As a college graduate who had to complete exit counseling, I understand that it can be somewhat trying to satisfy this requirement. The Department of Education has made exit counseling mandatory for every Federal Student Aid (FSA) loan borrower. While it does take some time to complete, it is actually a very valuable tool. You will absolutely benefit from completing exit counseling.
What exactly does exit counseling accomplish? In short, exit counseling helps you understand your financial position in regard to your FSA loans. Many students complete exit counseling online, but it is also possible to complete a paper copy. The online version is more in-depth and beneficial, but the paper copy pamphlet is a legitimate alternative. While completing the online version, you will probably be required to answer some “quiz” questions to ensure that you understand the material. There is quite a bit of information provided to you, so it is essential that you take your time while completing exit counseling.
While completing exit counseling you will be provided with information regarding your loan principal plus interest, your rights and responsibilities as a loan borrower, and the online version will even provide you with a budgeting tool that helps you decide how much your monthly loan payment can be. Every bit of information in the exit counseling guide is useful, so now it should come as no surprised why the Department of Education has deemed it mandatory for all FSA loan borrowers.
By Ryan Laspina
Senior Specialist, Red Flags and External Reviews