Notification to Colleges and Universities of Delinquent FFELP Borrowers

NCSEAA works closely with College Foundation, Inc. (CFI) to ensure that borrowers in repayment of FFELP loans maintain their repayment responsibilities in order to avoid defaulting on those loans. If a borrower becomes more than 60 days delinquent in the repayment of a FFELP loan, CFI notifies NCSEAA of the delinquency and requests "default aversion assistance". This is a process similar to what was previously known as "pre-claims assistance". A borrower's defaulted loans could affect the default rate of the college or university the borrower attended when he or she received the loans. This in turn may affect the institution's ability to participate in Title IV federal student aid programs. Therefore, colleges and universities may wish to be notified of any default aversion assistance requests that apply to their current or former students. A college or university financial aid office may contact NCSEAA to make a blanket request to be notified monthly about such default aversion assistance requests. Requests should be sent to the Director of Guaranty Agency Services, NCSEAA, P. O. Box 14002, Research Triangle Park, NC 27709.