Five reasons to stay awake during your loan exit interview
Issue date: 4/12/07 Section: News
- Page 1 of 2 next >
If you're a senior who's borrowed by federal student loans, this month you'll probably be hearing from your Financial Aid Office about something called an Exit Interview.
As a federal student loan borrower, you're required to attend the Exit Interview so that you can learn about your repayment rights and responsibilities. American Student Assistance®, a nonprofit that helps students manage higher education debt, offers a friendly reminder that, in addition to Exit Interview time, April is National Financial Literacy Month and a great time to start thinking about your finances post-graduation. Even though you've got a million other things going on right now, like final exams, graduation and job hunting, don't blow off - or sleep through - this important session. Here are five things to pay special attention to during your Exit:?
1. Total balance and monthly payments. At your Exit you'll be given a summary of the total amount you owe (remember to breathe!) and a schedule of estimated payments. Now you can see just how much your student loans will cost you each month and what adjustments you may have to make in your budget.
2. The "Grace Period" for repayment. Student loan repayment for May graduates typically begins after six-months. November may seem like a long way off, but time flies. Don't get caught off-guard when the first student loan bill arrives in the mail.
3. Who you'll be making payment to. The company that collects payment on your student loan (typically called a servicer) will probably send you your first bill or coupon book near the end of your grace period. But if they don't, it's still your responsibility to make payment on time, so hold on to their contact information. If you don't yet know where you're going to live after graduation, make sure that you notify your servicer once you do find permanent housing so they can update their records. Making sure all your creditors have your correct address is the first step to establishing good credit.?
As a federal student loan borrower, you're required to attend the Exit Interview so that you can learn about your repayment rights and responsibilities. American Student Assistance®, a nonprofit that helps students manage higher education debt, offers a friendly reminder that, in addition to Exit Interview time, April is National Financial Literacy Month and a great time to start thinking about your finances post-graduation. Even though you've got a million other things going on right now, like final exams, graduation and job hunting, don't blow off - or sleep through - this important session. Here are five things to pay special attention to during your Exit:?
1. Total balance and monthly payments. At your Exit you'll be given a summary of the total amount you owe (remember to breathe!) and a schedule of estimated payments. Now you can see just how much your student loans will cost you each month and what adjustments you may have to make in your budget.
2. The "Grace Period" for repayment. Student loan repayment for May graduates typically begins after six-months. November may seem like a long way off, but time flies. Don't get caught off-guard when the first student loan bill arrives in the mail.
3. Who you'll be making payment to. The company that collects payment on your student loan (typically called a servicer) will probably send you your first bill or coupon book near the end of your grace period. But if they don't, it's still your responsibility to make payment on time, so hold on to their contact information. If you don't yet know where you're going to live after graduation, make sure that you notify your servicer once you do find permanent housing so they can update their records. Making sure all your creditors have your correct address is the first step to establishing good credit.?
Be the first to comment on this story