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Federal Direct Consolidation Loan Verification Certificate

William D. Ford Federal Direct Loan Program [60-DAY CLEARANCE DRAFT 12/19/2013]

OMB No. 1845-0053

Form Approved

Exp. Date xx/xx/xxxx

The borrower identified in Item 3 of this Loan Verification Certificate (LVC) has requested consolidation of his or her eligible education loan(s) and has identified you as a holder of one or more of those loan(s). The Federal 

Direct Consolidation Loan Program (Direct Consolidation Loan Program) enables borrowers to apply for a Direct Consolidation Loan to consolidate outstanding education loans pursuant to Title IV of the Higher Education 

Act of 1965, as amended. Loans that may be consolidated are listed in the instructions on the back of this LVC. This LVC is used to verify the eligibility and payoff amount of the borrower’s outstanding education loan(s). As 

part of the Federal Direct Consolidation Loan Application and Promissory Note, the borrower named in Item 3 has authorized your disclosure of information regarding all of the borrower’s federal education loan(s) that 

you hold. List each loan that you hold in Item 6 on page 2 of this LVC, and for each loan provide the information requested in Items 7 through 17. Please Print.

Pursuant to 34 CFR 685.220(f)(1)(i), you must complete and return this LVC within 10 business days of the date received. Return the completed LVC to the following address:

[INSERT SERVICER INFORMATION HERE]

See the instructions on page 3 of this LVC. If you have questions or need help completing this LVC, please call [INSERT SERVICER CONTACT INFORMATION].

(1) Holder/Servicer Information

Holder/Servicer is (check only one):

 Lender  Servicer for Lender

 Guaranty Agency  Servicer for Guaranty Agency

 School  Servicer for School

Name ____________________________________________

OPE Code _________________________________________

Street 1 ___________________________________________

Street 2 ___________________________________________

City, State, Zip Code _________________________________

Area Code/Telephone # ( ______ ) ______ - ________

Area Code/Fax # ( ______ ) ______ - ________

(2) Institution or address to which payoff should be sent 

(if different from Item 1)

Name ____________________________________________

OPE Code _________________________________________

Street 1 ___________________________________________

Street 2 ___________________________________________

City, State, Zip Code _________________________________

Area Code/Telephone # ( ______ ) ______ - ________

Area Code/Fax # ( ______ ) ______ - ________

Contact’s Name _____________________________________

(3) Borrower Information

Name ____________________________________________

Social Security Number ___ ___ ___ - ___ ___ - ___ ___ ___ ___

Street 1 ___________________________________________

Street 2 ___________________________________________

City, State, Zip Code _________________________________

Area Code/Telephone # ( ______ ) ______ - ________

(4) Holder/Servicer Certification: I certify that: 

 To the best of my knowledge and belief, the information on this LVC is accurate and complete; 

 Each loan identified in Item 6 on page 2 of this LVC (a) is a legal, valid, and binding obligation of the borrower; (b) was made and serviced in compliance with all applicable laws and regulations; and (c) in the case of 

Federal Stafford Loans [subsidized and unsubsidized (GSL)], Federal PLUS Loans, Federal Supplemental Loans for Students (SLS) [and Auxiliary Loans to Assist Students (ALAS)], and Federal Insured Student Loans 

(FISL), the insurance on each loan is in full force and effect. 

 The loan amount listed in Item 18 on page 2 of this LVC is the amount necessary to discharge the loan(s). This LVC will be relied on by the U.S. Department of Education in paying off the listed loan(s).

Signature of Authorized Official ___________________________________ Holder/Servicer Name _________________________________________________ Date (mm-dd-yyyy) ___ ___ - ___ ___ - ___ ___ ___ ___

Name/Title of Authorized Official (please print) ____________________________________________________________ Area Code/Telephone # ( ______ ) ______ - ________
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Federal Direct Consolidation Loan Verification Certificate (continued)

Holder/Servicer Name ____________________________________________________________________ Borrower Name _______________________________________________

OPE Code _________________________ Borrower Social Security Number ___ ___ ___ - ___ ___ - ___ ___ ___ ___

(5) Certification Date (mm-dd-yyyy) ___ ___ - ___ ___ - ___ ___ ___ ___

# (6) 

Account 

Number

(7) 

