Institutions Encouraged to Provide Repayment Information to Former Students

The Department of Education recently sent a letter to institutions requesting that they provide certain repayment information to former students borrowers who have left since January 1, 2020. Institutions were asked to provide these students with:

• Reminders of their repayment obligations;
• Information on repayment options available at gov; and
• Encouragement to update contact details and loan status on gov.

The Department urged institutions to contact former students by June 30, and to target their efforts on borrowers who are currently delinquent in order to help prevent defaults. Information to assist institutions in identifying these borrowers will be provided in the future.

Additionally, the Department, through the Federal Student Aid Data Center, plans to publish institutional loan non-repayment rates o later this month. This initiative aims to provide greater transparency regarding each institution’s success in counseling borrowers and facilitating loan repayment. More details on this publication process will also be provided at a future date.

For more information, please contact:
Justin Monk