What is loan rehabilitation?
Updated October 7, 2022
Loan rehabilitation is one way to get out of default by setting up a payment plan with the collection agency and making a series of agreed-upon payments on time. After you make the agreed number of payments your loan will move out of default. Be aware: Rehabilitating a loan is a lengthy process. We strongly recommend you avoid default in the first place.
Visit the Federal Student Aid website to learn more.