Out-of-Service Debt
Collection Fees
All debt accounts not paid-in-full within 30 days from the date of the initial debt notification letter will accrue monthly interest charges. Additional fees for administration costs and penalties may also apply. Accounts having no collections within 30 days of the initial debt notice date are considered delinquent.
Interest:
Your account statement reflects the Treasury interest rate for your debt, and interest will begin to accrue on the unpaid principal balance 30 days after the initial debt notification date.
Administrative Fees:
A $15 administrative fee will be assessed on your account for each of the following:
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No payments received within 62 days of the initial debt notification date.
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Initial referral to the credit bureaus.
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Initial referral to a private collection agency.
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Initial referral to the Treasury Offset Program.
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Any personal check not processed by your bank due to "insufficient funds."
Treasury Offset Program (TOP) Fees:
The Department of Treasury assesses various fees for their services.
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Offset of Federal tax refund.
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Offset payments from other government agencies.
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Offset of federal salary.
Penalty Charges
Penalty charges equal to 6 percent of the unpaid principal balance will begin to accrue on your account if there are no payments received within 121 days of the initial debt notification date.
