Default Prevention
You may be wondering what Default Prevention is and what
it means to you. CSLF is committed to helping student borrowers
avoid the negative consequences of delinquency and default.
Our goal is to equip students with useful information just
in case they find themselves encountering life experiences
that place them at risk of defaulting on their student
loans. CSLF’s Default Prevention Consultants can
assist you in your transition from student to the economic
realities of life after graduation.
Defaulting on a student loan is not a good idea. Many options are available to borrowers who are having a difficult time making a payment. If you are in this situation, contact your lender to try to make payment arrangements. The worst thing an individual can do is refuse to keep in contact with your lending institution or student loan servicer during a time of financial hardship. There are always options available to the responsible borrower. Among the possibilities are deferment and forbearance, which are discussed in detail on those pages.
Keep in mind that defaulting on a student loan hurts not only your credit, but the ability of your school to continue funding other students. High default rates can cause a school to have restrictions placed on the disbursement of loans or complete loss of federal funding.
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