Search:
|
Exit Interviews
  • What is principal and interest?
     Principal is the amount you borrowed. Interest is a fee charged to you for use of the loan money, calculated as a percentage of the principal of the loan and paid over a specified time.
  • What’s the difference between subsidized and unsubsidized loans?
     With subsidized (need-based) loans, the federal government pays the interest that accrues when you are enrolled at half-time level or higher in qualified courses, during your grace period, or during authorized deferment periods.

    With unsubsidized (non need-based) loans you, the borrower, are responsible for payment of interest while attending school, during your grace period, and during authorized deferment periods.

    Capitalization occurs if you choose not to pay the interest that is accruing on an unsubsidized loan during such periods. When capitalizing, the unpaid interest is added to the loan principal, increasing your total outstanding balance.
  • What is a grace period?
     A grace period is a stated amount of time when a borrower is not expected to make payments. A grace period begins when a student falls below half-time status, leaves school, or graduates. The grace period for a Stafford Loan is six months. A Perkins Loan has a nine-month grace period.
  • What happens if I don’t fill out my Perkins exit papers?
     If you do not fill out your exit papers, an all services hold will take effect, which will prevent you from receiving your diploma, transcripts, or other UCLA services. Exit papers should be provided to you between two to four weeks before you leave UCLA. Complete and return them within ten business days in order to have your hold released. If you do not receive your exit papers, please contact the Loan Services Office.
  • Why don’t I have any Stafford exit papers?
     Your lender or billing servicer will send you a description of your Stafford repayment options and a description of your loans thirty to forty-five days before the end of your grace period. UCLA provides exit papers for Perkins Loans.
  • Why do I have to fill out another personal data form (PDF)?
     Federal regulations require you to update your personal data during your exit process. In addition, UCLA must have your current contact and reference information to properly process your Perkins exit papers. You must thoroughly complete your PDF or the hold on your records will remain.
  • Am I required to complete the exit process if I am going to attend UCLA graduate school or UCLA Extension?
     You must complete the exit process even if you are formally admitted to any of UCLA’s graduate schools or you are attending UCLA Extension.
  • Are Perkins and Stafford Loan repayment statements together in one bill?
     No, you will receive a separate bill for each of these loan programs. The Perkins Loan is campus-based and administered at UCLA by the Loan Collections Office. Affilated Computer Services, Inc. (ACS) on behalf of UCLA will bill you for your Perkins Loan(s). Stafford Loans are lender-based and administered by the lender, such as Sallie Mae. Your lender will bill you for your Stafford Loans.
  • What if my grace period expires before I go on to graduate school?
     When your grace period expires, payment is due. In order to suspend your payments, the school where you obtained your Perkins Loan(s), as well as the lender that administers your Stafford Loan(s), must receive verification of your enrollment. Please see the publication Bruin Dollars and $ense™ How To File a Student Deferment for more details.
  • How do I file a student deferment?
     Procedures for filing a student deferment for campus-based loans differ from procedures for lender-based loans. For campus-based loans, acquire a deferment form from the school where you obtained the loan; for lender-based loans, please contact your lender for instructions. See the publication Bruin Dollars and $ense™ How To File a Student Deferment for more details on how to complete the process.
  • What do I do if I can’t make my loan payments?
     You may request a forbearance, an unemployment deferment, or an economic hardship deferment to obtain a temporary cessation of your payments. Contact the holder of your loan(s). The loan holder will determine your eligibility.
  • What is a Perkins Loan cancellation and how would I qualify?
     A loan cancellation is a gradual reduction of your Perkins Loan principal. You can be eligible for cancellation by working in specified jobs, such as teaching in a Title I school, law enforcement, and social work. Please contact Affilated Computer Services, Inc. (ACS), UCLA’s loan servicer, for further details and to initiate the loan cancellation process.
  • Is there a penalty for prepayment of my student loans?
     Your student loans may be prepaid or paid-in-full at any time without penalty. You may elect to shorten the duration of your loan payments by making extra payments or paying more than the minimum amount billed. By taking these actions, you will also lower the total loan finance charge.
  • What are lender incentives and how do I qualify?
     Lenders offer monetary rewards for doing business with them and for making on-time payments. The most common incentive offered is an interest rate reduction for payment of your loan(s) through automatic debit from your checking or savings account. Check lender websites for information on incentives offered and qualifying details.
  • What is loan consolidation?
     Consolidation combines (refinances) multiple educational loans into one new loan. The new loan will have a new interest rate, new terms and conditions. Consolidation may be beneficial to some borrowers, but it may pose drawbacks for others. For example, Perkins Loan borrowers lose valuable cancellation rights by consolidating.

    Consolidation is usually limited to larger loan amounts and may extend the loan repayment period. Extending the repayment period may increase your total finance charge, notwithstanding a lower interest rate and monthly payment. Be aware of all loan provisions before consolidating your educational loans.
  • What is a billing servicer?
     A billing servicer processes student loan bills, payments, deferments, and provides other administrative services.