Your loan payments will go to the U.S. Department of Education's Direct Loan Servicing Center. Although most communications with you will be by mail, the Servicing Center will respond to your phone calls whenever you have questions or concerns about your loan account. Remember, ED has several Servicing Center locations (with separate addresses and toll-free telephone). The address and toll-free telephone number to the location that services your loan account will appear on all correspondence you receive from the Servicing Center. You should always use that information when contacting the Service Center; however, if you should misplace that information, you can call 1-888-447-4460 and you will be routed to the location that services your loan account.
You can pay by check every month. If you make payments on time for 12 consecutive months, you will receive a book of monthly payment coupons as a convenience. You should send all loan payments directly to the Servicing Center. The address to mail payments to will appear on your billing statements.
After you graduate, leave school, or drop below half-time enrollment, you have six months before you must begin repaying your loans. This is called the "grace period." If you have Direct Subsidized Loans, you'll be responsible for the interest charged during your grace period. You may either pay this interest as it accumulates or have it capitalized when you start repaying your loans (see the capitalization section for a discussion of this). For information on what to do about your loans if you return to school later, see the appropriate labeled section heading.
Your repayment period begins the day after your grace period ends. Your first payment will be due within 60 days after your repayment period begins.
The grace period after you graduate, leave school, or drop below half-time enrollment is one year.True or False.
Select the correct answer. When will your first payment be due after your
repayment period begins?