I know enough from the credit forum is to stay off the phone. But where should I start if I have 2 Perkins from a public university that are in default by 4 years or more. I keep reading about rehab. How can I go about getting them into rehab ? And what are the reporting advantages? The university is reporting on my CRAs but I keep getting letters from ACS. Since these are so old can I rehab them? I have Staffords in deferment.

Any info would be appreciated.

Thanks.

Please don't bash me because of this I know what I owe and I am trying to correct my wrong.

Thanks, will do tomorrow, its after their office hours. I've been hiding this in shame for so many years and just needed a step in the right direction.

What's true about normal consumer debts is not generally true here.

Start by either checking NSLDS to see who is currently servicing the loan, or by calling the school for that info. Once you know who you need to talk to, call them. I don't personally recommend sending letters.

When you call, give them the appropriate info* so they can locate & update your account, and just tell them right up front that you are calling because you want to rehabilitate your defaulted loan.

For Perkins loans, you need to make 12 consecutive on-time payments to be eligible for rehab. You have the right to payments that are affordable to you, and reasonable based on what you owe. You are not required to make a down payment.

Please let us know what happens. Good luck!


*it's appropriate for them to verify name, ssn, & dob before discussing account /releasing information (not optional). They will ask for current address and phone (optional)... I would recommend giving them your address so they can send you correspondence about your loans. Don't give a phone # you don't want to be called at.