Loans - What is a Loan?
Student loans, unlike grants and work-study, are borrowed money and must be repaid, with interest, just like car loans and mortgages. Loans are legal obligations, so before you take out a student loan, think about the amount you’ll have to repay over the years.
Due to the signing of the Health Care and Education Reconciliation Act of 2010, Stafford and PLUS Loans will be through the William D. Ford Direct Lending (DL) Program. Under the Direct Loan Program, Stafford and PLUS Loan funds come directly from the U.S. Department of Education.