The EFC can be financed with Unsubsidized Stafford and PLUS loans. Grace Period - A specified period of time following departure from school when you are not required to make loan payments. Guarantor - The agency that insures student loans against default and helps the federal government administer the student loan program. Loan Holder - The owner of the loan. The holder may not be the lender which originally made the loan to you.
Most lenders sell their loans to secondary markets.
OSLA sells its loans to the OSLA so the loan continues to be administered by the same servicer. Notice of Loan Guarantee and Disclosure - Notification from your lender acknowledging loan approval and listing the dates for loan disbursement, loan interest rate, amount of borrower fees and the net amount of the loan disbursement. Promissory Note - The binding legal document you sign when you get a student loan. It lists the conditions under which you are borrowing and the terms under which you agree to pay back the loan. It also includes information about your loan interest rate and about deferment and cancellation provisions.