What happens at end of rehab?

[macuser]

Does the CA find a lender and consolidate the loan/s and you find out via the mail that it's all taken care of?

 

Or, does the borrower find a lender to take over the rehabbed loan?

 

When appoaching the final month or two of rehab payments, is there anything the borrower should be doing other than making timely payments? If yes, what?

 

Nine month rehab, eighth pmt this month so need to know...

 

TIA

[newleaf63]

I assumed I was in rehab, but found out later I wasn't officially because they didn't have a rehab agreement on file for me. They sent me a new form and once I sent it in, within a couple weeks I got a letter from the new lender with my due date of first payment, interest rate, payment amounts, etc.

 

A week or two after that, a letter came from the Dept of Ed congratulating me on finishing rehab and informing me who my new lender was, etc.

 

So if I were you, I would call and make sure you are officially in rehab. Then be sure to read everything carefully that you receive so you know exactly when your 1st payment is due and where to send it.

 

My rehab payments were directly with the Dept of Ed, so I am not sure if it will work as easily with a CA.

 

Hope this helps.

 

Way to go on the rehab!

[LynnInMN]

Does the CA find a lender and consolidate the loan/s and you find out via the mail that it's all taken care of?

 

Or, does the borrower find a lender to take over the rehabbed loan?

 

Once you make the required number of payments and have signed the rehab agreement, the guarantor holding the loan will find a lender for you.

 

When appoaching the final month or two of rehab payments, is there anything the borrower should be doing other than making timely payments? If yes, what?

 

Touch base with the CA...most guarantors won't do any paperwork until after the 9th payment has been made.

 

Nine month rehab, eighth pmt this month so need to know...

 

TIA

[macuser]

I assumed I was in rehab, but found out later I wasn't officially because they didn't have a rehab agreement on file for me. They sent me a new form and once I sent it in, within a couple weeks I got a letter from the new lender with my due date of first payment, interest rate, payment amounts, etc.

 

A week or two after that, a letter came from the Dept of Ed congratulating me on finishing rehab and informing me who my new lender was, etc.

 

So if I were you, I would call and make sure you are officially in rehab. Then be sure to read everything carefully that you receive so you know exactly when your 1st payment is due and where to send it.

 

My rehab payments were directly with the Dept of Ed, so I am not sure if it will work as easily with a CA.

 

Hope this helps.

 

Way to go on the rehab!

Sorry to hear abt your problems. But you say you didn't have to start over, right? You just signed the form and everything was square to conclude your rehab?

 

My rehab agreement was/is in writing including the payment amt, so they cannot tell me the loan has not been in rehab. I sent it in and have twice since then mailed a copy of the original one. Their monthly duns say something to the effect of "pay this amt per agreement; if you don't, agreement may be cancelled." They always mail the duns too late to be useful. If I were to wait on it, the pmt would always be late so I've always used the one for the prev month but included a letter listing pmts to date and indicating which pmt is enclosed. This month, no dun...... so far.

 

We did the rehab agreement in writing from the get go.

 

Thanks for the replies!

[newleaf63]

Sorry to hear abt your problems. But you say you didn't have to start over, right? You just signed the form and everything was square to conclude your rehab?

 

My rehab agreement was/is in writing including the payment amt, so they cannot tell me the loan has not been in rehab. I sent it in and have twice since then mailed a copy of the original one. Their monthly duns say something to the effect of "pay this amt per agreement; if you don't, agreement may be cancelled." They always mail the duns too late to be useful. If I were to wait on it, the pmt would always be late so I've always used the one for the prev month but included a letter listing pmts to date and indicating which pmt is enclosed. This month, no dun...... so far.

 

We did the rehab agreement in writing from the get go.

 

Thanks for the replies!

 

I didn't have to start over, that is correct. Once they got my signed form, it all went pretty fast and with no more effort on my part.

 

It's good that you are being proactive in making sure you send in your payment at the right time and not waiting for them. That's a really good habit to continue!