If your lender does not contact you, you are required to contact your lender. All payments made during the grace period may reduce the total amount you owe. Contact your lender for more information on prepayment. Remember, there is no penalty for prepaying your student loan. Promptly paying your student loan each month will help you establish a good credit record.
Good credit is an asset when applying for other credit, such as a car loan or home mortgage.
Frequent late payments constitute delinquency and may harm your credit rating. Send the payment due each month, even if you have not received a bill. When you are in repayment, send large or additional payments to reduce the amount of interest you will pay on the loan. Make sure you specify that it should be applied to the principal or balance of the loan, not to interest. Call your lender immediately if you realize you are unable to make a payment on time or face financial hardship.