Default Prevention
Borrowers Rights and Responsibilities

RIGHTS

I understand I have the right to…

RESPONSIBILITIES

I understand it is my responsibility to…

Notification, in writing, if my loan is sold or transferred, showing the name, address, and phone number of the new holder. I must direct all future correspondence to that new holder.

I must repay my loan and all accrued and/or capitalized interest and fees according to the established repayment schedule even if I drop out of school, cannot find a job, or am dissatisfied with the education I receive.
 

Request from my loan holder a deferment for a defined period of time if I qualify.

Repayment begins six months after you graduate, withdraw, transfer or drop below half-time.
 

Request forbearance from my loan holder if I do not qualify for a deferment and if I am unable to make payments on my loan.

I must notify my school and loan holder(s) if I

• change my address,
• change my name,
• change my phone number,
• change my Social Security number,
• withdraw from school
• drop below half time status,
• transfer to another school, or
• change my graduation date.

Prepay all or any part of the loan amount I owe without penalty.

If you have a problem repaying your student loan you must contact your lender for repayment options.
  

Make a minimum monthly payment $50, which can be more depending on the amount I borrow OR less with a graduated or income-sensitive repayment option.

If you do not repay your loan(s), your loan can go into default.
    

Repay my loan over a maximum of 10 years, unless my loans are consolidated or I qualify for the extended repayment option.
Extending the repayment period may increase total debt.

I must attend an exit interview before I leave school.

A copy of my promissory note.