Follow the Smart Path When Considering Loans

Be smart about borrowing. Consider options to reduce the need for loans and borrow only what is necessary to achieve the goal of a U-M college education:

  • Review your lifestyle. Trim costs and consider needs vs. wants.
  • Consider part-time employment. Stretch your dollars without borrowing.
  • Pace your payments. Check out the U-M Payment Plan for fall/winter semesters.
  • Use personal or family assets. Do this when possible before considering a loan.
  • Considering summer school? Take classes closer to home and incur less cost or consider a roommate.

These online resources may also help:

How Much Should I Borrow?

  • Many students wisely maintain a lower-cost student lifestyle in order to borrow the least amount necessary to cover college costs. For budget tips, visit our Financial Education webpage.
  • If you are borrowing federal loans, visit the Federal Student Aid portal to see how much you have borrowed to date. Find cumulative borrowing for Health Professions and Nursing loans on Wolverine Access. Login is required for both websites.
  • Also in Wolverine Access is the Student Eligibility Information Portal panel, allowing students to track grant and scholarship eligibility and whether they are meeting Satisfactory Academic Progress. Find the tab on the right-hand side of the Financial Aid section in your student portal.
  • To see how much a loan in repayment will cost, use the Repayment Estimator on the Federal Student Aid website.
  • To cancel or reduce your loans before they are disbursed, visit Wolverine Access and go to: Student > Student Business > login > Financial Aid > Awards > Accept/Decline Financial Aid. To cancel or reduce loans after they are paid to you, contact our office.

Strategies for Effective Repayment

Step 1: Be informed. Complete exit counseling for your loans, identify your loan servicer, and create your account on their website. 

Step 2: Choose strategically. Estimate your payments and choose the repayment plan that's best for your current financial situation. Use tools like the Loan Simulator to learn more. 

Step 3: Pay on time every time. Make your monthly payments as required. It pays down your debt and helps you build a strong credit score. 

Step 4: Get ahead. If you have budget flexibility, consider paying extra toward your loans each month. Doing so can reduce the interest you pay and reduce the total cost of your loan over time. 

Step 5: Seek help. If you're struggling with your payments, explore Federal Student Aid resources for lowering your payment or getting temporary relief. Find info for Understanding Student Loan Repayment on the Federal Student Aid website.