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Summary: Date of Default for Assignments to the Conditional Disability Discharge (CDD) Unit

Publication Date: January 8, 2007

Author: Gary Hopkins, General Manager, Borrower Services, Federal Student Aid

Summary: Date of Default for Assignments to the Conditional Disability Discharge (CDD) Unit

Posted on 01-08-2007

This message reminds you not to place a date in the Date of Default field when assigning loans to the Department's CDD Unit that are not in default.

This message also requests you to assist the CDD Unit in correcting Date of Default data for loans that your agency previously assigned to the CDD Unit.

The attachments to this announcement provide specific guidance for FFEL guaranty agencies, as well as Perkins school lenders.

It is very important that you adhere to the attached instructions when assigning loans to the CDD Unit, because the presence of a default date indicates to us that a loan is in default. This means that a non-defaulted loan mistakenly submitted with a default date will be incorrectly assigned to our Collections unit for default servicing, if it is determined that the borrower is not eligible for a Total and Permanent Disability discharge.

Please send all CDD assignment materials (including tapes, promissory notes, loan discharge applications and supporting medical information, payment histories, etc.) to the CDD Unit at:

U.S. Department of Education
Conditional Disability Discharge
6201 Interstate 30
Greenville, TX 75402

If you have any questions on the information provided in this letter, please send all inquiries to 'jennifer.ryder@ed.gov'.

Last Modified: 01/07/2007