[Code of Federal Regulations]
[Title 34, Volume 3]
[Revised as of July 1, 2001]
From the U.S. Government Printing Office via GPO Access
[CITE: 34CFR685.100]

[Page 824]
 
                           TITLE 34--EDUCATION
 
             CHAPTER VI--OFFICE OF POSTSECONDARY EDUCATION,
                         DEPARTMENT OF EDUCATION
 
PART 685--WILLIAM D. FORD FEDERAL DIRECT LOAN PROGRAM--Table of Contents
 
                      Subpart A--Purpose and Scope
 
Sec. 685.100  The William D. Ford Federal Direct Loan Program.


    (a) Under the William D. Ford Federal Direct Loan (Direct Loan) 
Program (formerly known as the Federal Direct Student Loan Program), the 
Secretary makes loans to enable a student or parent to pay the costs of 
the student's attendance at a postsecondary school. This part governs 
the Federal Direct Stafford/Ford Loan Program, the Federal Direct 
Unsubsidized Stafford/Ford Loan Program, the Federal Direct PLUS 
Program, and the Federal Direct Consolidation Loan Program. The 
Secretary makes loans under the following program components:
    (1) Federal Direct Stafford/Ford Loan Program (formerly known as the 
Federal Direct Stafford Loan Program), which provides loans to 
undergraduate, graduate, and professional students. The Secretary 
subsidizes the interest while the borrower is in an in-school, grace, or 
deferment period.
    (2) Federal Direct Unsubsidized Stafford/Ford Loan Program (formerly 
known as the Federal Direct Unsubsidized Stafford Loan Program), which 
provides loans to undergraduate, graduate and professional students. The 
borrower is responsible for the interest that accrues during any period.
    (3) Federal Direct PLUS Program, which provides loans to parents of 
dependent students. The borrower is responsible for the interest that 
accrues during any period.
    (4) Federal Direct Consolidation Loan Program, which provides loans 
to borrowers to consolidate certain Federal educational loans.
    (b) The Secretary makes a Direct Subsidized Loan, a Direct 
Unsubsidized Loan, or a Direct PLUS Loan only to a student or a parent 
of a student enrolled in a school that has been selected by the 
Secretary to participate in the Direct Loan Program.
    (c) The Secretary makes a Direct Consolidation Loan only to--
    (1) A borrower with a loan made under the Direct Loan Program; or
    (2) A borrower with a loan made under the Federal Family Education 
Loan Program who is not able to receive--
    (i) A Federal Consolidation Loan; or
    (ii) A Federal Consolidation Loan with income-sensitive repayment 
terms that are satisfactory to the borrower.

(Authority: 20 U.S.C. 1087a et seq.)