To earn this credential, you will need to know the key characteristics of each of the three programs that make up the Federal Direct Student Loan (Direct Loan) Program, the qualifying criteria for each type of loan, and the factors affecting loan eligibility. You should know about the loan application process, the loan origination process, and mandatory loan counseling requirements. Additionally, you will need to be familiar with the major repayment features of Direct and FFEL loans. This will help you demonstrate the ability to assist current and future borrowers of Direct Loans, and ensure your school’s policies and procedures related to the awarding and origination of loans do not put your borrowers or your school’s participation in the Title IV programs at risk.
The range of topics in this test include:
Tests may include questions pertaining to a variety of program structures, such as credit- or clock-hour, term or nonterm, standard or nonstandard term, undergraduate or graduate/professional programs, and programs of various length (shorter than one year, two-year, four-year, certificate, etc.).
All tests will include a combination of multiple-choice and scenario-based questions. Some questions may involve viewing or downloading worksheets, charts, and tables. Please ensure you have a calculator available while taking a credential test.
Review the following examples, which are similar in structure and scope to the questions that will appear on the test for this topic. Check your answers by selecting the question's link.
2. Which of these students would be subject to proration of the Direct Loan annual loan limit?
5. Entrance counseling is required for graduate PLUS Loan borrowers who have not previously borrowed a
Prepare for this test by reviewing related content in resources such as: