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Avoiding Pitfalls: What Students Should Know

University Business, January 2013

To avoid student loan pitfalls and misconceptions, NASFAA recommends administrators ensure students know:

  • The difference between federal and private student loans
  • All the terms and conditions of their loans
  • The consequences of having a cosigner
  • How to find the entity that holds and services their loans
  • Who to contact with questions or issues
  • Repayment options
  • What to do if they can’t make payments
  • The consequences of missing payments
  • The consequences of default
  • How to get a loan out of default
  • How bankruptcy impacts a loan

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