Applying for student debt relief programs can be a challenging process, even with efforts made by President Joe Biden to simplify access. Unfortunately, many applications are denied for various reasons. If you’ve faced rejection, here’s a guide on what to do next based on the program you applied for.
General Steps to Take After Rejection
Regardless of the program, there are essential steps to follow after receiving a rejection notice:
- Understand the Reason for Rejection
Carefully review the rejection letter to identify why your application was denied. This clarity will help determine your next course of action. - Evaluate Your Options to Appeal
Check if the program allows you to appeal the decision and gather additional documentation to strengthen your case. - Seek Professional Assistance
Consider consulting a qualified professional, such as a student loan advisor or legal expert, to guide you through the administrative or legal process. - Explore Legal Action as a Last Resort
If all else fails, you may take your case to federal court. However, the likelihood of success largely depends on the specific circumstances of your case.
Actions to Take for Specific Programs
Rejection from the Public Service Loan Forgiveness (PSLF) Program
The Public Service Loan Forgiveness (PSLF) program has notoriously stringent requirements, with 98% of applications denied between 2020 and 2021. However, you can take the following steps if your application is rejected:
| Reason for Rejection | Next Steps |
|---|---|
| Not having a qualified federal loan | Apply for a Direct Loan Consolidation to meet eligibility requirements. |
| Not paying under a qualified repayment plan | Submit an application for the Temporary Expanded Public Service Loan Forgiveness (TEPSLF). |
| Miscount or failure to count qualified payments | Request a manual audit of your payment history by your student loan servicer. |
If a manual audit doesn’t resolve the issue, contact the FSA Feedback Unit or submit a complaint to the Department of Education’s Ombudsman Group for further review.
Rejection from the Borrower Defense to Repayment (BDR) Program
The Borrower Defense to Repayment (BDR) program has faced significant political and legal challenges, leading to delays and rejections. Here’s what you can do:
- For Pending Applications
Call the Borrower Defense hotline to check the status of your application and request updates. - For Rejected Applications
- File a request for reconsideration, providing new evidence or additional details to support your claim.
- If you have new information about your school’s fraudulent activities, submit it with a fresh application.
Rejection from the Total and Permanent Disability (TPD) Program
The Total and Permanent Disability (TPD) program assists borrowers with severe conditions that prevent gainful employment. If your application was denied, consider the following:
- Appeal the Decision Within a Year
Submit additional supporting documents, such as medical records, physician statements, or certifications, to strengthen your appeal. - File a New Application
If your condition worsens or if it has been over a year since the rejection, submit a new application with updated information.
FAQs
What should I include in an appeal for student loan forgiveness?
Include all relevant documents, such as your rejection notice, additional evidence supporting your claim, and a detailed explanation of why the decision should be reconsidered.
How long does it take to process an appeal for student loan forgiveness?
The processing time varies by program. Contact the program’s support hotline for specific timelines.
Can I reapply for student loan forgiveness after a rejection?
Yes, in most cases, you can reapply, especially if you have new or updated information.
