Yes, you have many options to help you get out of default on your federal student loans.
Have you failed to make your payments on your federal student loans?
Yes, I have not made payments lately and are in default.
You can find out how to get out of default and not let your current consequences of default ruin your financial future.
My loan amount is held by ED. what happens when the debt collector gets involved?
If your loan is placed with a collection agency, you will be responsible for costs incurred by your loan holder to get payment. These costs amount to 17.92% of your loan amount if your loan is held by ED. Other loan holders may charge a different amount.
Yes, of course. Now I have to inquire about Direct Consolidation Loan. After defaulted loans have been merged, what comes next?
Your Direct Consolidation Loan will be eligible for benefits such as deferment, forbearance, and loan forgiveness and you could receive additional financial aid; and the defaulted loan would still be on your record of credit history.
Very well. I would also like to know the loan transfer procedure, what will happen if my loan is transferred to another loan servicer?
You should receive an email or letter from your assigned servicer to tell you about the transfer.
Do you know about how long the mail or letter takes to arrive? What are the real benefits for me with loan rehabilitation?
Are you asking the benefits of when a student loan is in rehabilitation?
Yes, that is what I want to know.
The default status will be removed from your loan and any garnishments will be stopped.
Will eligibility for additional benefits be available for me again?