Federal Direct Consolidation Loan Application and Promissory Note with Additional Loan Listing Sheet

OMB No. 1845-0053 Form Approved Exp. Date F CLEARANCE DRAFT 08-02-2007 ederal Direct Consolidation Loan Instructions for Application and Promissory Note

Before You Begin

Before beginning, you will need to gather all of your loan records, account statements, and bills so that you will have on hand all the information needed to complete the Application and Promissory Note.

Use a blue or black ball point pen to complete the Application and Promissory Note. Enter dates as month-day-year (mm-dd-yyyy). Use only numbers. Example: June 24, 1982 = 06-24-1982.

Some of the items in Sections A and C may have been completed for you. If so, review these items carefully to make sure the information is correct. Cross out any information that is incorrect and enter the correct information. Put your initials next to any information that you change.

Incorrect or incomplete information may delay processing.

Section A: Borrower Information

Item 1. Enter your last name, then your first name and middle initial.

Item 2: Enter your nine-digit Social Security Number.

Item 3: Enter your permanent address (number, street, apartment number, or rural route number and box number, then city, state, zip code). If your mailing address is post office box or general delivery, you must list both your permanent address and your mailing address.

Item 4: Enter the area code and telephone number at which you can most easily be reached. (Do not list your work telephone number here.) If you do not have a telephone, enter N/A.

Item 5 (optional): Enter your preferred e-mail address for receiving communications. You are not required to provide this information. If you do, we may use your e-mail address to communicate with you. If you do not have an e-mail address or do not wish to provide one, enter N/A.

Item 6: Enter any former names (such as a maiden name) under which one or more or your loans may have been made. If none, enter N/A.

Item 7: Enter your date of birth.

Item 8: Enter the two letter abbreviation for the state that issued your driver’s license, followed by your driver’s license number. If you do not have a driver’s license, enter N/A.

Item 9: Enter your employer’s name. If you are self-employed, enter the name of your business. If you are not employed, enter N/A.

Item 10: Enter your employer’s address or, if you are self-employed, the address of your business (street, city, state, zip code).

Item 11: Enter your work area code and telephone number. If you are self-employed, enter the area code and telephone number of your business.

Section B: Reference Information

Item 12: Enter the requested information for two persons who do not live with you and who have known you for at least three years. References who live outside the United States are not acceptable. If a reference does not have a telephone number, enter N/A.

Section C1: Education Loan Indebtedness – Loans You Want to Consolidate

Section C2: Education Loan Indebtedness – Loans You Do Not Want to Consolidate

Section C1 asks for information about your federal education loans that you want to consolidate. Section C2 asks for information about your education loans that you are not consolidating, but want to have considered when calculating your maximum repayment period. If you need more space to list loans in Section C1 or C2, use the Additional Loan Listing Sheet included with your Application and Promissory Note. To find the information you will need to complete Sections C1 and C2, you can look at the last monthly billing statement you received, your quarterly interest statement or annual statement, your coupon book, or the Internet site of your loan holder or servicer. You may also obtain information about your loans by accessing the National Student Loan Data System at www.nslds.ed.gov.

Items 13-16: Enter the requested information for all of your federal education loans that you want to consolidate, including any Direct Loans that you want to consolidate. You must consolidate at least one Direct Loan or FFEL Program loan.

Item 13: Enter the code that corresponds to the loan type from the chart provided on this instructions page (“Loan Types and Their Codes”). If you are not sure about the loan type, leave this item blank.

Item 14: Enter the full name and mailing address of the holder of the loan or the holder’s servicer. (This is the address to which you are or will be sending your payments.) You must provide at least the name, city, and state of the loan holder or servicer.

Item 15: Enter the account number for each loan (the number should be on your statement or in your payment book). If you cannot find the account number, leave this item blank.

Item 16: Enter the estimated amount needed to pay off the loan, including any unpaid interest, late fees, and collection costs.

