No. Defaulted Direct Loans are not eligible for PSLF. However, a defaulted loan may become eligible
for PSLF if you consolidate or rehabilitate the loan, and then make qualifying PSLF payments on the
new Direct Consolidation Loan or the rehabilitated loan.

To consolidate a defaulted Direct Loan, you must first make satisfactory repayment arrangements on
the loan. You can do this either by making three consecutive, voluntary, on-time, full, monthly
payments on the defaulted loan prior to consolidation, or by agreeing to repay the new Direct
Consolidation Loan under the ICR Plan, Pay As You Earn Repayment Plan, or the IBR Plan. Any
payments made as part of the satisfactory repayment arrangements prior to consolidating your
defaulted loans do not count toward the 120 qualifying payments for PSLF.

To rehabilitate a defaulted Direct Loan, you must contact the holder or servicer of the defaulted loan to
establish a rehabilitation agreement under which you will be required to make nine on-time, voluntary,
full, monthly payments within 20 days of the scheduled due date within 10 consecutive months. For
more information on the impact of rehabilitation on PSLF.

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