In order to be eligible for a direct loan, students have to make sure first that the school in which they are interested is a participant in the program. Once this is assured, students should fill out a FAFSA (Free Application for Federal Student Aid), which will submit the student for a number of different direct loan programs. The Department of Education can further explain the options available, offering guidance to those looking for the best avenue to follow in obtaining funding.
Upon approval for a direct student loan through the DOE, students will be required to sign a Promissory Note, which acts as a legally binding contract regarding the disbursement and repayment terms of the loan. Before you sign the note, you need to be certain that you understand all the legal jargon included in the note.
