Managing Your Debt
Prevent Default

Delinquency vs. Default | Tips to Avoid Default

Tips to Avoid Default

• Understand your rights and responsibilities in repaying your loan.
  
  
• Borrow only what you need. Remember, you have to repay all that you borrow.
  
  
• Retain all your loan documentation in one place.
  
  
• Any changes in your name, address, phone number, school, or enrollment status must be reported to your lender or servicer.
  
  
• If you are having difficulties repaying your loans, don’t delay – call or write your lender for help.
  
  
• Talk to your lender or guarantor if you have questions.
  
  
• Use your credit card only when absolutely necessary.
  
  
• Create a spending plan and stick to it – know the difference between wants and needs!
  
  
• Make student loan payments while in school.
  
  
• Make loan payments on time.
  
  
• If you are working with several lenders, consider consolidating your student loans.