Tools Library

 

Tools Library

Deferments and Cancellations

All forms for applying for deferments, cancellations or forgiveness of loans are available on the ECSI website. Follow all instructions on your form carefully and mail it to the appropriate address listed on the form. If you omit information, your request will be declined and you will be notified of the information that is missing and how to resubmit the form. All benefits and repayment decisions and information will be delivered according to your communication preferences (mail or email).

If you have questions about the forms or the options available, contact an ECSI customer service advocate at (888) 549-3274.

About Deferments

A deferment is a temporary postponement of payment on a loan under certain conditions. If you qualify for a deferment, you will generally not be liable for any interest that might otherwise accrue while your loan is in deferment.

For Federal Perkins Loans, after the end of a qualifying deferment, you will not be liable for any interest that might otherwise accrue for a six-month period. Perkins Loan deferments include, but are not limited to, continued undergraduate enrollment, economic hardship, unemployment, graduate fellowship enrollment, temporary total disability, and Peace Corps service. To qualify, you must meet the requirements for each option. For more information about federal loan deferments, see the Deferment and Forebearance page on the Federal Student Aid website. 

For institutional loans, consult your promissory note for a description of available deferments.

A list of available deferment forms is on the ECSI website

About Cancellations and Loan Forgiveness

Loan cancellation, sometimes called loan forgiveness, refers to the release of your obligation to repay your loan. If you meet the eligibility requirements for a cancellation of your loan, you may cancel some or all of your outstanding principal balance and interest. Cancellation is offered for qualifying service (employment or volunteer work) performed after the enrollment period covered by the loan.

For Federal Perkins Loans, qualifying service includes, but is not limited to, teaching and early childhood education, law enforcement, nursing or medical technician services, firefighting, and military and Peace Corps service. For more information on federal loan cancellations, see the Forgiveness, Cancellation and Discharge page on the Federal Student Aid website.

For institutional loans, consult your promissory note for a description of available cancellation options.

A list of cancellation forms and explanations are available on the ECSI website.

About Loan Discharge

Like loan cancellation or forgiveness, discharge refers to the release of a borrower from the obligation to repay his or her loan.

For Federal Perkins Loans, discharge includes death, total and permanent disability, and school closure. For private institutional loans, consult your promissory note for a description of available discharge options.. For more information on federal loan cancellations, see the Forgiveness, Cancellation and Discharge page on the Federal Student Aid website.

About Loan Rehabilitation

If you default on your Federal Perkins Loan, and that loan has not been reduced to a judgment against you as a result of litigation, you can rehabilitate the loan by requesting the rehabilitation and making nine consecutive on-time monthly payments. If you successfully rehabilitate your loan, you will again be subject to the terms and conditions (including the deferment and forbearance options noted above) of your Federal Perkins Loan promissory note. You may only rehabilitate a defaulted Federal Perkins Loan once.

For institutional loans, consult your promissory note for information on rehabilitation options.