Deferments
and
Forbearances
and
Forbearances
Forbearances cannot start how many days in the future?
60 Days
What loan types are eligible for PAYE and REPAYE?
Direct Loans
In order to qualify for Teacher Loan Forgiveness, applicants must have worked at what kind of school?
A Title I School
A borrower's cycle date cannot occur after what date?
The 28th
Most student loans have a repayment plan term of how long?
10 years or 120 payments
What is the status code for an In-School Deferment?
D10
What is the forgiveness term for IBR plans?
25 years
When notified of a borrower's death, which action code should be used?
Death Notification (3DN)
After a borrower graduates, how long does a grace period last?
6 months
In what instance, can an Administrative Forbearance not be applied to a borrower's account?
If previously used for the same type of assistance
Which program is used to complete a Verbal IDR application?
MIDAS
What type of loans are not eligible for Teacher Loan Forgivness?
PLUS Loans
Some borrowers on Auto Debit are eligible to receive a __% Interest Rate Reduction
0.25%
As the principal balance decreases, what decreases as well?
The Daily Interest Accrual
Which Economic Hardship Deferment option requires the borrower (or someone in the borrower's household) to receive government assistance?
Economic Hardship Option 2
Consolidated Parent PLUS loans are eligible for what type of Income Driven Repayment plan?
Income-Contingent Repayment (ICR)
What type of loan has to be direct consolidated to qualify for PSLF?
commercial loans
How are payments allocated on an IDR & non IDR in a repay status?
IDR=interest, fees, principle
Non IDR= Fees, interest, Principle
Are student loans considered to be Secured or Unsecured loans?
Unsecured
What option for unemployment deferment do you use when borr is getting unemployment benefits?
Option B
In what instance is a Forced IDR placed on a borrower's account?
After the loan has previously defaulted and has since become eligible for rehabilitation
Can PLUS loan apply for Total and Permanent disability discharge, if the benefiting student is total and permanently disabled?
The PLUS loan borrower is still responsible for repaying the remaining balance of the loans
Does the due date advance when making payments in a deferment or forbearance?
In a deferment the payment will advance
In a forbearance if payment made with in the last 30 days of the forbearance it will advance due date, if payment made prior to the 30 days ending the due date will not advance.
When does Interest Capitalization?
when the status of the loan changes, example: forb, deferment or repayment plane change