Federal Direct Loans

Federal Direct Loans (FDL) are federal funds that a student borrows from the Department of Education and must be repaid. The FAFSA determines a student's financial need, and therefore, what type of loan(s) a student is eligible for.

Federal Direct Loans

  • Federal Direct Loans are low-interest loans for students and parents to help pay for the cost of a student's education after high school.
  • The lender is the U.S. Department of Education (the Department), but... the entity you deal with, your loan servicer, can be a private business.
  • Visit www.studentaid.gov for more information about types of Federal Direct Loans.
  • Student loans are a serious commitment, you are required to pay them back even if you drop out, do not complete your education, or are unsatisfied with the education you receive.
  • You are not required to borrow the maximum amounts.
  • For Parent loans, at Cuesta College we require a student to borrow the maximum amount they are eligible for first, and if a parent loan is approved it will be applied second. To apply please visit www.studentaid.gov

Federal Direct Loan Eligibility Criteria

A student must meet the following criteria to be eligible for Federal Direct Loans:

  • Complete a FAFSA
  • Be enrolled in a minimum of 6 units per semester in a program leading to a degree, certificate, and/or transfer
  • Maintain Satisfactory Academic Progress (SAP)
  • Not be delinquent or in default on any previously borrowed Federal Student Loans
  • Not be in overpayment on any previously received Pell Grant
  • Not exceeding annual or aggregate loan limits from prior loan usage

For more information on how to apply for Federal Loans or how much you can borrow, please visit our Federal Student Loans page.

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