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BUSINESS Monday 13 March 2017
A25

How to avoid paying too much for your student loan

SARAH SKIDMORE SELL
AP Personal Finance Writer
Student loans can be ex-
pensive, but a few preven-
tative steps can help avoid
unnecessary costs.
The Consumer Financial
Protection Bureau recently
issued a warning to con-
sumers to pay close atten-
tion to their personal infor-
mation on record with stu-
dent loan servicers as errors
are popping up that can
cost borrowers hundreds of
dollars more in additional
student loan debt.
The watchdog agency
said the problems are tied
to incorrect or incomplete
enrollment status infor-
mation. Enrollment status
tracks when someone is
enrolled and expected to
graduate. This information
is used to calculate when
repayment and interest
compounding begins.
Here are some tips on how In this Wednesday Feb. 1, 2017, file photo, Brooklyn College students walk between classes on campus in New York.
to catch errors: Associated Press
-VERIFY
The CFPB suggests con- ment status, particularly if When you are leaving trigger untimely bills. enrollment status is being
sumers monitor their enroll- they’ve recently left or re- school, make sure you -REMEDY reported correctly. If you
turned to school. know when your first pay- If something doesn’t look recently transferred or re-
ment is due to avoid sur- right, tell your servicer — turned to school, you can
prise bills. There’s typically a that’s the organization you also update your informa-
grace period of six months pay each month — to fix it. tion on the Department of
after graduation before Errors in enrollment status Education’s National Stu-
payment is due, but colleg- can occur as the informa- dent Loan Data website.
es report graduation dates tion is passed through vari- -COMPLAIN
differently and that’s what ous hands. Your servicer If you run into a problem
sets your repayment date. may be using outdated getting accurate or timely
Let your school know if you or inaccurate information information about your en-
are going to leave college and you can submit updat- rollment status from your
early or if you are headed ed information from your servicer, submit a com-
back to school. And up- college to correct it. plaint with the CFPB. You
date your servicer as well Also consider contact- can do that online or by
as this may help avoid po- ing the registrar’s office at calling them at 855-411-
tential hiccups that might your school to ensure your 2372.q