Student loans

Basic Student Loan links....

Department of Education
www.ed.gov

Basic Financial Aid Information http://www.finaid.org/loans/

NSLDS
Who has my loans??
http://www.nslds.ed.gov/


National Student Clearinghouse
http://www.nslc.org/students/default.htm

Contact Information for FFELP (Federal Family Education Loan Program) Guarantors
http://www.finaid.org/loans/guaranteeagencies.phtml


Default Links

Common Disputes Involving Defaulted Student Loans http://www.ed.gov/offices/OSFAP/DCS/disputes.html

Student Loan Rehabilitation

In a nutshell...you can resolve your default by rehabbing your student loan. This requires 9 on time monthly payments for Stafford/GSL loans and 12 on time payments for Perkins/NDSL loans. Standard payments to qualify for rehab is a 1% payment. If you cannot afford this payment, the Higher Education Act permits you to ask for a "reasonable and affordable payment". Generally you must supply whatever supporting documentation they ask for...pay stubs, financial statement. Defaulted Direct Loans will generally waive the collection costs upon completion of the rehab. FFELP lenders will not.

http://www.ed.gov/offices/OSFAP/DCS/rehabilitation.html

Administrative Wage Government Rules
If you receive a notice of AWG, you MUST return the paperwork within 30 days of the date on the letter. Call the CA to set up a payment plan to avoid AWG, but still return the paperwork.
http://www.ed.gov/offices/OSFAP/DCS/awg.html

Department of Education collection agencies
http://www.ed.gov/offices/OSFAP/DCS/....agencies.html


Direct Loans
including where to get interest statements.
www.dlservicer.ed.gov/

Direct Loan Consolidations
Direct Loans is the only program that offers "Income Contingent Repayment Plans". FFELP consolidating lenders only have to offer "income sensitive"...these are not the same. This program will also write off any balance remaining after you have been in repayment for 25 years.
http://loanconsolidation.ed.gov/

Student loan Ombudsman
The student loan Ombudsman is available to assist you if the CA or guarantor is not following the rules set forth in the HEA. You should not be contacting just because you don't want to deal with the CA assigned to the account or the payment is not what you want to pay vs what you can afford to pay. They will not intervene in FRCA issues nor can they assist with private loan matters.
http://www.fsahelp.ed.gov/about/about.html

Student Loan Cancelations http://www.ed.gov/offices/OSFAP/DCS/loan.cancellation.discharge.html

Private Loan Consolidations
http://www.finaid.org/loans/privateconsolidation.phtml


HEA Link affecting FRCA
http://www.ed.gov/policy/highered/leg/hea98/HR6.pdf

Notwithstanding paragraphs (4) and (6) (FOOTNOTE 1) of subsection (a) of section 605 of the Fair Credit Reporting Act (15 U.S.C. 1681c(a)(4), (a)(6)), a consumer reporting agency may make a report containing information received from the Secretary or a guaranty agency, eligible lender, or subsequent hold regarding the status of a borrower's defaulted account on a loan guaranteed under this part until -

(1) 7 years from the date on which the Secretary or the agency paid a claim to the holder on the guaranty;
(2) 7 years from the date the Secretary, guaranty agency,eligible lender, or subsequent holder first reported the account to the consumer reporting agency; or

(3) in the case of a borrower who reenters repayment after defaulting on a loan and subsequently goes into default on such loan, 7 years from the date the loan entered default such subsequent time.

Thank you so much for posting this---it will come in very handy for me and I know many more.

Soaplady,
This is an great post.I will contact the appropiate person and request it become a sticky.Good work.

Congrats,Soaplady on your sticky.This info will help out our community.

Student Loan Payment Calculator.

http://www.finaid.org/calculators/loanpayments.phtml

My bf student loan was in default. Last Feb he set up a payment plan with the collection people. He authorized them to take the payment out once a month for a year over the phone. On his 11th payment stub, it said you have "one payment left till your loan is rehabilitated." It also said to wait for written notice of that happening. He's not gotten a single thing from them in the mail since, and the collection agency isn't reporting timely to the DOE, so they took his tax refund, saying he was still in default.
And even htough his agreement to debit the money is done (as we waited a few days to see if it was coming out and it never did), he's still sending the payments so as not to default again.
They also call all the time, and one call the other day the person on the phone said they needed info, only thing I verified was the correct address, which they already have, she said the payments needed to go through them and not where he was sending them, even though the paperwork and money 'coupon' states that address to send payment too, and that comes from them. She then tried to tell me that the rehab letter was "returned in the mail" and so on.
But I need to know is there rules and laws regarding rehab and what they have to do? what's the next step? Help!


Are collection agencies required to send you that notice of rehab?

I need some clarification on this loan rehab program that DCS offers. My husband has been in the payment process. he paid their 1%, he has paid 4 months into this program, and 5 left to pay. they assured him that it will be removed from his history and that a loaner will purchase this old student loan where he can set up payments (some 12 payments) to pay off this old student loan that is a major lien on this credit report. My question is, is this program LIGIT? we are trying to buy a new home, we have asked them if there is any way he can just PAY these people in one lump sum and get it over with, and they have said that he can pay it, but that means it will void the program and that they will notify the credit bureu that the lien was PAID but it wont be removed from him credit history. I need to know if there is any other way we can solve this, the quick and efficient way (paying it and getting it removed from his credit history) I want to know if this rehab program is ligit, because WHO WOULDNT WANT THEIR MONIES UPFRONT!!... its all very confusing. Can anyone please help. We need to buy a home, we are expecting a baby and we need these issues resolved pronto!

I answered this in the main forum.

I am in default also hun and am considering consolidation with Willaim D. Ford Direct Loans.
http://www.ed.gov/offices/OSFAP/DirectLoan/index.html

I owe $36,000+ which are all in default. Now if I consolidate they will pay-off my 8 seperate loans...leaving me with only 1 payment. However, even though all the loans will show as paid in full on my credit report....the fact that they were in default will remain on my report for 7 yrs. I think it's 7 yrs...not quite sure about the time limit...but it's a long time. and it will continue to hurt mine and my husband's credit.

I don't think this is fair and I don't understand it...but it is what it is. If you can afford to continue with the rehab program it is the best way to go.

Please know that you are not alone....God Bless!