A historical perspective on the organization and administration of the National Direct Student Loan (NDSL) Program is reported in this study, particularly as it relates to persisting concerns about the default rate. Chapter 1 explains the origin, purpose, and provisions of the program. Chapter 2 provides an overview of the study, including both the data collection and analysis plans. In Chapter 3 focus is on institutional organization for NDSL (such as centralization and specific functions, billing and collection, data processing, and staff training), and Chapter 4 deals with NDSL recipient selection and packaging patterns. Institutional perceptions of problems (in selection and administration) in the award of NDSL funds are explored in Chapter 5 and the exit interview (with graduates and dropouts) is described in Chapter 6. NDSL billing and collection procedures (administrative options, teacher cancellation provisions, educational deferments, collection agencies, administrative actions against defaulters, and write-off preferences) are reviewed in Chapter 7. Chapter 8 deals with such billing and collection problems as administration of cancellation, deferment, and truth-in-lending provisions; preparing fiscal operations reports; and maintaining contact with borrowers. Relationships between administrative practices and annual institutional NDSL default rates are examined in Chapter 9. (BD)