Do not cash a student loan check if you have questions about loan repayment terms or your responsibility to pay this obligation back in full. Please contact your lender, college, or FAME with any questions you might have regarding your student loans. Student loans can be used for a variety of costs associated with higher education. These costs include tuition, room and board, books, as well as transportation and personal expenses incurred as a direct result of your education. Please inform your lender immediately of any change in your current address, enrollment status, name, or college.
Many students inadvertently go into default because lenders are unable to locate the borrower.
Please make sure you keep copies of all your loan papers and documents in a safe dry place. You will need these documents once you begin repaying your student loans. Return to Top Capitalization of Unsubsidized Federal Stafford Loan Interest Capitalization is a process whereby a lender adds unpaid interest to the principal balance of a loan. If you are granted a deferment or forbearance and choose to defer and capitalize interest charges, the principal balance of your loan will increase each time your lender capitalizes unpaid interest. Interest would continue to accrue and be capitalized in this manner until you began repaying your loan.