Did You Know: Student Loan Balance Payoffs

If a loan servicer accepts a payment from the Bureau for Private Postsecondary Education (Bureau) to satisfy a debt on behalf of a Student Tuition Recovery Fund applicant, then the loan servicer or debtholder must submit a letter to the Bureau stating that they will:

• No longer collect on the debt
• Report the debt as "paid in full" to all credit agencies¹

For more information on this and other laws pertaining to the Student Tuition Recovery Fund, visit https://www.bppe.ca.gov/lawsregs/index.shtml.

¹Per section 94923(g) of the California Education Code (Title 3, Division 10, Part 59, Chapter 8)