Your financial aid application results indicate that you are currently in default on a federal student loan or owe an overpayment on a federal grant. Debt resolution is negotiating with your creditors to accept less than the full amount you owe but consider it payment in full.Debt settlement means you stop paying your creditors altogether and, instead, save the monthly payments you were making in a savings account. To request and receive ILL items, you must have a current Houston Public Library card in good standing.