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
- I must complete an exit interview before I leave school.