It has become common practice for parents to take out loans to finance the college costs of their children. A Brookings Institution report stated that over 3 million people owe almost $90 billion in parent PLUS loans. It has been noted that some parents even go as far as taking out these loans for their multiple children thereby increasing their debt. Nowadays, the eligibility for these loans has expanded so even parents who have poor credit scores can get approved.
Almost everyone has missed a student loan payment at least once. According to the Federal Student Aid Department, as of December 2018, over 3 million borrowers have been at least a month behind on the payments of their federal direct loans. Even though this is common, you will be punished for missing a payment.
Student loan rehabilitation is the best option for borrowers to remove the default status from federal student loans. However, this rehabilitation program does not work for private student loans. Even though student loan consolidation helps with default recovery, student loan rehabilitation is the superior option as it gets your loan out of default and removes extra collection costs. In this article, we will discuss student loan rehabilitation, how it works, pros, as well as cons.
It is a widely known fact that tuition fees in major parts of the country are very expensive, and not everyone can afford it. Here come the student loan borrowers who take out student loans to pay their tuition fees. What most borrowers don’t understand, however, is the compounding nature of student loan interest over time. Fortunately, negotiating a lower interest rate on your student loans can help you avoid situations like that. Even though the student loan terms (either federal or private) are fixed, you can still get a lower interest rate. In this article, we will discuss what student loan interest is and how to negotiate a lower rate.
Tuition-free colleges were once unfathomable, especially in the US but now, we have over ten states offering free college to prospective students. Tuition for both private and public schools increased drastically over the last decade. Now, prospective students who can’t afford the tuition have the opportunity to attend college for free.
As a matter of fact, students in the United States have a collective loan debt of $1.5 trillion and with that the number of scammers is increasing. Recently the CFPB (Consumer Finance Protection Bureau) has taken the initiative to educate the masses by issuing warnings and has taken appropriate measures to shut down a few scamming companies too. Here is a list of top signs you need to notice in the company to know whether they are scammers.
In 2018, The US Congress developed a fund to expand the student loan forgiveness program and help the public servants who were in debt and unsettled by the previous forgiveness program. However, this fund has had as many issues as the previous one. It didn’t deliver the results desired because a large number of the people who applied were rejected during the first 12 months – 99% of the applicants. Here, you will find out more about this program, the reasons for the rejections, and if you qualify for it. Let’s get right to it, shall we?
Navient remains to be in the headlines as the student loan servicer is facing action in court brought by various states, the CFPB, and the American Federation of Teachers. Unending borrower complaints claim that the student loan service provider failed to process payments properly and didn’t inform their borrowers regarding payment options.
While the obvious answer may be “yes”, there is a growing concern among many college students (current and former) that they will never be free of this burden. The United States cannot count itself among the several developed countries that offer virtually free college education. Crushing student loan debt is stopping many millennials from buying cars, homes, and even basic necessities.
Student loans have become a hot topic in the United States of late. Many feel overwhelmed by the term and size of their loan(s). Some are trapped in sky-high interest rates and they believe this is permanent. Unfortunately, in some cases, this is true, but in a lot of cases, student loans can be refinanced. There may not be a better time to explore this option than right now.