Financial Literacy & Responsible Borrowing

If students withdraw, drop below half-time, or graduate (even if planning to transfer to another school) regulations require they complete exit counseling regarding theirFederal Stafford Direct loans.Exit counseling reviews the terms and conditions that apply to students’ federal loans, how to understand and repay loans, how to avoid default, and how to prioritize finances. Post University will inform all recipients of federal student aid to complete exit counseling through their provided personal email address. They will receive this reminder within 30 days of the determined date that they stopped attending the Post University or dropped below half-time enrollment.Students will need the following information in order to complete exit counseling:

1. Their FSA ID.
2. Outstanding balance information on their federal student loans can be found at https://studentaid.gov/fsa-id/sign-in/landing.
3. Students need the names, addresses, email addresses and phone numbers for their next of kin, two references who live in the United States, and the name of their employer of future employer (if known).

During the exit counseling, an explanation of the students’ rights and responsibilities as a direct loan borrower are explained. Students will be provided with contact information for their assigned loan servicers. Additional financial information and terms for the following will also be provided:

• Avoiding delinquency and default.
• Loan repayment by plan and amount.
• Deferment and forbearance (postponement options).
• Loan consolidation.
• Payment of interest and capitalization.
• Money management.
• Conditions for canceling or forgiveness on part or all your loan.

The Department of Education provides a full Exit Loan Counseling Guide for Direct Loan Borrowers. This guide gives a general overview of the information students need for successful repayment of their federal student loans. This guide gives a general overview of the information students need for successful repayment of their federal student loans. The students’ Master Promissory Notes or Borrower’s Rights and Responsibilities Statement provide additional information.Students will need to sign into studentaid.gov using their U.S. Department of Education Federal Student Aid ID to complete the Exit Counseling Session.

When is my first payment due?

• Once you graduate, drop below half-time enrollment, or leave school, your federal student loan goes into repayment. However, if you have a Direct Subsidized, Direct Unsubsidized, or Federal Family Education Loan, you have a six-month grace period before you are required to start making regular payments. 

What is my monthly payment amount going to be?

• You’ll be able to view your account on your loan servicer’s website to see the payment amount once your first bill has been sent. Make sure you know which loan servicer is yours.
• You can get an estimate of your payment amount and compare repayment plans by using Loan Simulator.

What if I can’t afford my payment?

• Use the studentaid.gov loan simulator to explore alternative repayment plans, which could lower your monthly payments.
• Reach out to your loan servicer to see if you qualify for additional repayment options.

What if I have a loan in default?

• Contact the organization that notified you of the default as soon as possible.
• If you make repayment arrangements soon enough after your loan has gone into default, you may be able to resolve the default quickly.
• If you missed payments and are in default, compare your options and log into https://myeddebt.ed.gov/ for more information and assistance to help resolve your defaulted loan(s).

Changing Payment Plans

Different payment plans may be necessary to accommodate borrowers’ financial situations. Under the Federal Family Education Loan Program, repayment plans may change once a year. Under the Federal Direct Student Loan Program, repayment plans may change at any time if the maximum repayment periods under the new plans are longer than the time the loans have already been in repayment.

Deferment or Forbearance

Federal loan servicers also offer deferment or forbearance options for situations when students may be having trouble making payments. If borrowers meet certain requirements, deferments allow the borrower to temporarily suspend payments on loans. If borrowers do not meet the eligibility requirements for deferments but are temporarily unable to make loan payments, then (in limited circumstances) forbearance allows the borrower to temporarily stop making payments on their loans, temporarily make smaller payment, or extend the time for making payments. Students are responsible for applying for these options with their loan servicers and must continue making payments until receiving notification that the request has been granted. For more details visit the loan servicers’ websites or the Federal Student Aid website at https://studentaid.gov.

Loan Consolidation

The ED allows borrowers to consolidate (combine) multiple federal student loans into one loan. Consolidation extends the repayment period, resulting in a lower monthly payment which may make repaying the loans easier. The interest rate for consolidation is fixed for the life of the loan, and there is flexibility to repay the loan in full or in part, without penalty, at any time during the life of the loan. Borrowers can find out more information about consolidation by visiting: https://studentaid.gov/manage-loans/consolidation.