June 16, 2017
I had 3 Direct Stafford Loans, which I refinanced into a Consolidation Loan. Unbeknownst to me, an FFEL Consolidation Loan. As I have recently discovered, FFEL loans are not eligible for the PSLF program. I've now been paying on it ten years, and was just starting to get excited that my loan would be forgiven, as I've been in public service the last 10 years.
Do you see any recourse I could take? I don't understand how it even happened in the first place - how do Direct loans become non-Direct loans?!?! I'm just flabbergasted that it could have even happened. *insert frustration here* At this point, I only have about $4,500 left, so refinancing into a Direct Consolidation loan makes no sense. Just thought I'd see if anyone else has faced a similar situation. Thanks!
May 3, 2014
A bunch of people are in the same boat as you... from the looks of the Department of Education's stats, about 1 out of 3 certification applications are being rejected.
A number of people have posted similar issues in this forum and I'm not personally aware of any recourse. The current administration has also proposed eliminating PSLF, so odds are pretty good that they won't be taking any steps to help out borrowers in your situation.
Having only $4,500 is definitely a positive. This issue often shows up for people who have over ten times more debt than you.
I wish I had better news, but I don't.
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