Consolidating fafsa student loans
Consolidating fafsa student loans - when to ask a girl out online dating
Late payments will remain on your credit report for seven years from when they were first reported.It’s important that you fully understand loan rehabilitation and loan consolidation before making your decision.
*NOTE: We previously indicated that loan consolidation would result in removal of the record of default from a borrower’s credit history.
Your required monthly payment amount is determined by your loan holder.
Find out where to go for information about your Perkins Loan.
Once you have made the required nine payments, your loans will no longer be in default.
To rehabilitate a defaulted Federal Perkins Loan, you must make a full monthly payment each month, within 20 days of the due date, for nine consecutive months.
That cell of the table has now been corrected to indicate that loan consolidation will not result in removal of the record of default from the borrower’s credit history.
If you rehabilitate a defaulted loan, the record of the default will be removed from your credit history.
To rehabilitate your loan, you must choose one of the two payment amounts.
Your loan holder may be collecting payments on your defaulted loan through wage garnishment or Treasury offset (taking all or part of your tax refunds or other government payments).
Learn more about loan rehabilitation and loan consolidation.
Unless you make three voluntary, on-time, full monthly payments on a defaulted loan before you consolidate it, your choice of repayment plans for the new Direct Consolidation Loan will be limited to one of the income-driven repayment plans.
When your loan is rehabilitated, the default status will be removed from your loan, and collection of payments through wage garnishment or Treasury offset will stop.