summerbreeze

Is the William D. Ford Federal Direct Loan different from the subsidized Stafford? My child has been offered these from different schools--they seem to be the same -- federal, low-interest, limited amount, deferred interest-- but have different names on different school packages. Are they the same loan? If not, what is the difference?

Thanks!

summerbreeze

I found my own answer....from the MEFA website....

The William D. Ford Federal Direct Loan Program (also known as the Direct Loan Program) is a federal program where the school becomes the lending agency and manages the funds directly, with the federal government providing the loan funds. Not all schools currently participate in this program. Benefits of the program include a faster turn-around time and less bureaucracy than the old "bank loan" program. The terms for Direct Loans are the same as for the Stafford Loan program.