In your Federal Direct Loan Entrance Counseling for your student loans, it was explained that you are required to complete an Exit Counseling whenever you withdraw, graduate, or drop below half-time attendance. The Federal Direct Loan Exit Counseling is required even if you plan to return in the next school session and is also required if you are changing to another campus location, even if it is within the same school branch.
You may complete the exit process online or in person at your school. We would prefer you to complete your federal student loan Exit Counseling online at www.studentloans.gov. This link will take you to the Federal Direct Loan site for completion of your Exit Counseling. Sign in to the website and proceed to the Exit Counseling section and follow the instructions for each page and complete the exit process. Once you complete the Exit Counseling, we will automatically be notified and no further action will be necessary on your part.
We have also provided all documentation for you here: Please click on the document(s) that you need, Exit Counseling Guide, Exit Interview Packet and the Know Before You Go Worksheet to keep track of all your loans, complete and return back to your school’s Student Financial Service office. Again, the quickest and easiest method is to complete the process online.
We want to remind you that your federal student loans will enter repayment six months after your last day of at least half time attendance. If you have already utilized your grace period, you may not be eligible for the full six months grace period before repayment begins.
Please contact your Federal Loan Servicer for details. If you do not know who your Federal Loan Servicer is or for a comprehensive look at your federal student loans, you can visit www.nslds.ed.gov. We suggest that you check NSLDS again approximately 60 days after you leave school to ensure all loan amounts are accurately reflected. For helpful information about repayment options and loan management, you can visit www.studentaid.ed.gov.
The Art Institutes has partnered with two Loan Default Management companies: I3 Group and Loan Science to assist you in the maintenance of your student loans. Remember, you have options in repaying your loans, including the option to change your payment plan should your situation change! If you happen to be contacted at some time by one of the three companies, rest assured that they are working with us to help ensure you understand all of your Federal Direct Loan options. We urge you take the call and allow them to help you understand your options.
Once you are out of school you likely will have additional questions about your federal student loan repayment options. Your situation may change so it is important to know that you will always have some flexibility. Check out the helpful list below:
Top 10 Tips for Successful Loan Repayment:
- Know your Federal Student Loan servicer. This is the company that handles the billing and other services on your federal student loan. Go to NSLDS.ed.gov to see who is servicing each of your student loans, what your repayment amount is, and what your monthly payment will be. If you have multiple servicers you may want to consider consolidating your loans with one servicer.
- Keep your contact information current. Always keep your loan servicer updated with any change of address, phone number or email address.
- Create an online account with your Federal Loan Servicer. With online access you can easily view your loans, change your repayment plan, make payments, and update your contact information.
- Save money using automatic debit. This is the easiest way to ensure your loans are getting paid on time; you may also qualify for an interest rate reduction by doing so. Contact your servicer on best ways to do so.
- Select the right repayment plan. You have a wide range of repayment options for your federal student loans, including Income-Based Repayment. If your current monthly payment amount does not fit into your budget there are additional options to lower and/or temporarily suspend payments. Check with your Federal Loan Servicer.
- Seek help at the first sign of trouble. Financial problems have a tendency to worsen if they’re not addressed promptly. They also don’t go away by ignoring them. Contact your loan servicer at the first sign that you are unable to make a payment and to explore all the options that are available to federal student loan borrowers or you can call your schools loan repayment assistant team, they can help you explore your options, download the Did You Know PDF for more information.
- Use deferment and forbearance only as a last resort. Postponing payments can cost you extra if unpaid accrued interest is added to the loan balance. Use deferment and forbearance sparingly and only when an alternative payment program does not meet your current needs.
- Start right with on-time payments. Making on-time payments on your student loans can help you build and maintain a good credit rating. Develop good repayment habits right from the start.
- Pay a little extra each month. Paying just a few extra dollars of principal each month can go a long way toward helping you pay off your loans faster.
- Do not ignore calls from your loan servicer. They are trying to assist you. Do not default on your loan! Avoiding the issue does not make your loan go away but rather may reduce some of the options available to you.