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Federal Student Loans: Better Oversight Could Improve Defaulted Loan Rehabilitation. Report to Congressional Requesters. GAO-14-256
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Emrey-Arras, Melissa – US Government Accountability Office, 2014
The Department of Education (Education) relies on collection agencies to assist borrowers in rehabilitating defaulted student loans, which allows borrowers who make nine on-time monthly payments within 10 months to have the default removed from their credit reports. Education works with 22 collection agencies to locate borrowers and explain…
Descriptors: Federal Aid, Student Financial Aid, Student Loan Programs, Loan Default