Out-of-Service Debt
Payment Information
Frequently Asked Questions

1. Why do I have to pay for this debt when it's not my fault?
2. Do I have to make payments when I'm protesting the debt or filing for waiver or correction of records?
3. Can I make monthly payments on my debt?
4. What if I can't afford a monthly payment?
5. If my payments are late, am I charged a late fee?
6. How are my payments applied?
7. Is there anyway I can arrange for automatic withdrawals from my checking account until the debt is paid?
8. I mailed my last payment a couple of weeks ago and am concerned about receiving a default statement. What should I do?

1. Why do I have to pay for this debt when it's not my fault?

Answer:  The Comptroller General has determined that individuals who "receive money erroneously paid by a government agency or official acquire no rights to the money." The courts have consistently upheld the ruling.
2. Do I have to make payments when I'm protesting the debt or filing for waiver or correction of records?

Answer:  Yes, payments are required during these times. If the debt is canceled, waived, or adjusted, our office will return any overpayment when we notify you of the action.
3. Can I make monthly payments on my debt?

Answer:   You may elect to make monthly payments on your debt. Generally, accounts must be repaid in full within 36 months of our initial notice. If the original debt amount is less than $1,800, the minimum monthly payment amount is $50. If the original debt amount is greater than $1,800, the required monthly payment amount will be greater than $50 and reflected on your monthly account/billing statement. Please contact Customer Service at 1-800-962-0648 to make any adjustments to your established payment amount. If email is more convenient, you may use our email form .
4. What if I can't afford a monthly payment?

Answer:   Please contact a customer service representative at 1-800-962-0648 or your may use our email form .
5. If my payments are late, am I charged a late fee?

Answer:   Late fees may be assessed. Please refer to out-of-service debt collection fees .
6. How are my payments applied?

Answer:   All payments are applied to interest, penalties, and administrative fees first, and the balance is applied to principal.
7. Is there anyway I can arrange for automatic withdrawals from my checking account until the debt is paid?

Answer:   No. We do not have this capability. However, you may want to check with your bank as many offer such a service.
8. I mailed my last payment a couple of weeks ago and am concerned about receiving a default statement. What should I do?

Answer:   Occasionally the two will cross in the mail. We suggest you inquire with a customer service representative to determine if the payment was received. While doing so, you may elect to request the representative establish a Personal Identification Number (PIN), used exclusively for the out-of-service debt collection system. Should this situation arise in the future, the PIN will allow you to access account information without waiting for a representative. If we are unable to verify the payment being received, we may recommend you contact your bank to determine if the check was negotiated. If necessary, you will be asked to forward a copy of the front and back of the negotiated check.