Before You Borrow
Higher education represents an extremely important investment on the part of students and parents. However, to avoid being encumbered with a burdensome debt after college, we recommend that students and parents evaluate all other financial resources available to help meet the costs of higher education before borrowing. If it is determined that you must borrow to meet the costs of higher education, please consider carefully the need for each loan.
Students and parents should always explore all financial aid and scholarship options before borrowing. Funds available under the Federal Family Education Loan Program (FFELP) are not grants. Rather, they are loans that must be repaid.
Key Factors for your Consideration
- Subsidized Federal Stafford Loans, Unsubsidized Federal Stafford Loans and PLUS Loans are not grants. Rather, these programs provide loans to help students and parents meet the costs of higher education. These loans must be repaid. Upon graduation or after leaving school, you may question the quality or value of the education you received; you still must repay the full amount you borrowed with interest.
- Do not cash a student loan check if you have questions about loan repayment terms or your responsibility to pay this obligation back in full. Please contact your lender, college, or FISC with any questions you might have regarding your student loans.
- Student loans can be used for a variety of costs associated with higher education. These costs include tuition, room and board, books, as well as transportation and personal expenses incurred as a direct result of your education.
- Please inform your lender immediately of any change in your current address, enrollment status, name, or college. Many students inadvertently go into default because lenders are unable to locate the borrower.
- Please make sure you keep copies of all your loan papers and documents in a safe dry place. You will need these documents once you begin repaying your student loans.
|