Entrance and Exit Interviews

To make certain that student loan borrowers are given the most up-to-date information on student loans, all borrowers are required to attend entrance and exit counseling sessions.

Entrance Interviews

First-time borrowers of federal loans are required to complete entrance counseling before the Office of Student Accounts/Bursar may credit their loan proceeds. The purpose of the entrance counseling is to ensure that you understand your rights and responsibilities as a new loan borrower and that you understand the regulations governing each loan program, such as interest rates, grace, deferment/forbearance options, prepayment, consolidation, and other general repayment obligations. You are also informed of the consequences of not repaying your student loans (default) and of various repayment strategies. Students can complete entrance counseling online at www.aessuccess.org.

Note for medical students: Medical students who need to borrow from any loan program are required to attend a loan entrance interview with the Financial Aid Office. Additional information about the appointment date and times will be sent under separate cover.

Exit Interviews

All student loan borrowers are required to complete exit counseling before graduating or withdrawing from Drexel University or ceasing to enroll at least half-time. The interview covers all subjects that were covered in the entrance counseling, with an emphasis on repayment strategies. A hold is placed on your transcripts if you do not complete exit counseling.

To complete the report at the end of these sessions you will need the following:

• Your Social Security number
• Your driver’s license number and state of issuance
• Name, address, and telephone number of your next of kin (nearest relative)
• Name, address, and telephone number for two references whom the holders of your loans could contact if they should lose contact with you
• Name, address, and telephone number of your expected employer (if known)
• You should know how much you owe on each loan, who the lender is, and date repayment begins. Your lender (or servicer) will give you this information, but if they don’t, you are still obligated to pay.

You will also need to know which types of federal student loans you have borrowed during all years of attendance at Drexel University.

Federal Perkins Loan Program – If you borrowed under the Federal Perkins Loan Program, please complete the Perkins Loan Exit Counseling at www.uasexit.com.

Federal Student Loan Program – If you borrowed under the Federal Stafford Loan Program (either a subsidized Stafford Loan or an unsubsidized Stafford Loan, or both) or the Graduate PLUS program, please complete the Federal Student Loan Exit Counseling on the American Education Services website.

Loan Repayment

A loan must be repaid. Therefore, when deciding whether to borrow, you should examine your need for assistance and your future ability to repay. Student loans are expected to be repaid from your income after graduation. Therefore loans should be viewed as an investment in the education that makes future income possible.

Unlike consumer loans, student loans have longer terms of repayment and in most cases payments are not required while you are in school; and in the case of subsidized loans, no interest accrues during the in-school period. Unsubsidized loans (such as the unsubsidized Federal Stafford Loan) will have interest accrue during the in-school period. You should note how often the interest is capitalized (added to principal). Please refer to your promissory note for deferment and cancellation provisions.

Graduated repayment plans are available to lessen payments in the early years after graduation, and repayment may be extended in most cases beyond 10 years so that monthly payment amounts may be reduced. In addition, federal loan consolidation is available for Stafford, Perkins, and PLUS loans.

It is important that you understand the seriousness of repaying your student loans. If you have any difficulties in making your loan payments, please contact the lender (or servicer) of your loans.

Loan Information

To obtain more information on your student loan(s), the following resources are available:

• National Student Loan Data System
• AES/PHEAA