Student Loan Rehabilitation Program Tax Refund
You are nervous. The government has accepted your income tax refund in the past and is now asking if they will accept it this year. Or you may have recently defaulted on your student loans and want to make sure your tax refund is not taken. If you depend on that money it is important. Sometimes it is thrown away before you get it. So now we will talk about the student loan rehabilitation program tax refund.
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Student loan rehabilitation program tax refund
Over the years many borrowers have frustratingly approached me because they thought their income tax refund would not be taken as they were on a repayment plan. They want to know how the government could increase their repayment if they kept their market by making all monthly payments under the payment plan. The most common problem we encounter when looking at their situation is that they, that is, the student loan borrowers, have not faced their end of the market.
Enrollment in the loan recovery program is generally not successful. Sure, they make the agreed monthly payments. But that is not the only thing they have to do. The reality is that the process of protecting your refund is a little more complicated. And it requires certain steps to follow. What we are about to share with you are the precise 4 steps clients go through before they file their tax return.
Check the National Student Loan Data System
Check out this government student loan system to make sure there are no surprises. However, you may have more than one delinquent loan. You want to make sure that your repayment agreement covers all defaulted loans. If not before you file your return find out where the uncovered loans are. And then contact the collection agency that handles those loans.
Contact the collection agency
Call the collection agency that deals with your recovery agreement. Too often borrowers think they are in the recovery program because they are making payments. It is not until their tax refund is taken that they learn that they were never officially placed in the recovery program because the paperwork was not approved.
This is what you should do. Check these three things:
- You have submitted the required documentation of the rehabilitation agreement (Letter of the rehabilitation agreement, loan income and rehabilitation costs form (if necessary) and proof of income (if applicable).
- The documentation is approved and you are fully registered in the program.
- At least one monthly payment has been made to your account.
If you check these 3 things, speak to a tax expert and ask if they can help you with past and future tax filings and obtaining your tax refunds.
Before you go, I hope this article student loan rehabilitation program tax refund is helpful for you.