Advantages of rehabilitating your defaulted student loan(s)
You may want to consider rehabilitating your defaulted loan(s). Advantages of rehabilitation include:
Your loan(s) will no longer be considered to be in a default status.
The default status reported by your loan holder to the national credit bureaus will be deleted.
You will be eligible for the same benefits that were available on [...]
In: Student Loan Default · Tagged with: loan default,
What are the consequences of student loan defaulting?
Borrowers who fail to make a payment on time are considered delinquent on their Direct Consolidation Loans. Borrowers who do not make payments for 270 days are in default. Defaulting has severe and long-lasting consequences, as follows:
* The Department of Education can immediately demand repayment of the total loan amount due.
* The Department of Eduction [...]
In: Student Loan Default · Tagged with: loan default,
Defaulted FFEL or Direct Loan Program loans
Borrowers with defaulted FFEL or Direct Loan Program loans may be liable for collection costs incurred to collect the loans. If the holder of the defaulted loan, which may be either the U.S. Department of Education or a guaranty agency, retains a collection agency to collect defaulted loans, charges imposed by the collection agency may [...]
In: Student Loan Default · Tagged with: loan default,
If You are Facing Loan Default
For student loans authorized under Section 435(i)Title IV of the Higher Education Act, default occurs on a Federal Family Educational Loan (FFEL) program loan after a default has persisted for 270 days in the case of a loan repayable in monthly installments or 330 days in the case of a loan repayable in less frequent [...]
In: Student Loan Default · Tagged with: loan default,