Perkins Loan Rehabilitation Program
The Higher Education Amendments of 1998 created a Loan Rehabilitation program for Federal Perkins Loans. Under this program, Perkins borrowers have the opportunity to request rehabilitation of a defaulted loan. Rehabilitation must be requested by the borrower and means that, after making 9 on-time, consecutive monthly payments of an amount agreed to by the , the borrower's loan will be returned to regular repayment status. The Collection Unit will instruct the credit bureau(s) to remove the default from the borrower's credit history, and the borrower will be eligible to receive Title IV funds. In addition, any remaining deferment or cancellation benefits will be restored.
* NOTE: If your loan is in judgement status, you do not qualify for this program.