5. Loans Where You Pledged Collateral Other Than a Motor Vehicle (3)
- You left school and were entitled to a refund, but never received the money.
- You teach in a Department of Education-approved school serving low-income students or in designated teacher shortage areas (other types of teacher cancellations are available for Perkins loans).
- You serve in the U.S. military (partial concellation for Perkins loans only).
- You’re a full-time employee of a public or nonprofit agency providing services to lowincome, high-risk children and their families (Perkins loans only).
- You’re a full-time nurse or medical technician (Perkins loans only).
- You’re a full-time law enforcement or corrections officer (Perkins loans only).
- You’re a full-time staff member in a Head Start program (Perkins loans only).
- You’re a Peace Corps or VISTA volunteer (Perkins loans only).
To cancel a student loan—or to determine if you qualify for cancellation—call the holder of your loan or the Department of Education’s Debt Collection Services Office at 800-621-3115. Be aware that your loan holder may not inform you of all the options available to you. For this reason, it pays to first learn about your options using one of the resources listed in the suggested references icon above.
b. Obtaining a Deferment of Your Student Loan Payments
You may be able to defer (postpone) repayment of a federal student loan if you are not in default—that is, you have made your payments on time, are in the grace period after graduation or have been granted other deferments.
Taken From : Credit Repair by Attorneys Robin Leonard and Deanne Loonin
