CHAMPAIGN, Ill. (WAND) - Student loan repayments will resume soon, and officials have offered tips to students and borrowers on how to prepare.
Student loan interest will resume starting on September 1, 2023, and payments will be due starting in October.
“If borrowers are struggling to make the payments, they might not be aware that sometimes they can enroll in an income driven repayment plan that might reduce their payments and make their payments more affordable. said Director of Communications at Illinois Student Assistance Commission, Lynne Baker.
Information about different repayment plans can be found at studentaid.gov.
Baker recommends that people pay close attention to which loans they're applying for to help themselves in the future.
“If you are going to take out a loan, we generally tell students to really think about taking out a federal loan versus a private loan because most of the time federal direct student loans have much better interest rates for students” said Baker.
Keeping contact information updated can also help notify borrowers of any changes sooner, rather than later.
"Review your auto debit enrollment or sign up for the first time," said Baker. "It’s not always clear that your auto debit will start again so that’s a good thing to do because you don’t want to miss payments.”
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