Loan Repayment/Forgiveness

Loan Repayment

Repayment begins after you graduate, drop below half time status, withdraw, or do not plan to return to UHM for the next semester. Depending on the type of loan, the grace period for repayment will differ.

If you re-enroll at least half time at UHM or any other institution, enter into certain areas of service, become ill or unemployed, you may be able to defer your payments by notifying your lender and completing a deferment form.

You may prepay at any time without penalty and decrease the interest, but if you fail to make any loan payment as agreed or fail to submit the proper deferment or cancellation form, the total loan may become due and payable immediately, and legal action could be taken against you.

Standard Repayment

Standard repayment is the basic repayment plan for loans from the William D. Ford Federal Direct Loan (Direct Loan) Program and Federal Family Education Loan (FFEL) Program. Payments are fixed and made for up to 10 years (between 10 and 30 years for consolidation loans).

This repayment plan saves you money over time because your monthly payments may be slightly higher than payments made under other plans, but you’ll pay off your loan in the shortest time. For this reason, you will pay the least amount of interest over the life of your loan.

When it comes time to repay your loans, you have the option to choose a repayment plan. If you don’t choose a different repayment plan, your loan servicer, the company that handles the billing and other services on your federal education loan, will place you on the Standard Repayment Plan.

For complete details, please visit

Income-Based Repayment

Income-Based Repayment (IBR) is a repayment plan for the major types of federal student loans that caps your required monthly payment at an amount intended to be affordable based on your income and family size.

For complete details including eligibility and requirements please visit

Graduated Repayment Plan

The Graduated Repayment Plan starts with lower payments that increase every two years. Payments are made for up to 10 years (between 10 and 30 years for consolidation loans) if your income is low now, but you expect it to increase steadily over time, this plan may be right for you.

For complete details including eligibility and requirements please visit

Loan Consolidation

When you begin repayment on your student loans, you may consider consolidating your loans. Consolidation allows you to pay off some or all of your existing student loans by combining them into a single, large loan. There are two types of consolidation programs for education loans:

Federal Consolidation Loans

  • Fixed interest rate based on a weighted average of the current rates on your existing loans
  • Deferment options predetermined by federal regulations
  • Non-federal (private) loan funds is not included in consolidation

Private Consolidation Loans

  • Can include both federal and non-federal student loan funds

  • Usually a variable interest rate

  • Forbearances available only at the lender's discretion

  • Any consolidation loan is likely to significantly increase the total amount of interest that you will be required to pay. If you are able to meet your current monthly repayment obligations, it may be best for you to avoid consolidation.

For complete details including eligibility and requirements, please visit

Public Service Loan Forgiveness Program

The PSLF Program is intended to encourage individuals to enter and continue to work full-time in public service jobs. Under this program, borrowers may qualify for forgiveness of the remaining balance of their Direct Loans after they have made 120 qualifying payments on those loans while employed full time by certain public service employers.
For complete details including eligibility and requirements, please visit

FSA Student Loan Ombudsman

The Federal Student Aid Ombudsman of the U.S. Department of Education helps resolve disputes related to federal student loans.

Contact information for the FSA Student Loan Ombudsman's Office
Via on-line Assistance:
Via Telephone: 877-557-2575 (toll free)
Via Fax: 202-275-0549
Via Mail: U.S. Department of Education
FSA Ombudsman Group
830 First Street, N.E., Mail Stop 5144
Washington, DC 20202-5144

Lisa M. Dye

Director of Financial Aid
(808) 956-5502