Rights and Responsibilities

Once you have signed on the dotted line for your student loan, you officially become a student loan borrower. As a borrower you have rights and responsibilities that you should know. These guidelines were thoroughly explained on the Master Promissory Note you signed for your first loan.

I understand I have a RIGHT 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.
• Request from my loan holder a deferment for a defined period of time if I qualify.
• 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.
• Prepay all or any part of the loan amount I owe without penalty.
• 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.
• Repay my loan over a maximum of 10 years, unless my loans are consolidated or I qualify for the extended repayment option. However, extending the repayment period may increase total debt.
• A copy of my Master Promissory Note.

I understand my RESPONSIBILITIES:

• I must repay my loan and all accrued and/or capitalized interest (glossary) 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.
• I must notify my school and loan holder(s) or servicer(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 enrollment status,
  • transfer to another school, or
  • change my graduation date.
• I must complete an exit interview before I leave school.