Who Qualifies for In-School Closure?

by Matthew RossDecember 3rd 2019

Who Qualifies?

In order to qualify for a complete dismissal of your federal student loans you must have been enrolled in the school when it closed, and you did not complete your degree or program of study because of the closure. You are also eligible if your school closed within 120 days of you withdrawing.

Who Doesn't Qualify?

If you withdrew more than 120 days before the school closed, except in very unusual circumstances, you are not qualified for loan discharge under the in-school closure program. You are also not eligible if you are completing a comparable education program at another school. Finally, if you completed all the coursework for the program before the school closed, regardless if you did not receive a diploma or not, you become ineligible for loan forgiveness under the in-school closure program. Borrowers who do not qualify may qualify for loan forgiveness under the borrowers defense program.

How Does This Benefit Me?

By receiving closed school loan discharge, you will no longer have an obligation to pay on the loan any longer. You are also entitled to receive reimbursement for any payments you have already made toward your loans. Finally, any adverse marks on your credit associated with this loan will be completely removed.By receiving closed school loan discharge, you will no longer have an obligation to pay on the loan any longer. You are also entitled to receive reimbursement for any payments you have already made toward your loans. Finally, any adverse marks on your credit associated with this loan will be completely removed.

How Do I Begin The Application Process?

The application is a very time-consuming process. Qualified enrollment agents can help speed up the application process and assure your application is filled out in its entirety and that you have all the required supporting documents. The process begins with a short interview to determine your needs and severity of your case. You will be educated on the process and any questions will be answered at this time. After the application is completed it will be submitted to the borrower for approval and then submitted to the Department of Education for processing. For more information fill out the form below and a qualified represenitive will contact you shortly.