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 education loans are low-interest loans intended to help students and parents pay for a college education.
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 aid officer at the Argosy University campus 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, during the grace period, 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 loan.
*An additional unsubsidized loan is available to full-time students pursuing a doctoral degree in Clinical Psychology (PsyD) at the following Argosy University campuses: Atlanta, Chicago, Hawai’I, Phoenix, San Francisco Bay Area, Schaumburg, Tampa, Twin Cities, and Washington, D.C.
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 aid officer who can develop a student financial aid plan based on your specific set of circumstances.
Remember: Your first step in the financial aid 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 Financial Aid Resources Page. Or, if you have not yet completed your FAFSA form, this link will get you started.