Ana G. Méndez University has a Loan Management and Default Prevention Officer. The U.S. Department of Education identifies students who are delinquent or in default on their student loan payments each month and provides this information to educational institutions.

The Loan Management and Default Prevention Officer assists students after they withdraw from the institution, reduce their enrollment to less than half-time, or otherwise separate from the university. The purpose of the officer is to guide students regarding the options available to help them remain current on their student loan payments.

To this end, the officer provides a variety of services designed to educate and assist students on topics such as:

Overpayment

An overpayment occurs when a student unintentionally exceeds the maximum student loan borrowing limits, whether at the undergraduate or graduate level.

Students with loan disbursements made prior to July 1, 2026, who are enrolled and will continue their studies at the institution under the same academic program and academic level, will be subject to the temporary exception limits established under the One Big Beautiful Bill Act (OBBBA).

The temporary exception allows certain students to continue under the previous borrowing rules. To qualify, the student must have been enrolled in the same academic program before July 1, 2026, have received a student loan disbursement, and maintain this status for at least three years or until completing the academic program, whichever occurs first. A student may lose eligibility for the temporary exception if they, change academic programs, completely withdraw from the institution; or complete their academic program.

Student Loan Limits (Pre-OBBBA)
Undergraduate Level - Dependent StudentsUp to $31,000.00 in student loans. Only $23,000.00 may be subsidized.
Undergraduate Level - Independent StudentsUp to $57,500.00 in student loans. Only $23,000.00 may be subsidized.
Graduate Level - Independent StudentsUp to $138,500.00 in student loans (including undergraduate loans)..

Students with loans disbursed after July 1, 2026, who are new students, readmitted students, transfer students, or students who have experienced a change in academic level, will be subject to the new loan limits established under the One Big Beautiful Bill Act.

Student Loan Limits (Post-OBBBA)
Undergraduate Level - Dependent StudentsUp to $31,000.00 in student loans. Only $23,000.00 may be subsidized.
Undergraduate Level - Independent StudentsUp to $57,500.00 in student loans. Only $23,000.00 may be subsidized.
Graduate Level - Independent StudentsUp to $100,000.00 in student loans.
Professional Level - Independent StudentsUp to $200,000.00 in student loans.

Options to Resolve the Overpayment:

  • Request a Reaffirmation Agreement with the loan servicer where the overpayment exists. Under this agreement, you commit to repaying the excess amount once you complete your studies and your loans enter repayment status.
  • If you are no longer enrolled and your loans are already in repayment, you may consolidate the loans associated with the overpayment by visiting: https://studentaid.gov/loan-consolidation/ and following the instructions to complete the application.
  • Repay the balance that caused the overpayment directly to the loan servicer holding the loan.

Note: Once the overpayment has been resolved, you must submit documentation demonstrating satisfactory resolution with the loan servicer to the Financial Aid Office.

Default

Once a student loan payment is missed, the loan is considered delinquent. Your student loan will remain in this status until you pay the past-due amount or make arrangements, such as changing your repayment plan or requesting a deferment or forbearance. If the delinquency continues for more than 90 days, the loan servicer will report the delinquency to the credit bureaus, which may negatively affect your credit score. Continued delinquency can eventually lead to default, resulting in serious consequences.

You are considered to be in default if you fail to make your scheduled loan payments for a period of at least 270 days. If you reach 360 days without making payments on your student loans, your loans may be transferred to a collection agency. You should take immediate action by contacting your loan servicer to avoid adverse consequences that may result in the loss of your rights due to default.

Consequences of Defaulting on a Student Loan

Defaulting on a student loan may result in serious legal and financial consequences, including:

  • Seizure of Tax Refunds and Federal Benefits: Tax refunds and other federal benefits may be withheld and applied toward repayment of your defaulted loan.
  • Wage, Property, and Social Security Garnishment: Your employer may be required to withhold a portion of your wages to repay the loan.
  • Loss of Benefits: You may lose eligibility for deferments, forbearances, and certain repayment plan options.
  • Loss of Eligibility for Federal Student Aid: You may no longer qualify for federal financial aid, including Pell Grants, student loans, and other Title IV funds.
  • Negative Impact on Credit History: Your credit rating may be affected for a minimum of seven years, making it more difficult to obtain loans, credit cards, or purchase property.
  • Federal Court Action: The U.S. Department of Education may take legal action against you, resulting in additional costs such as attorney fees and court expenses.
  • Loss of Employment Licensure in Certain States: You may be ineligible for certain federal government positions or other employment opportunities due to your default status.

If you are in default, you should contact the U.S. Department of Education. The options for resolving a default include:

  • Pay the Loan in Full: Choosing this option may qualify you for a reduction in the total balance owed. It is also the fastest way to remove the default status from your loan.
  • Rehabilitate Your Loan(s): To qualify, you must have a minimum loan balance of $500.00. You will need to complete a voluntary, consecutive, and satisfactory payment plan for approximately nine months. However, after making the sixth payment, you may become eligible to receive federal financial aid again. You must continue making satisfactory payments to maintain eligibility. This is the only option that removes the negative default notation from your credit history.
  • Consolidate Your Loan(s): This option combines multiple loans, including defaulted loans, into a single loan. You may apply through StudentAid.gov (https://studentaid.gov/loan-consolidation/) or by submitting a paper application. Processing generally takes approximately 60 to 90 business days.