Loan 

Type

(8) 

Interest

Rate (%)

(9) 

Principal 

Balance

Outstanding

(10) 

Unpaid Accrued 

Interest through 

Certification 

Date

(Item 5)

(11) 

Fees and 

Late 

Charges

(12) 

Collection 

Costs

(13) 

Total Amount 

Due Through 

Certification 

Date (Item 5)

(14) 

First/Only 

Disbursement 

Date

(mm-dd-yyyy)

(15) 

Separation

Date

(16) 

Loan Status 

Code

(17) 

IBR Information

(a) IBR Start Date

(b) Days of Economic 

Hardship Deferment

#1 (a) 

(b) 

#2 (a) 

(b)

#3 (a)

(b)

#4 (a) 

(b)

#5 (a)

(b)

#6 (a) 

(b)

#7 (a) 

(b)

#8 (a) 

(b)

#9 (a) 

(b)

#10 (a) 

(b)

(18) 

Total Payoff Amount

(19) Comments _______________________________________________________________________________________________________________________________________________________________________
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Instructions for Completing Federal Direct Consolidation Loan Verification Certificate

The borrower named in this Loan Verification Certificate (LVC) has 

requested a Direct Consolidation Loan to repay one or more eligible 

federal education loans. The borrower has identified one or more loans 

you hold as loans to be consolidated. As part of the application process 

for a Direct Consolidation Loan, each loan holder/servicer identified by 

the borrower must complete this LVC. After receiving the LVC from you 

and determining that the loans are eligible for consolidation, the U.S. 

Department of Education (ED) will pay off the borrower's debt to you 

using the information you provide on this LVC or, if you do not return 

this LVC by the specified deadline, by using information from ED’s 

National Student Loan Data System (NSLDS).

Before paying off the borrower’s loans, ED will send the borrower a 

notice that provides information about all of the loans and payoff 

amounts that have been verified, and informs the borrower of the 

deadline for notifying ED that he or she wants to cancel the Direct 

Consolidation Loan, or does not want to consolidate one or more of the 

loans listed in the notice. 

Upon receipt of payment from ED, you must notify the borrower that 

the loans that were with you have been paid in full. An overpayment 

from ED or any payments you receive from the borrower after you 

receive ED's payment must be sent to ED for application to the 

borrower's Direct Consolidation Loan. If the borrower contacts you 

about his or her account while the Direct Consolidation Loan application 

is in process, you should tell the borrower to continue to make regularly 

scheduled payments on the loan to avoid default.

Pursuant to 34 CFR 685.220 (f)(1)(i), this certificate must be completed 

and returned within 10 business days of the date received to the 

address provided on page 1 of this LVC.

Holder/Servicer Instructions:

Some of the information may be preprinted. Enter dates as month-dayyear (mm-dd-yyyy). Use only numbers. Example: June 1, 2014 = 06-01-

2014.

Item 1: Enter or correct the holder/servicer information.

Item 2: If the payoff check should be sent to a different institution 

and/or address than that in Item 1, enter the requested information.

Item 3: Enter or correct the borrower’s full name, Social Security 

Number, current address, and current area code/telephone number.

Item 4: Sign, date, and provide the other requested information.

Item 5: Enter the date you complete this certificate.

Note: If you are no longer the holder/servicer of one or more of the 

loans listed, complete the information for the loans you hold and 

indicate in Item 19 the new holder/servicer for the other loans, if 

known.

Item 6: Enter the account number assigned to each loan for which you 

are the holder/servicer. If you have multiple accounts for this borrower, 

list them as #1, #2, etc. If the account number is the same for each loan, 

enter “same” on the subsequent lines.

Item 7: Enter the loan type, using the codes shown in the chart on page

4.

Note: Loan type W should be used for other types of education 

loans that may not be consolidated, but that can be included as 

part of the borrower’s total indebtedness when assigning a 

repayment term. Explain in Item 19 the reason you believe a loan

may not be eligible for consolidation.

Item 8: Enter the annual interest rate (percent) in effect for the loan as 

of the certification date.

Item 9-12: Provide the payoff amount for each loan, which is the sum of 

the following, as of the certification date in Item 5:

Item 9: Principal outstanding (including capitalized interest)

Item 10: Unpaid accrued interest through certification date

Item 11: Unpaid fees and late charges, if applicable (as authorized 

by ED’s regulations)

Item 12: Unpaid collection costs, if applicable (as authorized by 

ED’s regulations)

Item 13: Enter the total amount of Items 9 through 12.

