periods.
- PLUS: unsubsidized loans for the parents of dependent students. PLUS loans help
pay for education expenses up to the cost of attendance minus all other financial
assistance. Interest is charged during all periods.
- Consolidation: Eligible federal student loans can be combined into one direct consolidation
You borrow Direct (government) education loans from the Federal government, and
the direct loan servicing center becomes your single source for managing the repayment
of your loans. For general information, visit the direct loan program site.
This site will provide you with information about loan limits, regardless of whether
you are a dependent student applying for a loan with your parents or an independent
student applying for a loan without your parents’ help. Before you apply for a Direct
(government) education loan, you must schedule a meeting with a student financial
services officer who can develop a student financial aid plan based on your specific
set of circumstances.
Remember: Your first step in the student financial services process is to complete
the Free Application for Federal Student Aid (FAFSA) form. If you need more information
about completing the FAFSA form, visit our Student Financial Services Resource Page. Or, if you
have not yet completed your FAFSA form, this link will get you started.