When do I start repaying my loans?

Your first payment will be due when your grace period ends, which for Stafford loans is 6 months after you graduate, withdraw or drop below half-time enrollment.

IMPORTANT NOTE: It is your responsibility to know when and where to send your payments—do not wait to receive a payment notice or statement to make your payment. If you wait for your lender to contact you first, you may already have missed a payment.

If you do not know when and where to send your payment, visit the National Student Loan Data System (NSLDS), the central database for all federal loan information. You may also contact ECMC Solutions. We can help you identify your lender and find the information you need to start repaying your student loans.

What if I can’t afford to make my payments?

If you cannot afford the payment once it is due, contact ECMC Solutions. Federal student loans offer several affordable options to help you repay your loans. We can assist you to determine if you qualify for any of these options and obtain approval from your lender.

Contact us to discuss your situation while you still have options. We can help you find a solution that works for you.

Where can I get a complete summary of my loans?

If you know who holds all of your loans, you can contact each of those entities to receive a personal loan statement.

If you are unsure who holds each of your federal student loans, visit the National Student Loan Data System (NSLDS), which is the centralized database for federal student loan information. If you have private or state loans, you will need to locate your promissory note for those loans or call your school for more information.

What is the difference between subsidized and unsubsidized Stafford loans?

With subsidized Stafford loans, the federal government pays the interest on the loans while you are in school, during your grace period and during any authorized periods of deferment. In the case of unsubsidized Stafford loans, all the interest that accrues is your responsibility to pay. You have the choice of paying the interest every three months or allowing the interest to accumulate until you enter repayment.

What’s a deferment?

A deferment is a period of time during which your lender allows you to postpone your monthly payments. Deferments are only granted under specific circumstances, such as unemployment or returning to school. Use our Deferment eligibility checker to see whether you qualify for a deferment. You may also contact ECMC Solutions for help.

What’s a forbearance?

A forbearance is a period of time during which your lender agrees to temporarily postpone or reduce your loan payments. A forbearance is a good option if you are experiencing short-term financial difficulties and do not qualify for a deferment. Even though your payments are postponed, you will still be responsible for paying the interest that accrues on your loans, even on subsidized loans, during the forbearance.

Can I pay all or part of my loans before payments are due (prepay)?

Yes, you may prepay your federal student loans in part or in full at any time without any prepayment penalty, regardless of your repayment plan. If you can afford it, prepaying your loans is a good idea because it helps reduce the total cost of paying back the loans.

I’ve heard that being late on my student loan payments will affect my credit. How?

You are building a credit score by repaying your federal student loans. Your credit score is based on your financial history—loans you have, amounts you owe, on-time payments, etc. If you are consistently late on your student loan payments, this will be reflected on your credit report. Missing payments will lower your overall credit score, making it difficult for you to get other loans, such as a car loan or a mortgage. Build a habit of paying your student loans on time every month.

What is a credit score, and why does it matter to me?

A credit score is a number generally between 330 and 830 that summarizes how responsible a person is with debt. Banks, creditors and others use the credit score to predict that person’s future success repaying borrowed money. The lower the score, the worse your credit history is and the harder it is to obtain loans for things like a car or a home. In some cases, a low score can also hinder your eligibility for employment.

To arrive at a single score, a credit bureau assigns numerical values to specific pieces of a person’s financial information, such as bankruptcy filings, outstanding debt, late payments, the number of inquiries on your credit history, the number of open accounts, etc. These values are put through a series of mathematical calculations to produce a single number—the credit score.

What‘s the difference between delinquency and default?

Delinquency occurs when your loan payment is late (also known as past due). If you are delinquent on your loans, there are several options available to you to help you get back on track. Just contact ECMC Solutions to learn more.

Default can occur when your loans are delinquent for 270 consecutive days or more. Defaulting on a loan has long-lasting and severe consequences, leaving you with few options to repair the damage. Default stays on your credit report for up to seven years and can prevent you from obtaining loans to purchase a car or buy a house.

Can I lower my monthly payment to an amount that works better for my budget?

As long as you have not defaulted on your student loans, you still have options to change your payment plan. We can work with you to develop a repayment strategy and help you find a payment plan that will fit your individual financial needs.

If you are behind on your payments, contact ECMC Solutions—we are here to help you.

If you have a private or state student loan, refer to the promissory note you signed to obtain the loan in order to find contact information for your lender.