Federal Government pays the interest on loan until six months after the student graduates, withdraws, drops below half time, or in times of approved deferment. Begins six months after the student graduates, withdraws, or drops below half time. Capitalization occurs at different intervals depending on the lender's policy. Begins six months after student graduates, withdraws, or drops below half time. This is a loan taken out by the parent to pay for the a student's education, and the parent, not the student, is responsible for repaying it.
Interest begins accruing immediately upon disbursement of funds.
Repayment begins on the ate the last disbursement is made. The first payment is due within 60 days after the loan is fully disbursed. From a local college, university, or high school. If you fill out a paper copy, you can send it directly to the Department of Education, or to us at the school. If you send it to the school, we can notify you of any obvious errors on the form and provide an estimate of eligibility, before passing it on to the government.