Borrowers Rights and Responsibilities

Student loan borrowers have rights to the following:

  • Written information on his/her loan obligations.
  • A grace period (six months for Stafford loan borrowers).
  • A disclosure statement received before he/she begins repayment. This will include information about his/her interest rate, fees, balance owed, amount of payments and the number of payments.
  • To be able to select a different type of repayment plan other than standard repayment if he/she qualifies.
  • Deferment of repayment for certain defined periods (if requested and if he/she qualifies).
  • Forbearance (if requested and if he/she qualifies).
  • Prepayment of his/her loan(s) in whole or in part any time without an early-repayment penalty.
  • Be able to change to a different repayment plan once monthly payments have begun by contacting the hold of his/her loan(s).
  • A copy of his/her master promissory note.
  • Documentation that his/her loan(s) is paid in full.

Student loan borrowers have the following responsibilities:

  • To complete entrance counseling before receiving his/her first loan disbursement at Baker College.
  • To complete exit counseling before leaving school or dropping below half-time enrollment.

 

Note: Baker College has a policy that states if the student loan borrower does not complete exit counseling, a hold will be placed on the student's official academic transcript and will not be released until the exit is completed.

  • To repay the loan(s) even if he/she does not complete his/her academic program, is dissatisfied with the education received or unable to find employment after graduation.
  • To notify the school and the lender or servicer of the following:
    • name changes
    • address changes
    • phone number changes
    • withdrawal from school or drop below half-time enrollment
    • transfer to another school
    • failure to enroll in school for the period of which the loan was intended
    • updates in expected graduation date
  • To make monthly payments on his/her loan(s) after leaving school (except during periods of deferment or forbearance).
  • To notify the lender or servicer of anything that may alter his/her eligibility for an existing deferment.

If you have any questions regarding the rights and responsibilities mentioned above, please contact Baker College Financial Aid Office, or e-mail a System Student Loan Representative at loans@baker.edu.

The Baker College System
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