Survival Guidance for Student Loan

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STUDENT LOAN RESOURCES

Prior to attending school and before the student graduates, it is mandatory for federal student loan borrowers to go through entrance counseling to help the student and the student’s family understands their responsibilities, rights, and loan repayment options. If the student has questions about their loans which cannot be answered by college officials, contact their lender or the Department of Education directly.
U.S. Department of Education 
www.studentaid.ed.gov 
1-800-4FED-AID

The Federal Student Aid Collections Website provides information if the borrower defaults on their student loan. Also provides information on Federal Pell Grants, Federal Perkins Loans, Direct Loans, Federal Supplemental Educational Opportunity Grants, and Federal Family Education Loans.
www.ed.gov/offices/OSFAP/DCS/index .html 

The borrower can set up a monthly payment plan if their loan is in default by contacting the customer service center for the U.S. Department of Education at 1-800-621-3115.
Mail defaulted loan payments to the following address: 
National Payment Center 
P.O. Box 4169 
Greenville, TX 75403-4169

If the loan borrower has defaulted on a loan, then they must participate and complete the loan rehabilitation program. Defaulting on a loan will damage the borrower’s credit. The loan rehabilitation program obligates the borrower to make 12 consecutive on time payments at a reasonable interest rate. After 12 consecutive on time payments, the defaulted loan will be rehabilitated and it will be reported as in good standing. For more information about the loan rehabilitation program go to: www.ed.gov/offices/OSFAP/DCS/rehabilitation.html.

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Student Loans 101