What is "default?"

If you become 270 days or more delinquent on your federal student loan, your loan will be in default. Unfortunately, there are consequences that come with defaulting on your loan.

How can I remove my loan from default?

You have several options if you have a defaulted student loan:

Talk with your guaranty agency or loan holder to determine which option is best for you. If your guaranty agency is the MDHE, you may contact us at (800) 473-6757. Or, if your loan has been assigned to one of the MDHE's collection agencies, you may contact that agency directly.

You may also wish to review the MDHE's publication, Help for Defaulted Borrowers, for more helpful advice.

Authorization for Release of Information

If you would like to give the MDHE permission to speak with another individual regarding your defaulted student loan account, you must complete the Authorization for Release of Information Form. Complete this form and return it to the MDHE via mail or fax:

Missouri Department of Higher Education
P.O. Box 1469
Jefferson City, MO 65102-1469 

Fax: (573) 526-0685

The MDHE will not accept emailed attachments of this form.

If I am in default, can I return to school and receive additional federal financial aid?

It is possible, after satisfactory payment requirements have been met, to:

  • Rehabilitate your loan. Rehabilitation will allow you to regain eligibility for future federal student aid, return to a standard repayment plan, and regain eligibility for deferments and forbearances.
  • Reinstate your eligibility for federal Title IV student aid. If your guaranty agency is the MDHE, you may mail or fax your written request for reinstatement to Borrower Services. If your request is approved, the MDHE will mail you a confirmation/approval letter. Also, be sure to include the following in your written request.
    • Include your full name, SSN, defaulted loan code, and current address.
    • Sign your written request for federal Title IV aid reinstatement.
    • Include the contact information for the school you are currently attending or planning to attend. Include the school name, contact person, and school fax number. If you would like the MDHE to fax a copy of your approval letter, make sure you specifically request this.

Are there any special considerations for veterans?

There are special student loan provisions and resources available to veterans. The Missouri Department of Higher Education is a member of the National Council of Higher Education Resources, and NCHER has created a federal student loan resource center especially for our men and women in uniform. Visit this resource center to learn about the Servicemembers Civil Relief Act and more.