• Contacting Your Lenders
• Estimating Your Payments
• Repayment Options
• Deferment Options
• Forbearance Options
• Consolidation
• College Cost Reduction and Access Act
• Equal Justice Works-Resources for more information about the College Cost Reduction And Access Act
  

Here is a list of the most common loan programs that students may have utilized during their attendance at NUSL.

The Student Loan Repayment Website has calculators to assist you in determining your estimated monthly payments on your Stafford and Access Private Loans.

If you experience difficulties at any time during your repayment, you should contact your lender immediately to see if a deferment, forbearance, or consolidation program is available. Often these options can assist borrowers with their situation and help students without risking any damage to their credit history.

Standard Repayment: The repayment term for Federal Direct Stafford/Ford Loans is set automatically at 10 years. Borrowers make equal monthly payments for the entire period.

Extended Repayment: The repayment term may be extended up to 30 years, depending on the borrower's outstanding principal balance. Borrowers make equal monthly payments for the entire period.

Graduated Repayment: The repayment term may be extended up to 30 years, depending on the borrower's outstanding principal balance. The monthly payment amount increases incrementally every two years.

Income Contingent Repayment: This option is sensitive to changes in the borrower's income. The monthly payment amount is calculated as a percentage of the borrower's Adjusted Gross Income. The percentage is determined by the borrower's outstanding principal balance. The maximum repayment period cannot exceed 25 years.

A deferment is a period during which payments of principal are postponed. No interest accrues on either Subsidized Stafford or Perkins loans. Interest is charged on Unsubsidized Stafford loans and may be paid or allowed to accrue and capitalize.Borrowers must meet specific eligibility criteria and request the deferment from their lender(s).

During a period of forbearance, borrowers may either suspend payments or reduce their scheduled monthly payment amount on a temporary basis. The lender grants forbearance for a period of up to one year for borrowers who are willing but unable to make their monthly payments. The forbearance is renewable upon the borrower's request and the lender's approval. Interest continues to accrue on the subsidized and unsubsidized loans. The accrued interest may be paid or will be capitalized after the forbearance ends.

Consolidation allows a student with multiple federal loans (either held by multiple lenders or by one lender) to create a new loan and to make one monthly payment for all their federal loans. Consolidation is not the same as receiving a single bill for multiple loans with the same lender. Most lenders will send a borrower one bill or coupon booklet for all the loans that the lender holds for that borrower. Usually, borrowers may submit one payment to the same lender for multiple loans without consolidating.

In addition to eliminating multiple borrowers (if that case exists), the main benefit to consolidating is that the new loan will have a fixed weighted-average interest rate. The process of consolidation will result in the calculation of a new interest rate that is the fixed, weighted average of the interest rates for all the loans being consolidated.

As of July 1, 2006, borrowers can no longer consolidate while in school and must wait until graduation or leave from their program of study.

Please be aware that if you consolidate any Perkins loans with Stafford Loans, you will may lose certain benefits. As always, it is important that you read all information carefully, and that you compare what benefits exist between the original loans versus the consolidation loan.

You can not consolidate private loans with federal loans. Some private companies may allow you to consolidate private loans and may be able to offer one billing for all loans which they service to you, but that is not the same as Federal Loan Consolidation.