Your Rights as a Borrower

The borrower has the right to receive from the school or lender the following information:

• The full amount of the loan, the interest rate(s) and any other applicable fees.
• The effect borrowing will have on their eligibility for other types of financial aid.
• A complete list of any charges the student must pay (loan fees) and information on how those charges are collected.
• The yearly and total amounts the student can borrow.
• The amount of their total debt (principle and estimated interest), the interest rate and total interest charges on the loan(s).
• The date they must start repaying the loan.
• The maximum repayment periods and the minimum repayment amount.
• A loan repayment schedule that lets them know when their first payment is due, the number and frequency of payments, and the amount of each payment.
• A statement that the student can prepay the loan at any time without penalty.
• Options for deferment or forbearance which can reduce/postpone payments for certain defined periods, if they qualify and request it.
• The name, address, phone number and other contact information of the lender, servicer, or secondary market that holds their loan(s).
• Notification in writing if their loan is sold or transferred to another lender or servicer. They must direct all loan payments and correspondence to this new holder/servicer.
• An explanation of default and its consequences.
• Any fees the student should expect during the repayment period, such as late charges and collection or litigation costs if delinquent or in default.
• An explanation of available options for consolidating or refinancing the loan and reminder that the student can prepay their loan without penalty at any time.

Each loan borrower must:

• Provide complete and true information on all loan documents.
• Notify the appropriate representative (institution, agency, lender or servicer) if they change their:
  • Name
  • Address
  • Social Security Number
  • Enrollment Status (withdraw, graduate or enroll less than half-time)
• Receive and complete entrance counseling before receiving the first loan disbursement.
• Use the loan funds for educational expenses only.
• Continue to meet basic eligibility requirements, maintain satisfactory academic progress (SAP), and complete the FAFSA annually.
• Understand that by signing the Master Promissory Note (MPN), they are agreeing to repay the loan according to the terms of the note.
• Make payments on the loan, on time and in full, even if the borrower/student:
  • Does not receive a bill or repayment notice.
  • Does not graduate or complete the program of study.
  • Is dissatisfied with the education received.
  • Is not able to secure employment.
• Continue to make payments after applying for a deferment or forbearance, until notification that the request has been granted.
• Notify the appropriate representative (institution, agency, or lender) that manages their loan(s) when they graduate, withdraw from school, drop below half-time status or transfer to another institution.
• Receive and complete exit counseling before leaving school or when their enrollment falls below half time.
• Communicate with their loan holder/servicer if they are having difficulty making payments to discuss repayment options which may include deferment or forbearance.

Visit the Department of Education website for more detailed information about your rights and responsibilities, the terms of loan repayment (including loan repayment schedules), the necessity of loan repayment, and required loan exit counseling.

The University has partnered with ECMC Solutions to provide professional student loan counseling.

• This is a free service for all students and alumni in federal loan repayment or who are in need of deferment/forbearance assistance.
• If the student has questions, comments, or concerns about repaying their student loan, ECMC Solutions has expert student loan advisors that are ready and willing to provide assistance.
• We encourage student borrowers to utilize this service and explore their website at https://www.ecmcsolutions.org/ or call ECMC Solutions at 877-331-3262 for assistance.