Start Consolidating a defaulted private student loan

Consolidating a defaulted private student loan

The most important thing you can do is to take action now.

To qualify, you’ll need to agree in writing to make 9 on-time monthly payments within 10 months. Use this loan rehab calculator to estimate monthly payments for your defaulted student loans based on your circumstances, and download a VSAC Student Loan Rehabilitation Program agreement or budget form.

Go to My VSAC now If you've defaulted on a Vermont Advantage Loan, please contact the collection agency that VSAC has contracted to collect your loan: Windham Professionals Regional Adjustment Bureau If you don't know which agency is currently collecting your loan, please call us at 800-954-2440.

If you have federal student loans and a) have too many different payments to keep track off or b) would like to qualify for different repayment plans like income-driven repayment or Public Service Loan Forgiveness, consolidation might be a good idea!

Consolidating your federal loans will give you the opportunity to consolidate multiple loans into one (lower) monthly payment, and also let you choose a new repayment term and repayment plan.

If you answered “yes” to all of these, you might want to look into consolidating your loans.

If you’re more concerned about lowering your interest rate, private student loan consolidation, or refinancing, might be the better option for you.

If you’ve read about the pros and cons of student loan consolidation, and understand the differences between private and federal loan consolidation, you might have decided that federal loan consolidation is right for you.

Once you start the application process, you’ll need to complete it in one sitting.

And if you have any Parent PLUS loans, consolidating those with your other federal loans will mean you might lose access to certain repayment plans.

Remember to keep making your loan payments in a timely and consistent manner until your consolidation application is approved!

The only way to consolidate federal student loans is through the federal government, by using studentloans.gov, or by refinancing them through a private lender.