Automatic Loan Acceleration [] MS, FS, ES

Loans can be accelerated automatically when placed with a collection agency or at a predetermined number of days past due. It’s your choice.

Automatic acceleration can be provided for NDSL/Perkins loans. Based on Federal Regulations, a final demand letter, including an "intent to accelerate" notice, is generated at 60 days past due. If no payment is received, the loan can be automatically accelerated when placed with a collection agency or at a predetermined number of days past due. Once the loan is accelerated, the entire unpaid principal balance, accrued interest, late charges, and any other delinquent fees are due and payable. The borrower receives an acceleration notice and a copy goes to the institution.