The Department of Education administers two major federal student loan programs, the William D. Ford Federal Direct Loan Program (FDLP) and the Federal Family Education Loan Program (FFELP). The federal government's role differs significantly between these two programs. Under FDLP, often referred to as the direct loan program, students or their parents borrow money directly from the federal government through the schools the students attend, which include vocational, undergraduate, or graduate schools. The first FDLP loans were made in the fourth quarter of fiscal year 1994. Under FFELP, also known as the guaranteed student loan program, money is borrowed from private lenders, such as banks, and the federal government guarantees repayment if the borrowers default. FFELP is the older of the two programs, having started in fiscal year 1966. As of September 30, 1999, Education reported that the outstanding gross balance of FDLP was $46.5 billion and the total outstanding loan guarantees for FFELP were approximately $127 billion. As of September 30, 1999, Education estimated that it would incur total subsidy costs the estimated cost of extending credit over the life of the loans of $1.6 billion for FDLP and $12.2 billion for FFELP.