Going Back to School
It is now easy to restore your eligibility to receive additional Title IV federal financial aid. Basically, your options are:
- Repay or satisfy the loan in full.
- Make six agreed-upon monthly payments over a six month period. Your payment amount must be approved in advance by the Department. Every qualifying payment must be timely (received before the due date) and you cannot make all six payments as a single lump sum payment. Once your eligibility to receive additional federal financial aid has been restored after making six consecutive monthly payments, you must continue to make timely monthly payments to maintain your eligibility or else it will be permanently lost until the debt is resolved entirely. In other words, you may qualify for this program only once.
- Consolidate your loan through the William D. Ford Direct Loan Program.
- Rehabilitate your loan through our loan rehabilitation program.
Since defaulted student loans have no statute of limitations for enforceability, you would remain ineligible for additional federal financial aid until you complete one of the options mentioned above.