Loan Exit Counseling Facts & Tips

AGENDA• What types of loans do I have?

• Where can I find my loans and who is my loan servicer?

• What are my Federal Direct Loan repayment options?

• How do I complete Exit Counseling for my Loans?

Common Terms

Grace Period

A six-month period after you graduate, leaveschool, or drop below half-time enrollment during which you are not required to make payments on subsidized and unsubsidized loans. The repayment period begins at the end of the grace period.

Deferment• A period in which repayment of the principal

balance is temporarily postponed if you meet certain requirements.

Forbearance• Allows you to postpone or reduce your monthly

payment amount for a limited time

• You are responsible for paying the interest that accrues during the forbearance on all loan types, including subsidized loans.

Default

Failure to repay a loan according to the terms agreed to in the promissory note. You will be in default if you have not made a payment in more than 270 days. You may experience serious legal consequences if you default.  

Consolidation

• May help make repayment more manageable by combining several federal loans into one monthly payment at one fixed interest rate.

www.studentloans.gov

Cancellation/Forgiveness

Check out www.ibrinfo.org for loan forgiveness options like:• Teacher Loan Forgiveness Program• Public Service Loan Forgiveness• Others

Your loan servicer should also be able to provide information.

Loan Types

1. Federal Direct Loans: Subsidized, Unsubsidized, Parent PLUS, and Graduate PLUS

2. Perkins Loans

3. Institutional Loans

4. Private Loans

Where Can I Locate My Federal Loans?

• All federal loans (subsidized, unsubsidized, PLUS and Perkins) can be located at NSLDS: National Student Loan Data System.– Tells you who is servicing your loans– Tells you when repayment begins– Tells you your interest rate– Tells you what payment plan you are on

WWW.NSLDS.ED.GOV

Where Can I Locate My Institutional Loans?

• Institutional Loans through Valparaiso University can be located with University Accounting Services (third party Valpo uses to service your loans)

–https://www.uaservice.com/–Phone: 800-999-6227

Where Can I Locate My Private Loans?

• You will need to know who you borrowed private loans from and contact them

regarding repayment options.• Your private loans are included on the

cumulative loan report found in your exit packet.

What Are My Repayment Options for Federal Direct Loans?

• Standard (10 years)• Graduated (10 years)• Graduated/Extended • Extended (up to 25 years)• Income Contingent (up to 25 years)• Income Based Repayment (up to 25 years)*• Pay as You Earn (up to 20 years)

www.StudentLoans.gov

Borrower Case Study for Non-Income-Driven Repayment Plans

Amount borrowed: $35,449

Standard Graduated Extended Fixed

Extended Graduated

Initial Payment

$371 $209 $201 $139

Final Payment

$371 $627 $201 $336

Time in Repayment

10 years 10 years 25 years 25 years

Total Paid $44,498 $46,805 $60,325 $65,938

Borrower Case Study for Income-Driven Repayment Plans

Single, family of oneAGI: $35,000Amount borrowed: $35,449

Pay as Earn IBR ICR

Initial Payment $146 $219 $265

Final Payment $371 $371 $329

Time in Repayment

18 years and 3 months

13 years 13.5 years

Total Paid $57,042 $49,009 $48,602

Forgiven Amount

$0 $0 $0

COMPLETE EXIT COUNSELING!

Federal Direct Loans• On-line tutorial that takes between 20-30 minutes• Is required when you withdraw, graduate, or drop

below half-time attendance (even if you plan to transfer to another school)

• Helps you understand your rights and responsibilities as a student loan borrower

• Provides useful tips and information to help you manage your loans

• Complete on-line at www.StudentLoans.gov

Exit Counseling for Other Loans

• Perkins Loan: https://www.uasexit.com/

• Institutional Loans: https://www.uasexit.com/

• Private Loans: Done through your lender

Questions?

Ways to contact Financial Aid:

finaid@valpo.edu

219-464-5015

www.valpo.edu/financialaid