As seniors race toward graduation, one final responsibility looms over them – student loans. Approximately 67 percent of St. Thomas seniors will graduate with some form of debt, according to Financial Aid Associate Director Paula Benson.

Benson said students should be aware of what they owe, whom they owe it to and what they need to do to pay it back. Although lenders will get in touch with students before payments must begin, Benson recommends contacting them ahead of time to update contact information and ask any questions, “so that you fully understand who you have to deal with and what that means for you.”

The process of paying back student loans depends on the type of loan a student has. Different types of loans include federal, state and private. Information about federal loans can be found online through the National Student Loan Data System, but to find out more about private loans, Benson said students will need to contact the lender.

Most student loan payments begin after a grace period, usually six to nine months after graduation, according to Benson.

“It gives you time to get established, get a job, pay your last month’s rent,” she said.

The majority of loans, especially federal, run on a 10-year program. This means that, after the grace period, students will make monthly payments for 10 years in order to pay off the loan.

“The 10-year time frame is usually pretty reasonable,” Benson said.

If this plan does not fit, Benson said students can look into other options to structure the plan to their needs. They can consolidate their loans by making smaller payments over a longer amount of time, opt for a graduate loan that has lower payments in the beginning of the plan and higher ones at the end, or seek an extended, 25-year payment plan.

“The key thing is not to pretend it doesn’t exist and bury your head in the sand but to really be proactive,” Benson said. “There are a lot of tools that (students) have at their disposal.”

According to Benson, some students may also qualify for loan forgiveness programs designed for those in lower-income career paths like nonprofit workers, teachers, health care professionals and others. If a student works in that respective profession for 20 years and still has outstanding loans, the remaining amount is forgiven.

“It’s important to know all the ins and outs and what you might qualify for based on who you are,” Benson said.

All graduating seniors are required to complete an exit counseling session with their financial aid officer to learn more about their loans and payment options.

“It really is a good resource to get out there and do the counseling so that you can get an idea of what you’re looking at,” Benson said.

Senior Erin Lillencratz said the exit counseling was beneficial and allowed her to learn more about loans she will need to deal with after graduation.

“It put into perspective what I’m going to have to owe every month and what the overall cost of my education was,” she said.

Ideally, Benson said students should start thinking about their loans their freshman year.

“Making smart choices all along, trying to reduce that debt as much as possible – those are all things that are important throughout the way,” she said.

Senior McKenzie Anderson said students should not be concerned about their loans until senior year.

“As a college student, you have so many stressors and things you’re worrying about that I don’t know if it’d be necessarily healthy or productive to start worrying about them then,” Anderson said.

Benson said seniors need to learn more about their loan programs at least during their final year and before their grace period begins.

“I don’t think it’s ever too early to start thinking about it,” she said.

Rebecca Mariscal can be reached at mari2162@stthomas.edu.