Module Number 1 Common Sense Steps to Selecting a Repayment Strategy Paul S. Garrard Founder and President, PGPresents, LLC Independent Student Loan Consulting Spring 2019 2019 PGPresents, LLC - All Rights Reserved

Common sense steps Know what you borrowed, who has your loans, and when they come due Identify and constantly review your repayment objectives Select repayment plan that meets those objectives, and know how to shift gears as needed

Step 1: Loan portfolio Federal loans at NSLDS.ed.gov* Information on loan servicers One servicer for federally owned loans Different servicer for campus-based loans (see FAO** for help) See credit report or FAO for student loans not listed on NSLDS Private loans are not listed on NSLDS * Direct Unsubsidized, Direct PLUS (Grad PLUS), Direct Consolidation, Perkins ** Financial Aid Office

Sample loan portfolio Direct Unsubsidized (Stafford) Different fixed rates on each loan 6 month grace* Direct PLUS (Grad PLUS) 6 month “post enrollment deferment” Campus-based loans** Private loans (see disclosure statement) * You only get grace period one time, but must use entire 6 months to lose it ** Perkins, Loans for Disadvantaged Students, Primary Care Loans, loans from institution

Step 2: Repay objectives Aggressive repayment Secure manageable plan and overpay on worst loan whenever you can Protect cash, maximize cash flow Postpone or use income plan to keep payments manageable Maximize forgiveness with PSLF* Use income plan with no aggressive payments Service commitment support** Be sure to consider tax implications * Public Service Loan Forgiveness (see www.StudentAid.ed.gov/publicservice) ** Loan repayment help from NHSC, NIH, armed forces, state programs

Step 3: Choose plan* Time driven Income driven Payments not based on income or family size Debt free at end of term with minimum payments Standard 10 year and Extended 25 year Level and graduated plans available Income driven Payments based on income and family size Payments change annually PAYE and REPAYE are newest plans * Direct Unsubsidized, Direct PLUS (Grad PLUS), Direct Consolidation

Summary Know what you borrowed, who has your loans, and when they come due Identify and constantly review your repayment objectives Select repayment plan that meets those objectives, and know how to shift gears as needed

PGPresents, LLC Independent Student Loan Consulting www.PGPresents.com END OF MODULE 1 PGPresents, LLC Independent Student Loan Consulting www.PGPresents.com 2019 PGPresents, LLC - All Rights Reserved