Student Loan Procedures

Loan Repayment

Educational loans are serious financial obligations that must be repaid. It is your responsibility to understand and meet the terms and conditions of your loan agreement.

Not all loans are alike; interest rates, repayment periods and other allowances vary depending upon the loan program and the source of the loan fund. This document is designed to help you understand your rights and obligations as a student loan borrower. However, the promissory note is the legal document governing your loan.

HOW AND WHEN YOU'LL BE BILLED

HOW TO MAKE YOUR PAYMENTS

MISSED PAYMENTS RESULT IN DEFAULT

Billing Policies - Short Term Loans.

Your repayment schedule is given to you when you sign your promissory note. A billing statement will be sent to you about 15 days prior to the date each payment is due. You are obligated to make your payments whether you receive your billing statement or not.

Many short term loans involve interest payments. The billing statement will agree with your original repayment schedule only if all payments are made as scheduled. Late payments, pre-payments, and under-payments will alter the amount of interest due and will cause the statement to differ from the schedule.

Billing Policies - Long Term Loans.

Most of your student loans allow you a grace period after you leave school or drop below the required number of credits. During the grace period, principal and interest payments are not due. (Check your promissory note for the exact length of your grace period.)

The rules that govern federal loan programs require our office to send you a series of notices during your grace period to remind you of your obligation. Your actual billing statements will be sent about 15 days prior to the date your payment is due. You are obligated to make your payments whether you receive your billing statement or not.

The billing statement will agree with your original repayment schedule only if all payments are made as scheduled. Late payments, pre-payments, and under-payments will alter the amount of interest due and will cause the statement to differ from the schedule.

Payment Policies - Short Term Loans.

If the repayment source of your short term loan is current semester financial aid, the loan will be repaid when your financial aid is applied to your student account. After tuition is paid, the remainder of your financial aid will reduce the balance of your short term loan charges. If your student account has a credit balance once tuition and short term loan charges have been paid, you will receive a refund check in the mail.

If you will not be paying your loan with financial aid, please make your check payable to the University of Wisconsin and mail it with the payment stub to the address listed on your billing statement. Be sure to include your account number on your check. If you are unable to make a payment as scheduled, you must contact the department that awarded the loan to make other payment arrangements.

Payment Policies - Long Term Loans.

Please make your check payable to the University of Wisconsin and mail it with the payment stub to the address listed on your billing statement. Be sure to include your account number on your check. If you are unable to make a payment as scheduled, you must contact our office to make other payment arrangements.

There is no penalty for pre-payment of your account. Payments made in excess of the amount due will be used to prepay principal unless you clearly state, in writing, that the excess amount is to cover the next installments.

If your payment does not reach us on time, additional interest and late charges may be assessed.

Missed Payments - All Loans.

Payments are due on the first of the month. If your payment is not made or a deferment/cancellation form is not received in a timely manner, your account will be considered to be in default. If this happens, we may:

  • Place a hold on your University records.
  • Report your default to a credit bureau.
  • Add late (penalty) charges and/or collection costs.
  • Accelerate your loan.
  • Refer your account to a collection agency.
  • Seek judgment against you in court.
  • Ask the Federal government for help in collecting the loan (such as the tax refund offset program).

Forms and questions should be directed to:

The University of Wisconsin
Bursar's Office - Student Loans
333 East Campus Mall #10501
Madison, WI 53715-1383

If you have questions while on campus, please stop at the Student Loans Office, 333 East Campus Mall #10501, between 8:00 AM - 4:00 PM, Monday through Friday.