Main menu

Call 800-639-3043 or Apply Now for FREE CONSULT and FREE PRE-APPROVAL

Defaulted Student Loan Assistance

Defaulted Student Loan Assistance

Numerous students and graduates throughout the U.S. are finding it hard to keep up with student loan payments.  Some have even made the tough decision of student loan default due to various reasons such as job loss or even simply having a degree in a field with a lower class of income.  Others may have taken high interest private student loans along with aid from federal education loans, not realizing the amount that would have to be paid once their student loans became due.  Of course there are other factors that can cause defaulted student loans, but that is not the focus. For those of you that feel you may soon experience student loan default, we suggest looking into a student loan debt consolidation or defaulted student loan rehabilitation.  For the many that already have past due student loans, we recommend either defaulted student loan rehabilitation or potentially consolidating defaulted student loans through a student consolidation loan depending on the circumstances. 

Apply Now or Call 800-639-3043 for a FREE CONSULTATION and FREE PRE-APPROVAL                          

Consequences of Student Loan Default

  • The entire unpaid balance of your student loan and any interest is immediately due and payable.
  • You lose eligibility for deferment, forbearance, and repayment plans.
  • You lose eligibility for additional federal student aid.
  • Your delinquent student loan account is assigned to a collection agency.
  • The student loan will be reported as delinquent to credit bureaus, damaging your credit rating. This will affect your ability to buy a car or house or to get a credit card. 
  • Your federal and state taxes may be withheld through a tax offset. This means that the Internal Revenue Service can take your federal and state tax refund to collect any of your defaulted student loan debt.
  • Your student loan debt will increase because of the late fees, additional interest, court costs, collection fees, attorney’s fees, and any other costs associated with the   delinquent student loan collection process.
  • Your employer, at the request of the federal government or through court order can withhold money from your pay. This process is called wage garnishment.
  • The loan holder can take legal action against you, and you may not be able to purchase or sell assets such as real estate.
  • Federal employees face the possibility of having 15% of their disposable pay offset by their employer toward repayment of their loan through Federal Salary Offset.
  • It will take years to re-establish your credit and recover from default.

Apply Now or Call 800-639-3043 for a FREE CONSULTATION and FREE PRE-APPROVAL

Defaulted Student Loan Rehabilitation or Defaulted Student Loan Debt Consolidation

There are options available that can get your loans out of default and back in good standing, remove delinquencies, or even pay off your existing defaulted student loans.  

Benefits of Rehabilitation or Defaulted Student Loan Debt Consolidation:

  • End Administrative Wage Garnishment 
  • Stop Federal Tax Offsets!
  • Remove Defaults From Your Federal Student Loans
  • Get Back In Good Credit Status!
  • Restore Your Title IV Financial Aid Eligibility and Benefits!
  • Stop Harassing and Embarrassing Collection Agency Calls!
  • Consolidate All Your Federal Student Loans Into One Easy Payment!
  • Get Flexible Repayment Options and Your Federal Loan Rights Such As Deferment and Forbearance Restored!