Paying back your financial aid loan for students of CMU Off-Campus Programs

Paying back your loan

Prior to leaving the University (either by graduation or withdrawal) students are required to participate in exit loan counseling to receive important information about repayment, consolidation, deferment and other matters, and to have the opportunity to ask questions about specific situations.

Students may attend one of the group sessions on the main campus or satisfy the counseling requirement online. The Web address is www.dlservicer.ed.gov. Students must have a PIN number to access account information and can request a PIN number through this Web site.

For Federal Direct Subsidized Loans, repayment of principal and interest begins six months (grace period) after the student leaves college or drops below half-time status.

If the student has a Federal Direct Unsubsidized Loan, interest accumulates on the loan while he/she is in school and during the grace period. The student can either pay this interest as it accumulates or wait until he/she begins repaying the loan principal (the amount of money the student borrowed).

If the student chooses to delay interest repayment, the interest that accumulates will be “capitalized” (i.e., will be added to the loan principal when he/she begins repayment). This means the total amount of the loan will increase.

Repayment of principal and interest begins six months after the student leaves college or drops below half-time status.

Examples of Typical Beginning Payments for Direct Loan Repayment Plans

Total Debt	Standard		Graduated		Extended		Income Contingent (Single)
	Per Month	Total	Per Month	Total	Per Month	Total	Per Month	Total
$2,600	$50	$3,228	$25	$4,227	$50	$3,228	$24	$4,589
4,000	50	5,827	28	6,924	50	5,827	37	7,060
7,500	92	11,039	53	12,982	82	11,839	69	13,237
10,000	123	14,718	70	19,085	97	17,463	93	17,650
15,000	184	22,078	105	28,628	146	26,194	139	26,474