Rights and responsibilities

You have the right to Direct Loans which are fixed to a maximum of $20,500 for postgraduates and for undergraduates the maximum subsidised loans are $5,500 (year 1); $6,500 (year 2); $7,500 (year 3).

You may have the right to a Graduate PLUS Loan. That is your only entitlement; everything after that is borrowed from a commercial lender at commercial rates and subject to them being willing to lend to you, they don’t have to lend you anything.

You may borrow up to the Cost of Attendance in total (including Direct loans), subject to your credit rating.

Please check the US Department of Education website for up-to-date information.

• Direct Subsidised Loans – while in school, you are not responsible for accrued interest. Available only for undergraduates.
• Direct Unsubsidised Loans – you are responsible for all the accrued interest from the day of disbursement.
• Direct PLUS Loans – credit-based loan available for graduate students or parents of dependent undergraduates

You have the right to Direct Loans which are fixed to a maximum of $20,500 for postgraduates and for undergraduates the maximum subsidised loans are $5,500 (year 1); $6,500 (year 2); $7,500 (year 3). You may have the right to a Graduate PLUS Loan. That is your only entitlement; everything after that is borrowed from a commercial lender at commercial rates and subject to them being willing to lend to you, they don’t have to lend you anything. You may borrow up to the Cost of Attendance in total (including Direct loans), subject to your credit rating. Please check the US Department of Education website for up-to-date information.

Your rights include, but are not limited to:

• Repay your loan early without penalty.
• Written information of obligations.
• Explanation of default consequences.
• Be notified if your loan is sold.

To defer all loans while still at university, you must complete a deferment form and have it certified by the University. You can obtain deferment form from your lender (see also, Post-withdrawal disbursements). 

Your obligation to repay becomes legally binding when you sign the Master Promissory Note (MPN). You are required to use your loan for educational purposes, and specifically for tuition fees as priority. You must repay your loan in line with the schedule agreed with your lender (see also Terms and conditions of receiving financial aid). 

Your most important responsibility is to make your loan repayments on time. If for any reason you can’t, you must talk to your loan provider and seek their advice. 

Visit the National Student Loan Data System (NSLDS) to review your federal loan details and to obtain your lenders’ contact information. Your servicer can help you answer questions in connection with your loans. 

Please note that loans are not discharged by bankruptcy, and interest may still be charged. There may also be penalties for defaulting.

You will still be required to re-pay your loan if:

• You don't complete your educational programme
• You cannot find employment
• You were not satisfied with the education or other services you received from the University
• You were notified that your loan was sold to another party by your lender

You must make your payments on time unless you have made special arrangements with the lender or servicer. Many lenders offer repayment incentives to reward you for paying on time. 

Please note, the above list is not exhaustive, and students should refer to their loan documents for a full set of requirements.

You have a responsibility to notify your lender and the University if your circumstances change. This includes, but is not limited to:

• Change of current address / phone numbers / name
• Change of Social Security Number
• Withdrawal / Deferral from University
• Become a part time student
• Change in anticipated graduation date
• Change of references
• Change of permanent address

If you think there might be an issue with your federal student loan, call your loan servicer to discuss the issue. 

As a last resort, if you are unable to resolve the issue by working with your loan servicer, you may contact the Federal Student Aid (FSA) Office of the Ombudsman for assistance. The FSA Ombudsman works with federal student loan borrowers to resolve disputes or issues from an impartial, independent viewpoint. 

You can reach FSA’s Ombudsman at:

FSA Ombudsman Group
P.O. Box 1843
Monticello, KY 42633

Phone: 1-877-557-2575
Email: fsaombudsmanoffice@ed.gov