Item 14: Enter the first, or only, disbursement date for the loan.

Item 15: If the loan is in the grace period, enter the date the borrower 

completed his or her program, graduated, or ceased half-time 

enrollment.

Item 16: Enter the current status of the borrower’s accounts using the 

status codes from the list on page 4.

Item 17: Complete Items 17a and 17b only if: (i) the loan you hold is 

loan type A, D, E, or O (see instructions for Item 7); and (ii) the borrower 

has repaid or is currently repaying that loan under the Income-Based 

Repayment (IBR) Plan. Otherwise, leave Items 17a and 17b blank. If (i)

and (ii) apply, for each loan that has been or is currently in repayment 

under the IBR Plan:

17a: Enter the date the borrower’s IBR Plan started.

17b: Enter the number of days of economic hardship deferment the 

borrower has received since the IBR Plan.

Item 18: Enter the total payoff amount due to the holder/servicer 

shown on this certificate.

Item 19: Enter any appropriate comments. If unable to complete this 

certificate, please provide an explanation here.

Note: When the consolidation process is complete, we will send the

holder, servicer, or institution listed in Item 1 or 2 a payment for the 

sum of principal, interest, and allowable collection costs and fees. We 

will send a guaranty agency the payment for allowable collection costs 

and fees. However, the guaranty agency’s principal and interest 

balances will be accounted for by Treasury form SF 1081.
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Loan Status Codes

Code Loan Status

AV Submitted for Default Aversion

BA Bankruptcy

DE Deferment

DI Currently Subject to Judgment or Wage Garnishment 

Order

DN Default – Satisfactory Repayment Arrangements Not Made

DS Default – Satisfactory Repayment Arrangements Made

FB Forbearance

GR Grace

IS In School

ND Not Fully Disbursed

OT Other (explain in Item 19)

PF Paid in Full

RP Repayment

TD Technical Default -- More Than 270 Days Delinquent

TR Transferred to Another Servicer 

Loan Type Codes

Code Loan Type

A Subsidized Federal Stafford Loans

B Guaranteed Student Loans (GSL)

C Federal Insured Student Loans (FISL)

D Direct Subsidized Loans

E Direct Subsidized Consolidation Loans

F Federal Perkins Loans

G Unsubsidized (including Nonsubsidized) Federal Stafford 

Loans (including Nonsubsidized Stafford Loans)

H Federal Supplemental Loans for Students (SLS)

I Direct PLUS Loans for Graduate/Professional Students

J Unsubsidized Federal Consolidation Loans

K Direct Unsubsidized Consolidation Loans

L Direct Unsubsidized Loans

M National Direct Student Loans (NDSL)

N National Defense Student Loans (NDSL)

O Subsidized Federal Consolidation Loans

P Auxiliary Loans to Assist Students (ALAS)

Q Health Professions Student Loans (HPSL)

R Health Education Assistance Loans (HEAL)

S Federal PLUS Loans for Graduate/Professional Students

T Federal PLUS Loans for Parents

U Direct PLUS Loans for Parents

V Direct PLUS Consolidation Loans

Y Nursing Student Loans (NSL)

Z Loans for Disadvantaged Students (LDS)

W Education loans ineligible for consolidation

Paperwork Reduction Notice: According to the Paperwork Reduction 

Act of 1995, no persons are required to respond to a collection of 

information unless the collection displays a valid OMB control number. 

Public reporting burden for this collection of information is estimated to 

average 0.15 hours (9 minutes) per response, including time for 

reviewing instructions, searching existing data sources, gathering and 

maintaining the data needed, and completing and reviewing the 

collection of information. The obligation to respond to this collection is 

mandatory in accordance with 34 CFR 685.220(f)(1)(i). Send comments

regarding the burden estimate or any other aspect of this collection of 

information, including suggestions for reducing this burden, to the U.S. 

Department of Education, 400 Maryland Ave., SW, Washington, DC 

20210-4537 or email ICDocketMgr@ed.gov and reference OMB Control 

Number 1845-0053. Do not return the completed LVC to this address.