Perkins Loan Repayment

If while enrolled at California Lutheran University, you received a Federal Perkins/National Direct Student Loan, the following information is pertinent to your loan repayment.

Repayment Billing and Accounting

During your repayment of this loan, Cal Lutheran has contracted with University Accounting Service, Inc. (UAS) to provide billing and accounting functions for this loan(s). UAS will send you a billing statement for each due date as well as other communications during your repayment period.

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Grace Period

Your initial grace period begins on the first day of the month nearest to the day you leave school or drop below half-time status. Interest begins to accrue on the grace-ending date, not the date on which your first payment is due. To repay your loan without interest charges, you must pay it in its entirety prior to the end of the grace period.

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Payment Information

All remittances should be made payable to California Lutheran University, and sent to:

University Accounting Service
P. O. Box 932
Brookfield, WI 93008-0932

You may send one check for payment on all accounts. Please return the bottom portion of the billing statement with your payment. For proper posting to your account, if you do not have your billing statement, note our school number (437) the fund number (if known) and your account number on the memo portion of your check.

As an alternate payment method, you may use an automatic debit service (ACH) to have payments deducted directly from your bank account. Contact UAS for appropriate application forms.

You can access your account directly through the Interactive Voice Response telephone system at University Accounting Service. The IVR system is available 24/7 at 1- 800-999-6227 or 1- 800-558-7700. You will hear financial information regarding the outstanding principal balance, date and amount of most recent payment, and date and amount of next scheduled payment and deferment status.

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Your Responsibilities

You must notify UAS or CLU of any change in your name, address, and/or telephone number. Filing a mail forwarding order with the Post Office does not fulfill your obligation in this regard.

You must make all payments on time even if you fail to receive a billing statement. This is a Federal loan that must be repaid. We are required to report your loan to a national credit bureau. Late payments will become a part of your credit history and may affect your credit rating. If payments are not made in accordance with your promissory note, your account may be placed with a collection agency. If collection action is necessary, you will become responsible for payment of all collection and legal fees.

If you are entitled to deferment or cancellation of your loan, you must fully complete and mail the properly certified forms requesting deferment or cancellation.

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Are you Eligible for Deferment?

Once you leave California Lutheran University, you may be eligible for periods of deferment, during which interest does not accrue, and repayment of principal is not required. You must file a Request for Deferment form to apply for benefits. Sign the form and have it certified by an appropriate official. Provide any additional documents required and return the form to UAS for processing.

Review the UAS website, www.UAService.com for deferment criteria to see if you are eligible to defer your loan.

Do you qualify for Cancellation?
This loan program provides you with an opportunity to cancel all or part of your loan for certain types of employment or service. If you expect to be eligible for any cancellation, you should apply for deferment of your account during your year of qualifying service/employment. This process delays billing until the end of the year, when your payments may be cancelled. To apply, complete a Request for Deferment Form and return it to UAS for processing.

To receive cancellation benefits, you must file a Request for Partial Cancellation form at the end of your eligible year. If you defer payments for service/employment, the cancellation form will be sent to you automatically.
Review the UAS website, www.UAService.com for cancellation criteria to see if your situation or employment qualifies for cancellation.

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Loan Rehabilitation

If you default on your NDSL or Federal Perkins loan, you may rehabilitate your defaulted loan by requesting the rehabilitation and by making an on-time monthly payment, as determined by CLU, each month for twelve consecutive months. If you successfully rehabilitate your defaulted loan, you will again be subject to the terms and conditions and qualify for the benefits and privileges of your original promissory note and the default will be removed from your credit history. You can rehabilitate a defaulted NDSL or Federal Perkins Loan only once.

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Consolidation

Loan consolidation might be an option if you have multiple lenders, significant student loan debt or different types of student loans. Through consolidation, a lender would buy all of your eligible loans and combine them into one new loan. Consolidation offers both benefits and drawbacks such as; an extended repayment period, combined payment, extra interest, and/or loss of deferment and cancellation eligibility.

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Ombudsman

If during your repayment you develop student loan problems that cannot be resolved through normal customer service, you may want to contact the U.S. Department of Education Office of Student Financial Assistance Programs Ombudsman Office.

The Ombudsman Customer Service Line is 1-800-557-2575. Their website is http://ombudsman.ed.gov. The mailing address is: Office of the Ombudsman, Student Financial Assistance; U.S. Department of Education; Room 3012, ROB #3; 7th and D streets, SW; Washington D.C. 20202-5144.

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Other Questions?

We are here to assist you in meeting your obligation to repay this loan. If you have questions, please contact California Lutheran University 805-493-3518 or 805-493-3178.

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