Collection Procedures

• 1. What happens if I miss sending a payment?

  Days Overdue: Action taken by the Foundation for late fee (Late fee addressed)

  • 15: A notice is sent informing you of the missed payment. (No)
  • 30: A notice is sent informing you of the total amount overdue, including the late fee assessed. (Yes)
  • 45: A letter is sent requesting payment of overdue amount and/or an explanation for the late payment. (No)
  • 60: A letter is sent requesting total amount overdue, including an additional assessed late fee. If there is not a response to this letter, the account will be submitted to an outside collection agency. (Yes)

  Prior to submitting your account to a collection agency, the Foundation will attempt to make personal contact with you to help resolve the defaulted account. Please note, it is your responsibility to keep the Foundation informed of any changes of address and/or phone numbers.

• 2. If my payment is late, how much will I be charged in late fees?

  The late fee amount assessed totals 6 percent of the total overdue payment amount. Please note, late fees are assessed on the total overdue payment once the account becomes 30 days past due and again when the account becomes 60 days past due.

• 3. What happens if I do not respond to your notices and letters?

  If you allow your account to become more than 75 days past due and do not communicate with the Foundation office, your account will be sent to an outside collection agency. A service charge of 33.33 percent will be added to your remaining loan balance and your credit rating could be jeopardized. Other penalties may include notification to credit bureaus and legal action.

• 4. If I have not received your notices and letters, will my account still be sent to a collection agency if it becomes more than 75 days overdue?

  Yes, your account will still be sent to a collection agency. Prior to submitting your account to a collection agency, the Foundation does attempt to make personal contact with you to help resolve the defaulted account. It is your responsibility to keep the Foundation informed of any changes of address and phone numbers.

• 5. What is a delinquent or defaulted account?

  An account is considered to be delinquent when a payment is 30 days overdue. And an account is considered to be in default when a payment is 60 days overdue.