Going back, what should I do first to re-active aid?

Question

Plan to go back and become a math teacher. Have 2K in default from 1995 (paid some) which has grown to 4K. Want to go back in Jan. Current income will qualify me for aid, need to clear default.

1)I saw where you can make six payments of $50 (or whatever your income qualifies) and default status is cleared, is this true and how long to clear

2)Family willing to negociate the balance, if paid how long to clear default then?

Also, should this financial aid correction take till summer semester am I hurting anything by taking a class or two in the mean time. Get a jump on my maths I am going to really need them.

PS- I am in Florida, they have a teacher critical need program, any idea of how soon that can start?

Answer 1

if you defaulted on a stafford student loan, that would mean that the bank collected on your loan through the state guarantor that you used in obtaining the loan. you would first need to contact them about rehabilitating your student loan. the monthly amount will vary though. generally speaking, your loan can be pulled out of default if you can pay on time over a period of six months. the program is more interested in your character and less in your checkbook. good luck.