For consumers who missed prior to the pandemic, the Fresh Start initiative offers an excellent chance to start over with the resumption of federal student loan obligations in October 2023.
Borrowers with federal student loans are the only ones eligible for Fresh Start, provided that they defaulted prior to the forbearance starting on March 13, 2020.
Some loan kinds aren’t eligible, like school-held Perkins loans and private student loans.
Recall that individuals who have previously rehabilitated and defaulted are eligible for a second shot under the Fresh Start program.
Fresh Start provides an alternative route out of default, even if you have previously utilized consolidation or restoration.