Start Early & Be Ready - Don't delay being proactive if you anticipate encountering any troubles as repayment begins, as there are consequences to not being prepared. 

Review your Personal Budget - Review your personal budget to ensure that you will be able to make your necessary monthly payments. You can find resources to help you create, manage, and maintain your budget on studentaid.gov.

Keep Documentation - Keep good documentation of your financial aid and loan servicer records and communications, such as forms, research, who you spoke to, and detailed notes of what you discussed. 

Stay Alert to Avoid Scams

• Your student loan servicer will provide you with free assistance; you should never pay an outside entity to help with your student loans.
• If you don’t know who your servicer is, you can find out by logging on to studentaid.gov and visiting the “My Loan Servicers” section of your dashboard.
• While you may reach your loan servicer via phone, your servicer will always initiate communications with you via email. Unless you initiate the contact, you should never share personal information over the phone.

Federal loans at Missouri S&T are offered through the Direct Loan Program. All required Entrance Counseling and Master Promissory Notes for Direct, Parent PLUS and Graduate PLUS Loans have to be completed through Direct Loans. Funds will not be sent to S&T unless all required paperwork is signed.

• Exit Counseling PDF
• Complete Exit Counseling
• Studentaid.gov

Standard Repayment - Standard repayment is the most common payment schedule option. Borrowers repay the loan(s) in equal installments a 10-year repayment period. The minimum monthly payment is determined by the amount of the loan and the length of the repayment period. Generally, you will usually pay less over time than under other plans.

Graduated Repayment - Borrowers making graduated payments begin repaying their loans at a lower payment amount. The amount increases every two years until the balance of the loan is repaid over the length of the repayment period. The amount of interest paid over the life of the loan is higher with this option than with standard repayment. (Generally not a qualifying repayment plan for Public Service Loan Forgiveness (PSLF)).

Extended Repayment - Borrowers who have Direct loans totaling more than $30,000 are eligible for extended repayment. Extended repayment can be a standard or graduated schedule that is set up for a repayment term of up to 25 years instead of the normal 10 years. This can result in a much lower payment amount but will also increase the total amount of interest paid over the life of the loan. (Not a qualifying repayment plan for Public Service Loan Forgiveness (PSLF)).

Saving on a Valuable Education (SAVE) Plan (formerly the REPAYE Plan - currently not available) - Direct Loan borrowers will have a monthly payment equivalent to 10% of their discretionary income.  Payments are recalculated each year and are based on your updated income and family size. Any outstanding balance on your loan will be forgiven if you haven't repaid your loan in full after 20 years (if all loans were borrowed as an undergraduate) or 25 years (if any of the loans were taken out for graduate or professional study).

Pay As You Earn Repayment Plan (PAYE) - For new borrowers on or after Oct. 1, 2007, receiving a disbursement of a Direct Loan on or after Oct. 1, 2011, monthly payments will be 10% of your discretionary income, but never more than you would have paid under the standard repayment plan. Payments are recalculated each year and are based on updated income and family size. This is a good option if you have a high debt relative to your income.

Income-Based (IBR) - Payments under the income-based repayment plan are based on the borrower's income and the total amount of debt. Monthly payments are adjusted each year as the borrower's income changes. Income-based repayment is set up for a repayment term of up to 25 years. At the end of 25 years, any remaining balance on the loan will be discharged. Income-based repayment caps monthly payments at 15% of your monthly discretionary income.

Income-Contingent (ICR) - As a Direct Loan borrower, your monthly payment will be the lesser of 20% of your discretionary income or the amount you would have paid on a repayment plan with a fixed payment over 12 years, adjusted according to your income. Payments are recalculated each year and are based on your updated income, family size, and the total amount of your Direct Loans.  If married, your spouse's income or loan debt will be considered if you file a joint tax return or you choose to repay your Direct Loans jointly with your spouse.  Any outstanding balance will be forgiven if you haven't repaid your loan in full after 25 years.

Income-Sensitive - With an income-sensitive repayment schedule, the monthly payment amount is adjusted annually to reflect changes in the borrower's income, which is based on total monthly income and student loan debt. This option may be used for a maximum of five years, and then the account will be converted to standard or graduated repayment.

Deferment

Deferments allow you to temporarily postpone the payment of your loan. Deferments are not automatic; you must apply and be approved by your lender. The most common reasons for deferment include the following:

• Return to school for at least half-time attendance
• Loss of job or inability to find a job
• Economic hardship
• On active duty during war, national emergency or military operation

During periods of deferment on subsidized Stafford Loans, the principal payments are postponed and interest is paid by the federal government. However, you are responsible for interest that accrues on any unsubsidized Stafford Loan. Other deferment options may be available, so contact your loan holder for details and to obtain forms.

Forbearance

If you do not qualify for a deferment, you may be eligible to request forbearance from your lender. Forbearance is the temporary postponement or reduction in your monthly payment. Often the amount of time it takes to repay your loan is extended. Interest continues to accrue during the period, which increases the loan balance. There are several different types of forbearance available depending on your situation. Forbearance must be approved by your lender.

Forbearance can be applied to both past delinquency and future payments, and is applied in up to twelve-month increments. Multiple periods can be used and maximums are specific to your lender. Forbearance can be applied verbally with your lender, or submitted in writing depending on the delinquency of your loan.

Consolidating your federal education loans can simplify your payments, but it also can result in the loss of some benefits.

• Loan consolidation involves applying for a new loan to pay off several existing loans. Students who have borrowed federal loans (Direct Subsidized, Direct Unsubsidized, Direct Parent PLUS, Direct Graduate PLUS, or Federal Perkins) can consolidate these loans through a Federal Consolidation Loan.
• A Federal Consolidation Loan has a fixed interest rate (based on a weighted average of the underlying loan interest rates) and is eligible to be placed on several of the current repayment plans.
• Private student loans cannot be consolidated with federal loans. Some private loan companies will allow you to consolidate multiple loans with them, but eligibility and availability are at the discretion of the lender. Contact your lender to see what options are available.

Learn more about Loan Consolidation.