Background and legal requirements for disclosure and counseling of students receiving loans under the federal student loan programs are discussed. A definition of loan counseling, a decision-making model for creating an institutional program, and information on loan consolidation are provided. Following introductory and background sections, the legal requirements for loan counseling and disclosure are summarized for Title IV Programs (Guaranteed Student Loans, Parent Loans for Undergraduate Students, Supplemental Loans for Students, and Perkins Loans) and for the health programs (Health Educational Assistance Loans, Nursing Student Loans, and Health Professions Student Loans). A section on an educational approach to loan counseling includes debt management; personal financial planning; and integrated, hierarchical program; and a decision-making model. The appendices provide tools and references for conducting loan counseling, including summary charts, sample forms, a self-evaluation checklist, and selected resources. (KM)