Three-Step Letter Series

What is it?

This default prevention tool consists of a series of three letters for notifying student borrowers that their account has become delinquent. These letters are an effective way to address student loan delinquencies and help get your student borrowers back on track to success.

Consider using this type of intervention in your collection efforts.

How does it work?

Each letter in the series should create a greater sense of urgency as the borrower's account gets closer to default:

Your school may want to create your own three-step letter series with the following custom features:

Where can I obtain this resource?

You can create these letters yourself and send them on a schedule that fits the needs of your school, for example every 90, 120, or 180 days.

Some lenders or loan servicers may provide these early intervention, early-stage delinquency, and/or late-state delinquency letters for you to send to your school's borrowers who have loans held or serviced by the lender or servicer.

  • If you do business with AES: AES offers a customizable three-step default prevention letter series in both English and Spanish. Call 1-800-443-0646 (Option 4, Option 1) or email OneLINKServices@aesSuccess.org for more information.
  • If you do business with FedLoan Servicing: FedLoan Servicing also offers a three-step letter series. Call 1-800-655-3813 or email schoolsupport@myfedloan.org for more information.
  • If you do business with other servicers: Visit the servicer's website or contact them by phone to see if they offer similar default management letters.