The following is concise list of information relating to Federal Student loans.

  1. Many institutions, both public and private, provide low-interest loans to students and their parents or guardians.
  2. The Federal Government also provides several types of student loans based on the applicant’s level of financial need.
  3. The amount of money a student can receive in loans varies by the distributing institution and depends on whether the student is claimed by a parent or guardian as a dependent.
  4. Since the process of applying for a loan may take several months, it is a good idea to start applying for Federal student loans well in advance.
  5. The available Federal loan programs can accommodate prospective undergraduate, graduate, vocational, and disabled students.
  6. Federal loans can be distributed through the school that the student is attending, from the Federal Government directly, or from a third-party private lender or bank.
  7. Perkins loans are distributed through the school the student is attending. Loans coming from the Federal Government directly from the William D. Ford Federal Direct Loan Program are dispersed by the Department of Education.
  8. Third-party loans through a private lender or bank are from the Federal Family Education Loan (FFEL) program. For all federally funded loans, payments are made to the institution that originally dispersed the funds.
  9. Comparisons of the various types of loans are available on the Internet: http://www.studentaid.ed.gov/students/publications/student_guide/index.html.
  10. The College Board has information on available loans at: http://www.collegeboard.com/pay.