When your student loan is being placed in default, you have a right to a review.

If you have trouble paying back your loan, miss payments, and don't make acceptable arrangements with your lender or loan servicer, your loan can go into default. This means HESC takes over the loan from the bank, makes sure the money is paid back, and reports the default to national credit bureaus.

Sometimes a loan is put into default in error. For instance, there may have been a delay processing a deferment request or a payment may have been misapplied or lost.

If you believe a mistake has been made with your loan which caused the default, you can ask for an Administrative Review.

  • When HESC buys your loan from the bank, they send you a letter explaining the default process and offering you the opportunity to enter a repayment agreement.
  • This letter also includes an application for an administrative review.
  • If your written request for review is received within 60 days from the date of the letter, HESC won't report the default to collection bureaus or add collection charges to your loan until the review process is over.

If you’re having trouble repaying or are in default on your loan, HESC will work with you to assess your situation and help you enter a satisfactory repayment agreement. For details, contact a representative at 1-866-991-4372.