Loan Entrance Counseling
All students applying for loans must complete Entrance Counseling. Entrance counseling is for first-time borrowers of Stafford Loans. Loan counseling educates students on their rights and responsibilities as a borrower. You may complete your entrance counseling by visiting www.aessuccess.org. The information is downloaded to Community College of Philadelphia within 24 hours. You may also complete entrance counseling in the Financial Aid Office, Room BG-3.
Loan Exit Counseling
Loan exit counseling is conducted for borrowers who withdraw, graduate or drop less than half-time enrollment. You may complete your exit counseling on line at www.aessuccess.org or you may complete your exit application in the Financial Aid Office, Room Bg-3.
DEFERMENT
A student loan deferment is an authorized temporary suspension of repayment
that is granted under certain circumstances. Loans in the Federal Family
Education Loan Program (FFELP) allow for deferment in a wide variety of
circumstances. A significant number of private loans also allow deferment
for several possible reasons. Sometimes deferment may be automatically
applied on your behalf, but in most cases you must apply, meet the qualifications,
and make arrangements with the servicer of your loans to receive deferment.
Subsidized vs. Unsubsidized Stafford Loans
If you have a student loan that is a "subsidized" Stafford loan, an added
benefit is that you are not required to pay the accrued interest during
any approved periods of deferment. The Government takes care of that for
you, but for other categories of Federal and private loans, you are responsible
for paying this interest. Request a Deferment
FOREBEARANCE
Student loan forbearance is an authorized temporary suspension of repayment
that is granted under certain circumstances. Forbearance differs from
deferment in that most forms of forbearance are offered at the discretion
of the lender or owner of your loans. While all loans in the Federal Family
Education Loan Program (FFELP) and a significant number of private loans
allow forbearance in a wide variety of circumstances, it is not granted
automatically nor is it guaranteed. You must apply, meet the qualifications,
and make arrangements with the servicer of your loans.
You remain responsible for paying the daily interest accrual for all loan
types during periods of forbearance. Request Forbearance
DEFAULT
Your loan is considered in default status if you fail to pay your loan
back according to the terms disclosed in your promissory note results
in default. You are in default on your student loan if your payments are
270 past due or if you fail to comply with other term of the loan. For
information concerning default student loans you may call or visit their
website at www.fsahelp.ed.gov