Congratulations! You have completed your education and now you are ready to begin repaying your student loans. Or are you? Did you need to borrow throughout your college career? Do you now have both consumer loans and student loans to contend with? Is your current salary sufficient to pay your monthly bills?
The answers to these questions can be pretty scary. Managing debt after college can be challenging, but the reality is that it must be repaid. ISM would like to assist you in navigating the path of loan repayment. There are a couple of issues you will need to be aware of as well as some repayment options that may ease your monthly financial burden.
This section is intended to explain the many aspects of repaying your student loan(s). However, please feel free to call ISM with any questions you may have. We will answer promptly and you will talk to a real person qualified to assist you.
Understand Your Rights & Responsibilities
Borrower Rights
Before you start repaying, the entity holding your loan must provide a repayment schedule and detailed information about interest rates, additional fees, your balance and your options.
You have a right to defer payments for certain defined periods. And you can request forbearance, if you qualify.
You may be eligible to repay under a graduated, extended or income-based schedule.
For federal and most private loans, you may prepay in full or in part at any time without penalty.
You will be notified when your loan is paid in full.
Borrower Responsibilities
You must repay your loans (including interest, insurance, and origination fees if there are any) on time even if you do not finish your education, get a job, or are not satisfied with the education you received.
If you request a deferment or forbearance, you must continue to make scheduled payments until your loan is placed in a deferment or forbearance status.
You must notify your loan holder or service agency immediately of any change to your name, address, telephone number, employer, or Social Security number.
View Your Account
ISM offers the option of viewing your account online, so that you can always be apprised of where you are in your loan pay-off schedule.
View Your Account
Repayment Calculator
To make the process of repayment as easy as possible, ISM is happy to provide you with an opportunity to pay online as well as give you options for direct debit/ACH
Make a Payment
Manage Your Debt
Deferments and forbearances allow you to temporarily postpone your monthly payments. These are not automatic. You must apply and be approved. There is either a deferment or forbearance for practically every financial situation. So, if you find yourself in a need of financial relief, call your loan servicer to discuss the possibility of postponing your payments.
Deferments
If you need to postpone your payments, a deferment is the first option you should request. During periods of deferment on subsidized loans, the principal payment is postponed and interest for the deferment period is billed to the federal government. However, you are still responsible for interest that accrues on any unsubsidized loans. Deferment eligibility is based on the disbursement date of your oldest loan. Your service provider can advise you on your eligibility status.
Click the link below to view:
Deferment Forms
Forbearances
If you are unable to qualify for a deferment, a forbearance will work just as well. With forbearance, you are responsible for all interest that accrued during the forbearance period. Forbearance can be placed on your account for up to 12 months at a time in many cases. Contact your service provider to request forbearance. The forbearance types are listed below:
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Hardship |
Reduced-payment |
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Medical / Dental |
Teacher loan |
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National service |
Debt exceeds monthly income |
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National emergency |
Designated disaster area |
Click the link below to view:
Forbearance Forms
Leave of Absence
This leave allows students to take one or more leaves of absence from school for no more than 180 days in a 12-month period without being considered withdrawn from school.
Loan Forgiveness and Cancellation
Your loans may be eligible for loan forgiveness or cancellation if you meet one of these federal criteria:
Full-time teachers with 5 consecutive years in a designated elementary or secondary school serving students from low-income families.
Child care providers who complete a degree in early childhood education and are employed full-time in a child care facility in a low-income community for 2 consecutive years.
Note : New applicants are no longer being accepted for the Federal Child Care Provider Loan Forgiveness Program.
Loan Cancellation
Up to 100% of the loan amount may be canceled for the following reasons:
- Borrower's total and permanent disability or death
- False Certification-Disqualifying Status
- False Certification-Identity Theft
- False Certification-Ability to Benefit
- Unauthorized Signature/Payment
- School Closure
- Unpaid Refunds
For more details on loan forgiveness or cancellation, call an ISM customer service representative at 1-888-ISM-2002.