Sure. As you probably know already, they are related to loans management, so in a formal way, they are companies that we assign to handle the billing and other services on your federal student loan on our behalf. That service is done without any cost for you.
Are you familiar with the William D. Ford Federal Direct Loan (Direct Loan) and Federal Family Education Loan (FFEL) programs? Can my loan holder's wage garnishments continue during loan rehabilitation?
Yes, wage garnishments or any involuntary payments could continue even after you have been making payments under the loan rehabilitation agreement but they will not be counted toward your mandatory nine payments.
Another question, if my loan is in a collection agency, what other costs could I incur? and do private collection agencies earn a commission from payments?