Borrower Responsibilities

When a student borrows money under FFELP, he/she becomes a partner with the federal government. The government makes money available to pay for education, and the student agrees to pay back the loan amount with interest and on time. The student’s responsibilities include:

• Completing all application forms truthfully andaccurately.
• Reading, understanding and keeping copies of all forms.
• Providing additional documentation or information as requested.
• Notifying the lender or school of anything that affects ability to repay the loan.
• Informing the lender of a change in name, address or social security number.
• Informing the lender of graduation, dropping out of school, transferring to a different school, or dropping a half-time enrollment status as defined by the school.
• Knowing who holds the loan. The lender may hire a servicer to handle the account or sell the loan to another financial institution.