STUDENT BORROWER

Whether you borrow from the University of Houston under the Federal Perkins Program or from the Federal Stafford Loan Program (with the lender of your choice), you are responsible for reading and understanding the terms of that loan before signing the promissory note.  It is your responsibility to be aware of your total debt and how it may affect your lifestyle as you repay the money you owe.

All students who participate in the Federal Perkins Loan Programs are required to complete an Entrance and Exit Interview prior to receiving funds and upon graduation, as well as E-sign the Perkins Promissory Note. Failure to complete an entrance or exit interview can cause a delay in receiving funds or generate a hold on your academic records.

Stafford loans require you to choose a lender from whom you borrow the money. The University will identify which Stafford program(s) you qualify for (subsidized or unsubsidized) based on your Cost of Education (COE). You will be notified of your award with instructions on applying for the Stafford loans on line through Loans by Web.

All students who participate in the Federal Stafford Loan Program and the Federal Grad Plus Loan Program are required to complete an Entrance and Exit Counseling prior to receiving funds and upon graduation as well as sign a Master Promissory Note through the Loans by Web process. All Stafford Loans are disbursed in two installments. A full year loan is disbursed first in the fall term and the second in the spring term. Most lenders charge up to a .5% fee from each of the disbursements for origination fees. The guarantor can charge up to 3%. The University does not charge a fee for the Federal Perkins Loan.

Finding yourself in a situation where you cannot repay your student loans(s) may lead to default. To prevent default, contact your student loan-servicing agency if you see you are having problems repaying your loans. If you default on your student loans(s) one or more of the following may occur:

State license may not be renewed

Wages may be garnished or offset

State and Federal Tax refunds may be withheld

Default may be reported to national credit bureaus

The average debt of the 2007 graduating class is $62,584, with 80% of the class using financial aid.

University of Houston Law Center
Financial Aid & Scholarship Office
100 Law Center
Houston, Texas 77204-6060
(713) 743-2269
School code 003652
lawfinaid@uh.edu