SPRINGFIELD, Ill. (WIFR) – Illinois’ attorney general encourages state residents facing default on student loans to apply for a program that could help them get back on track.
Most federal loans go into default if payments are missed for 270 days. That leads to collections calls, wage garnishment or the withholding of tax refunds or social security payments.
“If you put off making your payments or had hardships that made it feel impossible, you are not alone, and there are options,” Attorney General Kwame Raoul says in a news release. “Borrowers can bring their student loans out of default by signing up for the Department of Education’s Fresh Start program before time runs out.”
The program will only allow borrowers to get their loans out of default – it is not a loan forgiveness program.
The application deadline for the Fresh Start program is Sept. 30, and borrowers can find out if their loans are in default by visiting the government’s student aid website. Program enrollment can be done via the same website.
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