For additional information regarding default resolution options, visit:

Deferments and Forbearances

The U.S. Department of Education offers options to temporarily suspend student loan payments through deferment or forbearance, helping borrowers avoid delinquency during repayment. Failure to make payments for more than 270 days can result in negative consequences, ranging from credit damage to wage garnishment. Therefore, if you are unable to make payments, it is important to request relief from your loan servicer.

Deferments

A deferment is a temporary postponement of loan payments for a specific and limited period. During a deferment, the borrower is not required to make loan payments. Interest does not accrue on the subsidized portion of the loan; however, interest continues to accrue on unsubsidized loans.

If you are experiencing difficulty making your student loan payments, you may request a deferment directly from your loan servicer. Deferments may be granted in intervals of 6 to 12 months, up to a maximum of three years. For additional information: https://studentaid.gov/manage-loans/lower-payments/get-temporary-relief/deferment

Reasons You May Qualify for a Deferment

  • You are continuing your education.
  • You are temporarily disabled.
  • You are serving in the United States Armed Forces.
  • You are experiencing economic hardship.

Forbearances

A forbearance allows you to temporarily postpone or reduce your loan payments for a specific and limited period if you are unable to make payments or do not qualify for a deferment. Interest will continue to accrue, and the borrower is responsible for paying that interest.

Forbearances must be requested directly through your loan servicer. They may be granted in intervals of 6 to 12 months, up to a maximum of three years.

For additional information: https://studentaid.gov/manage-loans/lower-payments/get-temporary-relief/forbearance

Reasons You May Qualify for a Forbearance

  • Health problems or other acceptable circumstances
  • Medical or dental residency programs
  • Volunteer service through National Community Service
  • Economic hardship
  • General forbearance
  • Teacher loan forbearance

Repayment Plans

A repayment plan is an agreement between the borrower and the loan servicer that determines the monthly payment amount and the number of payments required to repay the student loan.

There are several repayment options designed to meet the individual needs of borrowers. Your loan servicer can explain which option is best for you and determine which repayment plan you may qualify for based on your income, dependents, and financial circumstances. Available repayment periods generally range from 10 to 25 years, depending on the repayment plan selected. You may choose between plans that provide a fixed monthly payment or plans based on your income after completing the application process and submitting the required documentation.

Fixed Repayment Plans

Fixed repayment plans establish a set monthly payment based on the amount borrowed, your interest rate, and a fixed repayment period. Fixed repayment plans include:

  • Standard Graduated Repayment Plan (applies to loans disbursed on or after July 1, 2026).
  • The required monthly payment is based on the outstanding principal balance at the time of enrollment in the plan, the interest rate on your loans, and the repayment period established under the program.
  • The length of the repayment period is determined by the total amount borrowed while enrolled.
Total Outstanding Student Loan Principal BalanceEstablished Repayment Period
Less than $25,000 borrowed10 years
$25,000 or more, but less than15 years
$50,000 or more20 years
$100,000 or more borrowed in student loans25 years
  • This will be the only income-driven repayment plan available for loans borrowed after July 1, 2026.

Basic Repayment Plan

  • The monthly payment will be fixed, with a maximum repayment term of 10 years.
  • To be eligible for this plan, you must not have received any new loans, including consolidation loans, on or after July 1, 2026.

Graduated Repayment Plan

  • Payments start lower and gradually increase over time based on the total outstanding balance, with a maximum repayment term of 10 years.
  • To be eligible for this plan, you must not have received any new loans, including consolidation loans, on or after July 1, 2026.

Extended Repayment Plan

  • Monthly payments may be fixed or graduated over a longer repayment period, reducing the monthly payment amount. This plan can generally extend up to 25 years for repayment of student loan debt.
  • To qualify for this plan, you must have borrowed more than $30,000 in Federal Direct Loans.
  • To be eligible for this plan, you must not have received any new loans, including consolidation loans, on or after July 1, 2026.

If you do not select a repayment plan and your loan was disbursed on or after July 1, 2026, your loan servicer will automatically place you in the Graduated Standard Repayment Plan (a fixed 10-year repayment plan). This plan may result in a higher monthly payment.

Income-Driven Repayment (IDR) Plans

Income-Driven Repayment (IDR) plans determine your monthly payment amount based on your income and family size. IDR plans must be recertified annually.

In addition, any remaining balance may be eligible for forgiveness if the loans are not fully repaid by the end of the repayment period established by your loan servicer.

