Loans provide an opportunity for families to spread out college costs over a repayment period. Most student loans provide an opportunity for deferment of principal payment until after graduation or until the student ceases to be enrolled at least half time in a degree-seeking program. Most parent loans require payment while the student is in college.
More information is available in the Student Loan Counseling section of this website.
- RIGHT TO CANCEL LOAN
Federal regulations allow student loan borrowers up to 14 days after disbursement of funds to cancel or reduce the loans. The following describes the process to request a cancellation or reduction of student loans.
Students may contact the Bursar requesting cancellation of any disbursed loans.
Please be aware that you will be required to replace the funds that applied towards your account with a Cashier’s check or money order payable to Purdue University. You may view financial aid funds applied to your account, (including Federal loan funds), by logging into your student account at https://mypurdue.purdue.edu.
If you repay your loans directly to the Direct Loan Servicer, your loan account will be credited as a repayment on the loan rather than a reduction/cancel. This means that your loan fees will not be reduced, nor will it renew you academic year eligibility. If you had already borrowed your academic year limit, your will not be able to re-borrow this amount later.
- LOAN HISTORY
Purdue is partnering with The National Student Clearinghouse to provide currently enrolled students access to federal and private loan history in one convenient location. This information is available through the Academic Tab in myPurdue and by clicking on the Enrollment Certification/National Student Clearinghouse link.
This service is not available for students who have graduated or for students who are no longer enrolled at Purdue. These students can access their federal loans through the National Student Loan Database System. Private loan information may be obtained by contacting their lender or servicer.
- STUDENT LOAN CODE OF CONDUCT
Purdue University has developed a Student Loan Code of Conduct in compliance with federal regulations. Division of Financial Aid staff members comply with the Purdue University Student Loan Code of Conduct. Click here for more information.
- NEW STUDENT LOAN BORROWER ASSISTANCE
The National Consumer Law Center and the Project on Student Debt have partnered to launch a new website to help student loan borrowers learn about repayment options.
The Student Loan Borrower Assistance website also includes information on avoiding and getting out of default, dealing with collections agencies, and more.
"So many borrowers I talk to can't find critical information to address their problems," said Deanne Loonin, a staff attorney at the National Consumer Law Center, and author of the Web site. "This site describes the rights and obligations of student borrowers in plain language, so that they can understand their options, and stand up for themselves."
Student Loan Borrower Assistance is an independent resource that provides advice and objective information for borrowers, their families, and legal advocates. The site features straightforward information about everything from choosing a student loan to getting out of default and dealing with aggressive collection agencies. It also includes policy briefs, legal case studies, sample documents and promissory notes, and other valuable resources.
"This is a major breakthrough for hundreds of thousands of borrowers who struggle with their loans," said Robert Shireman, Executive Director of the Project on Student Debt, which funded the development of the site. "Before, they often had nowhere to turn for help, but we're beginning to change that - this is the first step."
The National Consumer Law Center (NCLC) is the nation's consumer law expert, helping consumers, their advocates, and public policy makers use powerful and complex consumer laws on behalf of low-income and vulnerable Americans seeking economic justice.
The Project on Student Debt is managed by The Institute for College Access & Success, a nonprofit, nonpartisan organization dedicated to expanding educational opportunity.