Item 17: If you are in your grace period on any of the loans you wish to consolidate and you want to delay processing of your Direct Consolidation Loan until you have completed your grace period, enter the month and year of your expected grace period end date. If you provide this information, processing of your consolidation loan will be delayed until approximately 30-60 days before the end of your grace period. If you leave Item 17 blank, processing of your consolidation loan will begin as soon as we receive your completed Application and Promissory Note and any other required documents, and any loans listed in Section C1 that are in a grace period will enter repayment immediately upon consolidation.

Items 18-21: Enter the requested information for all of your education loans that you do not want to consolidate or that are not eligible for consolidation, but that you want considered when determining the maximum repayment period for your Direct Consolidation Loan.

Item 18: Follow the instructions for Item 13.

Item 19: Follow the instructions for Item 14.

Item 20: Follow the instructions for Item 15.

Item 21: Enter the current balance for each loan. Use the amount on your last statement or give us an approximate amount.

Section D: Repayment Plan Selection

See the instructions provided in this section.

Section E: Borrower Understandings, Certifications, and Authorizations

Items 22-24: Carefully read these items.

Section F: Promissory Note

This is a legally binding contract.

Item 25: Carefully read the Promise to Pay and the entire Application and Promissory Note, including the Borrower Understandings, Certifications, and Authorizations in Section E, the terms and conditions on page 4, and the Borrower’s Rights and Responsibilities Statement on pages 5-8.

Item 26: Sign and date the Application and Promissory Note. If you do not sign the Application and Promissory Note, your application cannot be processed.

Final Notes

Review all the information on your Application and Promissory Note. When complete, make a copy for your records and mail the original pages 1, 2, and 3 to us in the envelope provided, along with the completed Repayment Plan Selection form and, if required, the Income Contingent Repayment Plan Consent to Disclosure of Tax Information form. If you no longer have the envelope, mail the Application and Promissory Note to the address shown below.

As soon as we receive your completed Application and Promissory Note and supporting documents, we will begin processing (unless you have entered your expected grace period end date in Section C1, Item 17). During this time, we might call you with questions. We will be sending you a notice before we pay off your loans.

In the meantime, if you currently are required to make payments on your loans, continue to do so. You will need to continue making payments until you receive written notification that your loans have been successfully consolidated and it is time to start paying your Direct Consolidation Loan. If you are having difficulty making payments on your loans, contact your loan holder or servicer at the correspondence address or telephone number on your current loan statements to find out ways you might be able to postpone loan payments; ask specifically about your “deferment” or “forbearance” options.

Loan Types and Their Codes (use these codes to complete Sections C1 and C2)

A Subsidized Federal Stafford Loans B Guaranteed Student Loans (GSL) C Federal Insured Student Loans (FISL) D Direct Subsidized Loans E Direct Subsidized Consolidation Loans F Federal Perkins Loans G Unsubsidized Federal Stafford Loans (including Nonsubsidized Stafford Loans) H Federal Supplemental Loans for Students (SLS) J Unsubsidized Federal Consolidation Loans K Direct Unsubsidized Consolidation Loans L Direct Unsubsidized Loans M National Direct Student Loans (NDSL)

N National Defense Student Loans (NDSL) O Subsidized Federal Consolidation Loans P Auxiliary Loans to Assist Students (ALAS) Q Health Professions Student Loans (HPSL) R Health Education Assistance Loans (HEAL) S Federal PLUS Loans (for parents or for graduate/professional students) T Parent Loans for Undergraduate Students (PLUS) U Direct PLUS Loans (for parents or for graduate/professional students) V Direct PLUS Consolidation Loans Y Nursing Student Loans (NSL) Z Loans for Disadvantaged Students (LDS) W Education loans ineligible for consolidation

For help completing this form, call 1-800-557-7392.

For the hearing impaired, the TDD number is 1-800-557-7395.

Mail your completed Application and Promissory Note and any other required forms (see Final Notes, above) to the following address:

U.S. Department of Education

Consolidation Department

P.O. Box 242800

Louisville, KY 40224-2800