Students sitting on the third floor of the Student Center studying and having conversations.

Do I Qualify for Fresh Start?

In August, the US Department of Education announced the implementation of the “Fresh Start” Initiative to provide relief to student borrowers who are in default.

What is Fresh Start?

The Fresh Start program is designed to help students receive financial aid so that they can return to school and complete their degrees even though they have defaulted on a student loan(s). Traditionally, students with defaulted federal loans are not allowed to receive federal or state aid unless they rehabilitate their defaulted loan(s) by repaying the defaulted loan, entering and satisfying a repayment agreement, or consolidating their loans.

If you are grant eligible and eligible for Fresh Start, we will reinstate your grants but if you return to default, you will lose all aid eligibility again.

Under Fresh Start, students in default could potentially resolve a default (at least temporarily) by simply making a request through the servicer for the eligible defaulted loans or by returning to school.

CHECK NEST! Not everyone is eligible and paperwork may be required.

  • If we have reviewed your file, we may have added required paperwork for you to complete.
    • If you see requirements on NEST for you to complete, please complete them as soon as possible
    • Contact if you have questions or do not see requirements for you to complete

Some loans are automatically eligible to be removed from default!

  • If you entered default on or after March 13, 2020, please contact so that we may review your file and potentially reinstate your aid
  • If your defaulted loans are listed under an active bankruptcy, please contact

What if my loans don’t qualify?

If you are told that you will not be eligible for Fresh Start because you do not meet the required qualifications, please contact

In order for a defaulted loan to be transferred to a new servicer by returning to school, a new loan must be disbursed!

  • If you do not wish to borrow again please contact, to request that your loans be transferred to a new servicer and removed from default

The Fresh Start eligibility letter obtained from the servicer is not required for Fresh Start.

We are actively reviewing students, however, if you know that you are in default and are interested in Fresh Start, please contact us right away.

You must enroll and attend school before December 31, 2023 to take advantage of this program.

Avoid Scams! No one is going to reach out to you to do this process for you. Do NOT give anyone calling you any personal information about yourself or your loans.

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