Money Talks: Dropping Out and Student Loan Repayment Options

Posted by Joe Crosby

12/4/14 10:14 AM

Money Talks are quick hitting posts on a topic that will help your students manage their loans and finances. With links, tools, and visuals, you can easily digest and regurgitate the info so your students can one day fly from your nest financially healthy and strong.  

Previous Money Talks | Credit Scores | Staying on Budget 

 


completionanddefaultThe 6-year completion rate for students who started in fall 2008 was recently reported at 55% according to the National Student Clearinghouse Research Center. That number is an unfortunate reminder of the importance of frequent, early, and consistent financial literacy.  

Very soon, students may be fleeing your campus never to return as students again.

Winter break seems like a time for relaxation and rejuvenation, but for a variety of reasons, the short break too frequently leads into something more permanent.

This amplifies the need for all students to be very aware of 2 things.

1. Why staying in school is financially important.
2. Their repayment options should they not return to school.

Here are 4 things to do before they bolt . . . 

1. Drop Some Department of Ed knowledge

Like Slow & Steady, sometimes Straight-Forward & Simple can win the race. That's why this is a great blog post to share from the Department of Education http://www.ed.gov/blog/2012/10/

It's a 3-step plan to student loan repayment success - organize loans, contact servicers, and pick a repayment plan.

2. Show them the Repayment Estimator

There are many benefits to sending all your students to the Repayment Estimator | LINK

1. It gets them to feel comfortable using their DOE pin to log-in and check their loan information.
2. It familiarizes them with the DOE repayment options. 
3. And obviously, it estimates just how much their monthly payment will be so they can adjust their borrowing if necessary.  

3. Ask for updated contacts

Planning to perform grace period outreach in 2015 or want to conduct effective delinquent outreach? Then getting the most up-to-date contact information late in 2014 could save you time in 2015.  

4. Share an Image (or two)

Here's one that will get the attention of your students | LINK to larger image. 

And another one that explains the financial benefit of staying in school | LINK to larger image

Statistics of a College Dropoutrepayment-plans-graphic  

 


Make sure all of your students are ready to repay. Introduce them to RepayReady Man. New Call-to-action