Have they changed the types of loans being given affective 7/2010??

Jul 20, 2009
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I have heard that the types of loans (sub, and unsub) along with grad plus loans are being changed with the banks being taken out of the equation. Can anybody clarify this? Since all loans are being backed by the Government affective 7/2010 what type of loans will there be now??
 

WACAT

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Feb 17, 2005
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Exact same loans, just through the Dept of Ed and not through banks. I think Grad Plus loans will have a lower interest rate though.
 

TMP-SMX

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Grad plus is marginally credit based. (Requirement of no defaults/bankruptcies etc.) Plus loans will be 7.9% rather than the 8.5% they were.

Many schools started Direct loans this past year rather than FFEL through lenders. Starting July 1st, all schools will move to Direct Loans.