With the Direct Loan program, who will I make repayment to?

Expand / Collapse
 

With the Direct Loan program, who will I make repayment to?


Payments are made to the U.S. Department of Education for both Direct Student Loans and Direct Parent PLUS Loans.  Students do not have to start repayment of Direct Student Loans until six months after they graduate or they fall below half-time status. However, payments may be made at any time towards your loan. Your loan servicer will provide information about repayment and will notify you of the date loan repayment begins.  The repayment period for all Parent PLUS Loans begins on the date the loan is fully disbursed, and the first payment is due within 60 days of the final disbursement. Parent PLUS Loan borrowers whose loans were first disbursed on or after July 1, 2008, may choose to have repayment deferred while the student for whom the parent borrowed is enrolled at least half-time and for an additional six months after that student is no longer enrolled at least half-time. Interest that accrues during these periods will be capitalized if not paid by the parent during the deferment. Your loan servicer will provide information about repayment.


Rate this Article:

Add Your Comments


Name: *
Email Address:
Web Address:
   
  
 
 
   
Verification Code:
*
 

Details
Last Modified:4/18/2013 11:42:12 AM

Last Modified By: Hillary

Type: FAQ

Article not rated yet.

Article has been viewed 453 times.

Options