Federal Direct Student Loan Program - FDSLP

AAA

DEFINITION of 'Federal Direct Student Loan Program - FDSLP'

A program that provides low-interest loans to postsecondary students and their parents. The William D. Ford Federal Direct Student Loan Program is issued and managed by the U.S. Department of Education and is the only government-backed loan program in the United States. Students who wish to apply for funding from the FDSLP must first submit the Free Application for Federal Student Aid (FAFSA).

INVESTOPEDIA EXPLAINS 'Federal Direct Student Loan Program - FDSLP'

Several types of loans are available under the FDSLP, including subsidized direct loans, unsubsidized direct loans, Direct Plus Loans and Direct Consolidation loans. All loans that are granted through the FDSLP have maximum amounts set each year, with each successive year allowing for an increase in the total maximum yearly amount, with set aggregate amounts.

RELATED TERMS
  1. Free Application For Federal Student ...

    The form that must be completed in order to qualify for any type ...
  2. Higher Education Act of 1965 – ...

    A law designed to strengthen the educational resources of the ...
  3. Stafford Loan

    Federal, fixed-rate student loans available to college and university ...
  4. Education Loan

    Money borrowed to finance education or school related expenses. ...
  5. PLUS Loan

    A low-cost student loan offered to parents of students currently ...
  6. 529 Plan

    A plan that allows for the prepayment of qualified higher education ...
RELATED FAQS
  1. Does interest on my student loan accumulate during forbearance?

    The interest on your account is calculated and capitalized, or added to the principal loan amount, during a forbearance. ... Read Full Answer >>
  2. What are the long-term effects of delinquent accounts?

    Delinquency occurs when borrowers fail to make payments on their loans. All loan borrowers should do their best to avoid ... Read Full Answer >>
  3. What are the differences between delinquency and default?

    Delinquency and default are loan terms that describe failure to make a required payment. A loan in delinquency occurs the ... Read Full Answer >>
  4. When capitalizing interest, will interest accrue while you are in a deferment?

    When capitalizing interest, interest accrues while a person is in a deferment of his loan. In the event of a deferment, the ... Read Full Answer >>
  5. Why is more interest paid over the life of a loan when it is capitalized?

    More interest is paid over the life of a loan when that interest is capitalized because the capitalized interest is added ... Read Full Answer >>
  6. What is the difference between compounding interest and simple interest?

    Interest is the cost of borrowing money, where the borrower pays a fee to the owner for using the owner's money. The interest ... Read Full Answer >>
Related Articles
  1. Credit & Loans

    Your Kid's College Loan: Who Should Foot The Bill?

    Discover the federal student loan options for both parents and students.
  2. Credit & Loans

    College Loans: Private Vs. Federal

    Not all student loans are the same. Know what you're getting into before signing on the dotted line.
  3. Budgeting

    Pay For College Without Selling A Kidney

    Save thousands of dollars on tuition with these tricks and little-known programs.
  4. Credit & Loans

    Student Loan Deferment: Live To Pay Another Day

    Extending your principal repayment date can increase your chances of fighting off default.
  5. Credit & Loans

    Student Financial Aid Changes: FAFSA 2009

    The Free Application for Federal Student Aid got an upgrade in 2009. All those applying should be aware of these improvements.
  6. Credit & Loans

    All About Student Loans

    Student loans bridge the gap between college savings, scholarships and the part-time work.
  7. Credit & Loans

    Study Abroad: Budget For Brazil

    Interested in study, food and adventure in one of the fastest growing economies in the world? Check out what Brazil costs.
  8. Credit & Loans

    Technology Can Help With Student Loans

    Paying student loans can be a difficult time for young professionals and even in older age. But many new marketplace lending services such as SoFI, CommonBond and Earnest have leveraged the surge ...
  9. Economics

    What Does a Creditor Do?

    A creditor is a person or entity that loans money or provides goods or services to another entity with the expectation of being paid back in the future.
  10. Savings

    Grandparent’s Guide To A 529 College Savings Plan

    As a grandparent, you probably take pleasure in showering your grandkids with extravagances, but saving for their college education is a long-lasting gift.

You May Also Like

Hot Definitions
  1. Inbound Cash Flow

    Any currency that a company or individual receives through conducting a transaction with another party. Inbound cash flow ...
  2. Social Security

    A United States federal program of social insurance and benefits developed in 1935. The Social Security program's benefits ...
  3. American Dream

    The belief that anyone, regardless of where they were born or what class they were born into, can attain their own version ...
  4. Multicurrency Note Facility

    A credit facility that finances short- to medium-term Euro notes. Multicurrency note facilities are denominated in many currencies. ...
  5. National Currency

    The currency or legal tender issued by a nation's central bank or monetary authority. The national currency of a nation is ...
  6. Treasury Yield

    The return on investment, expressed as a percentage, on the debt obligations of the U.S. government. Treasuries are considered ...
Trading Center
×

You are using adblocking software

Want access to all of Investopedia? Add us to your “whitelist”
so you'll never miss a feature!