Repayment Assistance Plan (RAP)

  • The required monthly payment will be based on your annual income and the number of dependents claimed on your tax return.
  • The monthly payment under RAP will be based on a percentage of your annual income (generally your adjusted gross income) divided by 12. The monthly payment will then be reduced by $50.00 for each dependent claimed on your federal or state tax return.
  • Your monthly payment cannot be less than $10.00 per month.
  • The percentage of annual income used to determine the monthly payment may vary based on your adjusted gross income, as shown in the following table:
Adjusted Gross Income (AGI)Estimated Monthly Payment
Less than $10,000$120
Between $10,000 and $20,0001% of Adjusted Gross Income
Between $20,000 and $30,0002% of Adjusted Gross Income
Between $30,000 and $40,0003% of Adjusted Gross Income
Between $40,000 and $50,0004% of Adjusted Gross Income
Between $50,000 and $60,0005% of Adjusted Gross Income
Between $60,000 and $70,0006% of Adjusted Gross Income
Between $70,000 and $80,0007% of Adjusted Gross Income
Between $80,000 and $90,0008% of Adjusted Gross Income
Between $90,000 and $100,0009% of Adjusted Gross Income
More than $100,00010% of Adjusted Gross Income
  • This will be the only income-driven repayment plan available for loans borrowed after July 1, 2026.

Income-Based Repayment (IBR) Plan

  • Monthly payments are based on household income and family size.
  • Your monthly payment amount will be calculated using either 10% or 15% of your discretionary income (depending on when you first borrowed your loans). However, your payment will never exceed the amount you would pay under a 10-year Standard Repayment Plan.
  • The repayment period may range from 20 to 25 years, depending on the age of the loan.
  • To be eligible for this plan, you must not have received any new loans, including consolidation loans, on or after July 1, 2026.

Pay As You Earn (PAYE) Repayment Plan

  • Your monthly payment amount will be based on 10% of your discretionary income, but it will never exceed the amount you would pay under a 10-year Standard Repayment Plan.
  • The repayment period is 20 years.
  • Borrowers enrolled in this repayment plan will be required to transition to a new repayment plan beginning July 2028.
  • To be eligible for this plan, you must not have received any new loans, including consolidation loans, on or after July 1, 2026.

Income-Contingent Repayment (ICR) Plan

  • Your monthly payment amount will be based on either:
  • 20% of your discretionary income, or
  • The amount you would pay under a fixed 12-year repayment plan, adjusted according to your income.

Your required payment will be the lower of these two amounts.

  • The repayment period is 25 years.
  • Borrowers enrolled in this repayment plan will be required to transition to a new repayment plan beginning July 2028.
  • To be eligible for this plan, you must not have received any new loans, including consolidation loans, on or after July 1, 2026.

If you borrowed student loans before July 1, 2026, you may be eligible to enroll in the Income-Based Repayment (IBR), Income-Contingent Repayment (ICR), and Pay As You Earn (PAYE) repayment plans. However, if you receive a student loan disbursement on or after July 1, 2026, you will only be eligible to enroll in the Repayment Assistance Plan (RAP). In addition, the One Big Beautiful Bill Act (OBBBA) will eventually eliminate the ICR and PAYE repayment plans. As a result, a repayment plan transition process will be implemented once the measure takes effect.

Note: If you have at least one loan that is first disbursed on or after July 1, 2026, you must repay all of your Direct Loan Program loans, including those disbursed before July 1, 2026, under either the Repayment Assistance Plan (RAP) or the Graduated Standard Repayment Plan.

Note: The U.S. Department of Education is implementing significant changes to student loan repayment plans. StudentAid.gov is currently being updated to reflect these changes. You may stay informed about important updates through the following links:

Repayment Plans: https://studentaid.gov/manage-loans/repayment/plans

OBBBA Updates: https://studentaid.gov/announcements-events/big-updates

Loan Servicers

Manage Your Loans – Important Resources and Helpful Links

If you need your FSA ID to access your loan servicer account and cannot remember it, please contact the Federal Student Aid Information Center (FSAIC) at 1-800-433-3243 for assistance. You may also recover your FSA ID by answering your security questions when signing in at https://studentaid.gov/ .

Wright International Student Services (WISS)

Wright International Student Services (WISS) is a company contracted by Ana G. Méndez University (AGMU) to support its institutions in managing student loan default prevention and repayment assistance programs.

Founded: 1992
Address: 6405 Metcalf Ave, Suite 504
Shawnee Mission, KS 66202
Phone: 1-800-257-4757
Website: https://www.studentservicesint.org/students

Services Provided by WISS to Ana G. Méndez University (AGMU) Students

  • Sends letters, makes phone calls, and sends emails to students who are delinquent on their student loans.
  • Advises students on the various federal student loan repayment plan options available through the U.S. Department of Education.
  • Assists students with submitting deferment and forbearance requests and follows up on the application process until approval is granted by the loan servicer.

Loan Default Management and Prevention Officers

NamePhoneEmail
Elizabeth Dobre407-563-6501 ext 1854ematos@agmu.edu