Do’s and Dont’s of borrowing

If you plan to borrow money to help meet school expenses, you should pay attention to these suggested do's and don'ts.

Do's of Borrowing for School

• File FAFSA on time
• Explore all options of gift aid
• Project estimated costs of attendance
• Project estimated resources
• Borrow only what you need
• Know the school's requirements for satisfactory academic progress (review catalog)
• Get the facts about each loan
• Read the application promissory note carefully
• Keep copies of all forms and/or correspondence in records folder until loans are paid in full
• Notify your lender of any changes in your name, enrollment status or if you transfer to another school
• Attend entrance and exit interviews
• Repay promptly to maintain or enhance a good credit record
• Understand loan limits and interest rates
• Learn your rights and responsibilities as a borrower
• Accept your responsibilities from processing through repayment
• Learn about available deferments
• Manage your money wisely

Don't of Borrowing for School

• Borrow more than you can afford
• Borrow from more than one lender
• Forget to notify your lender/service and school if you change your name and address or if you change your enrollment status
• Delay on completing and returning required forms, deferments, etc.
• Neglect your repayment responsibilities
• Be afraid to ask your school, lender/service and guaranty agency if you have a problem or need help

REMEMBER DON'T DEFAULT!!