Your school indicated you have lost eligibility for federal student financial aid because one or more of your loans inadvertently exceeds the annual or aggregate loan limit. This is known as “overborrowing,” and you must act to continue receiving federal student financial aid.

What are the consequences of overborrowing to pay for college?

Missed payments will have consequences.

The more you borrow, the more you will have to pay back every month. If you are unable to pay your bills and miss payments, your credit history will be impacted negatively, which may lead to higher interest for future loans and credit of all types.

What does it mean to reaffirm student loan?

Agreeing to repay the excess loan amount in accordance with the terms of the promissory note is called “reaffirmation.” You can reaffirm an excess loan amount by signing a reaffirmation agreement with your loan servicer.