Student Loan Repayment
Student loan repayment usually begins after you graduate, withdraw or drop below half-time enrollment. However, some loans begin accruing interest when they are disbursed.
For most federal student loans, repayment begins after a six-month grace period. If you re-enroll at least half-time before the grace period ends, your loans enter deferment. Otherwise, repayment begins.
Your exact repayment date depends on your loan type and your enrollment status. Check your loan status and repayment timeline by logging in to StudentAid.gov and visit the Loans page for details about borrowing options and loan types.
How to Prepare for Repayment
Step 1: Confirm Your Loan Servicer
Log in to your account at StudentAid.gov/login and select “View loan servicer details” from the My Aid section. You may also contact the Federal Student Aid Information Center (FSAIC) at 1-800-4-FED-AID (1-800-433-3243).
Step 2: Review Repayment Options
Use the Loan Simulator tool at StudentAid.gov/loan-simulator to explore repayment plans and estimate monthly payments. Beginning July 1, 2026, federal student loan repayment plan options will change under new federal legislation tied to the One Big Beautiful Bill Act.
Step 3: Set Up Payments
Contact your loan servicer to and to confirm payment due dates and amounts. Then, enroll in their auto-debit program. Borrowers enrolled in auto-debit for federal Direct Loans receive a 0.25% interest rate reduction.
Step 4: Monitor Communications
Check your email and mail for billing statements and repayment updates from your loan servicer and the U.S. Department of Education.
Frequently Asked Questions - Federal Loans
How do I know if my loans are in repayment?
- Log in to studentaid.gov
- Go to My Aid
- Select “View loan servicer details”. Your servicer can confirm your repayment status.
Who do I contact with questions about my federal loans?
Contact your loan servicer directly. Your servicer’s contact information is available in your studentaid.gov account.
I am having trouble logging in to StudentAid.gov. What should I do?
Call the Federal Student Aid Information Center at 1–800–FED–AID (1–800–433–3243) for assistance.
I’m not sure if I can afford my monthly payment. What are my options?
You may be able to lower your monthly payment through an income–driven repayment plan based on your income and family size.
You can also contact Texas Financial Wellness to schedule a free one-on-one financial coaching appointment for budgeting support.
Institutional Loans
The University of Texas at Austin offers institutional loans for students who need short-term financial assistance, including:
- Emergency Cash Loans
- Short-Term Tuition Loans
- Long-Term Institutional Loans
Frequently Asked Questions - Institutional Loans
How do I know when my institutional loan is due?
Repayment terms are outlined in your promissory note.
- Cash loans are due within 30 days
- Short-term tuition loans are due without grace within 90 days
- Long-term institutional loan may have repayment terms of up to 10 years
Statements are sent before and during repayment. Keep your contact information current on the All My Addresses page. View The University Electronic Mail Student Notification Policy for information about University communications.
How do I view my institutional loan details?
Log in to your Loan Summary page for details like loan type, status, due date, interest date and more for paid and unpaid loans serviced directly by the University.
Copies of your promissory notes are available online or may be requested by emailing tuitioncashloan@austin.utexas.edu or calling (512) 475–7725.
Does my institutional loan accrue interest?
Yes. Interest is billed weekly. Interest is deferred only for short-term loans when assigned for collection.
What is my interest rate?
The current interest rate for short–term institutional loans is 4% APR. The interest rate for long–term institutional loans varies depending on the fund.
How do you calculate simple interest?
Weekly Interest – (Principal x Interest Rate)/52 weeks – ($2,307 x 0.04)/52=$1.77; approximately $0.25 a day.
Are institutional loans reported to credit?
The University of Texas at Austin is required to report all institutional loans, as applicable, fairly and accurately for all students.
Short–term tuition loans are reported to the national credit bureaus from the date of their award until paid in full and negatively if more than 30 days past due. Cash loans are only reported to credit if assigned for collection after 90 days past due.
The University does not offer a “goodwill” credit retraction for late payment. As a courtesy to our students, we will report the loan no more than four months past due with a signed repayment agreement in good standing.
If you believe your account was reported in error, you may file a dispute with one or all of the national credit bureaus (i.e., Experian, Equifax and Transunion). If you have questions about credit reporting, please contact Institutional loans by emailing tuitioncashloan@austin.utexas.edu or calling (512) 475–7725 for assistance.
What is a collection assignment?
Collection assignment occurs after 90 days past due without satisfactory repayment arrangements. Assigned collection accounts currently incur a 25% collection fee added to the balance. Deferred interest is added to the balance after the assignment ends.
What if I am unable to pay my institutional loan?
Contact Institutional loans by emailing tuitioncashloan@austin.utexas.edu or calling (512) 475–7725 as early as possible to discuss repayment agreement options.
What is a repayment agreement?
A repayment agreement reaffirms your debt. It becomes a part of your original promissory note; it does not replace it. It allows for monthly payments and helps avoid a collection assignment and the resulting collection fee, currently 25% of the total balance owed.
It does not remove a financial hold or stop the required credit reporting as applicable. A repayment agreement allows consideration for approval of student services like, but not limited to, future semester registrations, the release of official transcripts and graduation In Absentia; certain other conditions and requirements apply.
Please contact Institutional loans by emailing tuitioncashloan@austin.utexas.edu or calling (512) 475–7725 to discuss repayment agreement options.
If you need assistance in making a spending plan or budget, contact Texas Financial Wellness at financialwellness@utexas.edu. We are here to support you with the resources you need to keep your degree plan on track to graduation.
If you are in need of financial aid or support, please reach out to Texas One Stop at 512–232–6988 or email at onestop@utexas.edu to see what resources are available to you.