Is there anyway to qualify for financial aid if you have a defaulted student loan?

Question

and yes I am making payments on it and I am not a dead beat

Answer 1

Are you in a rehabilitation program at the moment? As long as your loan shows as default, you will not be able to qualify for any new financial aid. The default status will remain until you complete the program and the loan is rehabilitated. The only other way is if you have any good loans with Direct Student Loans, you can consolidate the defaulted loan with those and have it show as paid off. However, this means you lose all the benefits of the rehabilitation program and the bad credit remains on your report.

FYI - In response to the other comment, once a loan goes into default, you lose all the privileges associated with that loan. So going back to school even on your own dime will not cease the payment responsibilites for the defaulted loan as you no longer qualify for forbearance or deferment benefits. Once you complete the rehabilitation program, you will again become eligible for these benefits.

Answer 2

The problem with Sallie Mae is there isn't any human to talk to. The people on the telephone have no authority nor can you get any appointment with them. The only positive observations I have seen are: 1) Those involved in the health care business are forgiven of their loan(s); 2) If you re-enroll as a full-time student, the loan is put on hold, but then you'd have to pay as you go the first year.

I'd encourage you to explore the link I put in "source" below...

Answer 3

Well it depends. If you are in default on a federal loan, then you wont be eligible for federal monies. However, you are eligible for state grants. I know that in Ohio, where I live, you can get an Ohio Instructional Grant. Try talking to someone at the school you want to go to and tell them you are paying on it, they may be able to get you a special deal where if you keep paying you can get more loans. I would check your states higher education grants and loans. Good luck.

Answer 4

A pell furnish isn't a private loan it quite is a furnish. The stability ought to have been sent to you in case you qualified for it from the college. there become no reason to deliver it lower back. that money become disbursed to you to pay for training, books, and different pupil proper costs alongside with housing and fees. in case you in actuality had a unsubsidized/backed loan you would be sent charge for the stability of the loan to be unfolded over the subsequent 10 years or till it quite is paid off because of fact the minimum volume of the month-to-month charge is $50.