School-channel loans offer borrowers lower interest rates but generally take longer to process. School-channel loans are "certified" by the school, which means the school signs off on the borrowing amount, and the funds are disbursed directly to the school. The "certification" means only that the school confirms the loan funds will be used for educational expenses only, and agrees to hold them and disburse them as needed. Certification does not mean that the school approves of, recommends, or has even examined the terms (conditions) of the loan.