Frequently Asked Questions: Repaying Your Loan

1. When do I have to begin making payments on my loan?
2. I'm enrolled in school, but received a notice from my lender stating I'm delinquent on my loan payment. What should I do?
3. Can I change my student loan repayment plan?
4. How can I reduce my number of loan payments?
5. My monthly payment is too high. What are my options?
6. Who do I call if I move, change my address, telephone number or enrollment status?
7. What if I forgot how much I borrowed and from which lender?
8. I am temporarily having difficulty making my payments. What are my options?
9. What is delinquency and what does it mean?
10. Why would I hear from EdFund?
11. I am unemployed and can’t make my payments. What can I do?
12. I am in the military and about to be deployed. What are my options?
13. Can I get my loans forgiven or canceled?
14. How do I resolve a dispute about my student loan?

1. When do I have to begin making payments on my loan?

If you borrowed a Stafford or Perkins loan, you’re entitled to a grace period. This means that regular monthly payments on a Stafford loan start six months after you graduate, leave school or drop below half-time enrollment. A Perkins loan gives you a grace period of nine months. Learn more about grace periods.

2.  I'm enrolled in school, but received a notice from my lender stating I'm delinquent on my loan payment. What should I do?

If you're enrolled in an accredited school at least half time, you're eligible for a deferment. You will want to call your school and verify your enrollment status. You may need to complete an in-school deferment form (L-50) and have it certified by your school.

3.  Can I change my student loan repayment plan?

Yes. You have several repayment options and may change your plan once a year by contacting your lender. Borrowers are typically placed in the Standard Repayment plan unless they request otherwise.

4.  How can I reduce my number of loan payments?

Ask your lender about loan combination or “serialization.” If all your loans are with one lender, they may be combined to simplify repayment. Not only will you receive a single statement each month, but your payment is likely to be lower than if you were paying each loan separately. If you have loans with multiple lenders ask your lender to purchase the loans you have with other lenders so that you can take advantage of loan serialization.

5.  My monthly payment is too high. What are my options?

Use EdWise^®, EdFund's Online Financial Planning Guide, or a Loan Repayment Chart to find a repayment plan that fits your financial situation. Meanwhile, try not to miss any payments; a poor payment record can damage your credit rating. If you think you’re in trouble, don’t wait until you miss a payment to contact your lender, or EdFund’s Default Prevention Services at 800.298.9490.

6.  Who do I call if I move and/or change my address, telephone number or enrollment status?

Notify all of your lenders in writing within 10 days. It's critical for your lender to be able to contact you with important loan information. If you don't keep your lender informed, you may encounter significant problems down the line.

7.  What if I forgot how much I borrowed and from which lender?

You can find out about your federal student loans by calling the Federal Student Aid Information Center at 800.4.FED.AID (1.800.433.3243) or checking National Student Loan Data System to review your federal financial-aid history. You will need your PIN number to access the secured Web site and view your loan history.

8.  I am temporarily having difficulty making my payments. What are my options?

Your first option is to change your current repayment plan in order to temporarily reduce your payment amount. For assistance with these options please call your lender or EdFund’s Default Prevention Services at 800.298.9490.

9.  What is delinquency and what does it mean?

If you fall behind on your regular payment you are considered to be delinquent by your lender. During delinquency your account balance will continue to grow as interest and late fees accrue. Your account will remain in delinquency until you pay all past due payments as well as interest and late fees, or you make some other arrangement with your lender. If you fall 60 days or more past due on your payments, EdFund will contact you to help you evaluate options for resolving your past due account.

10. Why would I hear from EdFund?

EdFund provides additional services when the lender notifies us that you’ve missed payments on your student loans. To ensure you have a successful repayment experience, EdFund will share a variety of repayment options that are available to you. These repayment options may make it easier for you to manage your monthly loan payment.

11. I am unemployed and can’t make my payments. What can I do?

Your first option is to apply for an unemployment deferment, a temporary postponement of your loan repayment. If you don’t qualify for a deferment, you may be eligible for a forbearance, a temporary postponement or reduction in your monthly payments. For assistance with a forbearance or to discuss other options you may have, call your lender or EdFund’s Default Prevention Services at 800.298.9490.

12. I am in the military and about to be deployed. What are my options?

Your first option is to apply for a military deferment, a temporary postponement of your loan repayment. If you don’t qualify for a deferment, you may be eligible for a forbearance, a temporary postponement or reduction in your monthly payments. For assistance with a deferment or to discuss other options you may have, call your lender or EdFund’s Default Prevention Services at 800.298.9490.

13. Can my loans be forgiven or canceled?

If you meet certain criteria, your student loan may be forgiven or canceled.

14. How do I resolve a dispute with my school about my student loan?

Talk to your financial aid office and ask them how to file a formal dispute. If you can’t resolve the problem through your school’s dispute process, check and see if your school has an ombudsman who is trained to resolve disputes from an impartial viewpoint. If they don’t, EdFund's ombudsman can help.