Student Loan Management

The best debt managment strategy is to be debt-free.

However in order to pay for school, you may need to take out student loans. Planning for successful repayment should begin before you sign your first promissory note. Just as you are making a commitment to your career by investing time and money in higher education, you should make a commitment to your financial future by effectively managing your student loans from the start.

It's a good idea to save all of your student loan documentats and correspondence so you know exactly what you've agreed to, what's expected from you as a borrower, and how much you have borrowed. KCAI will send a Perkins Statement of Disclosure every semester advising you of the amount borrowed in the current semester and the cumulative total. Hold on to this! It's not a bill. It's advice.

  • Save documents
  • Keep copies of all correspondence
  • maintain up to date addresses and telephone numbers

Repayment Tips

Being informed about your student loan obligations is crucial as you enter repayment. Default occurs when you fail to repay the loan as agreed and/or meet the other terms of your promissory note. Refer to the Statement of Rights and Responsibilities.

  • Send your education loan payments when due each month, for the full monthly payment amount or more, regardless of whether you receive a bill.
  • Understand the repayment options provided by your lenders. With some options, you can minimize the total cost of the loan by making a high monthly payment , while other options may reduce your initial monthly payments and may make it easier for you to afford your loans early in your career
  • Understand deferment and forbearance; exercise your options when you need them
  • Understand the pros and cons of loan consolidation and its repayment options
  • Contact KCAI if you
    • Change your name or address
    • Have questions about your billing statement
    • Have problems making your scheduled payment on time
    • Want information on or applications for deferment or forbearance
  • Read and understand all correspondence you receive from KCAI