Handling Mismanaged Student Loans

If you want to go to a private school and study a four-year course, prepare yourself to spend around $29,026 for tuition and board & lodging alone. If you will opt to go to a public school to do the same, then you could spend around $12,127 instead. The cost of education has rose to more than 50% in the last 30 years and people are starting the feel the pressure of having to pay such a huge debt in the next coming years.

You will be surprised with the number of graduates who badly need to help with their student loan debt. There are a lot of people who say that they have such a hard time in acquiring the things they need such as houses or cars because their student loans. Statistics support this in showing that 30% of the population feels that their student loans are such a burden. If these loans will not be handled well, not only will you have bad credit but you might also become ineligible for future help assistance from the government and tax refunds.

Non profit organizations such as American Student Assistance provides help to those who need more information about loan repayment, budget planning and repayment options such as debt negotiation. If you have already defaulted on your payments, you can still be sure that they will not hesitate in giving you some more assistance.

There are a number of options for those who need help with their federal student loans. For those who were able to secure their loans through the Direct Loan program, you can check if you are eligible for the income contingent repayment plan. For the rest who don’t meet the aforementioned criteria, you can apply for the economic hardship deferment or forbearance plan that can help you defer or cut down your monthly payments.