The massive expenses behind higher education in America have been a hot button issue for many years. Every year, thousands of students graduate with thousands of dollars of student loan debt to their name.
It may seem like an unbearable vicious cycle to most, but Michigan State University’s Office of Financial Aid stresses that there are options available that will keep students from going into default. Reaching default haunts credit scores for years, affecting what purchases a person can make.
Graduates today are using plans that tie loan payments to income. These income-based programs are built to make loan repayment manageable and make life easier for those who struggle to find a job, although the Financial Aid staff does warn about interest collecting when you miss payments.
The repayment process begins with an exit interview for soon-to-be graduates in which Financial Aid service-providers brief the student on their responsibilities for paying back loans and lay out repayment options.
The major bit of advice that MSU’s Financial Aid staff gives students: Keep in touch with your loan provider, ask any questions that you may have, and know your resources and options.