The William D. Ford Federal Direct
Loan Program regulations are revised to make changes to the
provisions related to forbearance, reasonable and affordable loan
rehabilitation for defaulted borrowers, and administrative wage
garnishment along with associated changes in burden. The changes to
regulation expand the collection of information. The information
collection requirements are necessary to determine eligibility to
receive program benefits and to prevent fraud and abuse of program
funds.
US Code:
20
USC 1087a Name of Law: Higher Education Act of 1965, as
amended
The regulations increase burden
by 35,094 hours through program changes. The regulatory language
changes provide additional flexibilities for Direct Loan borrowers
and permit oral requests for forbearance, as well as an initial
determination of a reasonable and affordable loan repayment amount.
Also, if a borrower incurs changes to their financial
circumstances, a request for redetermination of a reasonable and
affordable repayment amount can be requested by providing
supporting documentation.
$0
No
No
No
No
No
Uncollected
Beth Grebeldinger 202
708-8242
No
On behalf of this Federal agency, I certify that
the collection of information encompassed by this request complies
with 5 CFR 1320.9 and the related provisions of 5 CFR
1320.8(b)(3).
The following is a summary of the topics, regarding
the proposed collection of information, that the certification
covers:
(i) Why the information is being collected;
(ii) Use of information;
(iii) Burden estimate;
(iv) Nature of response (voluntary, required for a
benefit, or mandatory);
(v) Nature and extent of confidentiality; and
(vi) Need to display currently valid OMB control
number;
If you are unable to certify compliance with any of
these provisions, identify the item by leaving the box unchecked
and explain the reason in the Supporting Statement.