Statement of Rights and Responsibilities

STATEMENT OF RIGHTS AND RESPONSIBILITIES

Your Federal Direct Perkins Loan is a serious legal obligation. Therefore, it is extremely important that you understand your rights and responsibilities. When you (the student borrower) sign the promissory note, it means that you do understand your responsibilities and you agree to honor them.

• I understand that I must, without exception, report any of the following changes to Kent State University Student Loan Office at 330-672-2626 Option 2, if I withdraw from school, transfer to another school, drop below half-time status, join military service, Peace Corp, or Vista. I must notify Kent State University Bursar's Office if my name or address should change (for example, due to marriage).
• I understand that when I graduate or withdraw from Kent State University, I must arrange for an exit interview by calling 330-672-2626 Option 2.
• I understand that the Annual Percentage Rate of 5% will be the FINANCE CHARGE based on the unpaid principle balance, and will begin to accrue nine months after I cease to be enrolled as at least a half-time student.
• I understand that cancellation may be granted for certain types of elementary or secondary school teaching; full-time nurses and medical technicians; full-time police and correction officers; full-time Head Start staff members. I also accept the responsibility to inform the school of such status.
• I understand that upon making a properly documented written request to the school, I may defer my loan (1)during any period that I am enrolled and attending at least half-time at an eligible school; enrolled and attending a graduate fellowship program approved by the Secretary of Education; enrolled and attending a rehabilitation training program for disabled individuals approved by the Secretary; enrolled (2)for a period (not to exceed three years) during which I am seeking but unable to find full-time employment; (3)for a period (not to exceed three years) during which I am experiencing an economic hardship as determined by the school. I am also eligible for deferment while serving in a medical internship or residency program.
• I understand that if I fail to repay any loan as agreed, the total loan may become due and payable immediately and legal action may be taken against me.
• I understand that I will promptly answer any communication from Kent State University regarding this loan.
• I understand that I may prepay at any time and that future interest will be reduced by making such payments.
• I understand that if I cannot make payments on time, I must contact the Kent State University Bursar's Office Student Loan Department to make payment or deferment arrangements.
• I authorize Kent State University to contact any school which I may attend, to obtain information concerning my student status, my year of study, my dates of attendance, my graduation or withdrawal, my transfer to another school, or my current address.
• I understand if I default on my loan, I may request a one time Rehabilitation option. Upon completion of rehabilitation, all credit bureaus will be instructed to remove the default from my credit history.
• I understand that if I dispute the terms of my loan in writing and the University does not resolve the dispute, I may contact the Student Loan Ombudsman's office by calling 877-557-2575.
• I understand that my Federal Direct Perkins Loan status will be reported to the three national credit bureaus monthly.