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(CB-02-18) (CB-02-18) Approval of the Federal Family Education Loan (FFEL) Program, Federal Perkins Loan (Perkins) Program, and William D. Ford Federal Direct Loan (Direct Loan) Program Total and Permanent Disability Discharge Application

Publication Date: December 2002

DCL ID: CB-02-18

Approval of the Federal Family Education Loan (FFEL) Program, Federal Perkins Loan (Perkins) Program, and William D. Ford Federal Direct Loan (Direct Loan) Program Total and Permanent Disability Discharge Application


Posted on 12-16-2002


December 2002

GEN-02-12
CB-02-18
L-02-237
G-02-343

Subject: Approval of the Federal Family Education Loan (FFEL) Program, Federal Perkins Loan (Perkins) Program, and William D. Ford Federal Direct Loan (Direct Loan) Program Total and Permanent Disability Discharge Application

Dear Partner:

This letter will serve as approval of the enclosed FFEL/Perkins/Direct Loan programs Loan Discharge Application: Total and Permanent Disability. This form is the only one that may be distributed for use for total and permanent disability discharge requests on or after March 31, 2003.

Implementation and Transition to New Forms

This form must be used when providing total and permanent disability discharge applications to borrowers on or after March 31, 2003. Other total and permanent disability discharge applications may still be processed after that date, but the enclosed form must be sent to borrowers for any total and permanent disability discharge request received on or after March 31, 2003.

Imaging Technology

The enclosed loan discharge application form requests the borrower to complete and sign the form in ink. This request is made to accommodate imaging technology, but a pencil signature does not invalidate the form. This is consistent with the use of other common FFEL and Direct Loan forms.

Changes from the Currently Approved Total and Permanent Disability Discharge Application

We have made the following changes to Loan Discharge Application: Total and Permanent Disability:

Section 3; Instructions to Physician; Note: Included a reference to veterans benefits in the Note.

Dear Partner Letter -- Page 2

Section 3; Item 1: Bolded the sentence “Do not use abbreviations or insurance codes.”

Section 3; Item 3a.: Bolded the Yes/No check boxes.

Printing Instructions

The enclosed form must be printed with black ink on white paper. The type face, point size, and general presentation of the form may not be changed from the enclosed form approved by the Secretary. The program names appear in the header of each form (“Federal Family Education Loan Program/Federal Perkins Loan Program/William D. Ford Federal Direct Loan Program”). The order of the program names may be changed as appropriate.

Loan holders should pre-print their name and address and provide a contact number for borrowers to call in the boxes provided for that purpose in Section 8 on page 2 of the form.

In developing the form, consideration was given to bar coding. Accordingly, the space at the top, bottom, or sides of the form may be used for this purpose.

Obtaining Copies for Reproduction

The form is available in PDF and Word formats as Attachments to this letter. In addition, the form is available in PDF format on the National Council of Higher Education Loan Programs (NCHELP) web site at www.nchelp.org.

Guaranty agencies and Perkins school lenders are responsible for ensuring that the form used is identical to the form approved by the Secretary. No changes may be made to the form except those expressly authorized above.

Sincerely,

Jeff Baker, Director
Program Development Division
Federal Student Aid