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End of FFEL Student Loans?

• Hi guys, So at the risk of sound ignorant, I don't at all understand financial aid or loans and the terms for that financial aid and loans. I'm most likely in need of a small loan in order to pay for college, however, upon inquiring of banks in my city, I find that the Federal Family Education Loan Program has ended. I don't know what this means, exactly. Am I no longer able to get student loans? If not student loans, am I able to get ANY kind of loan? This is what I have read thus far: "Following the passage of the Health Care and Education Reconciliation Act of 2010 on March 26, 2010 the program was eliminated, and no subsequent loans were permitted to be made under the program after June 30, 2010." and "Legislation recently signed by President Obama eliminates the Family Federal Loan Program (Stafford/Plus) effective July 1, 2010. This legislation prevents all private lenders from making new Stafford and PLUS loans with first disbursements on or after July 1, 2010." While this should be a pretty straight forward explanation, I don't quite get it. If anyone can explain this in simple terms, and break it down for a economics-illiterate person. Thank you so much for your time and help!

• Answer:

  You can still get student loans but the program has slightly changed. Now, all federal loans are direct student loans. This means that the federal government directly lends you the money. Previously, many student loans were guaranteed by the federal government but the actual lender was a private loan company. You can still fill out the FAFSA and get federal student loans and the borrowing limits remain the same.