| You've finished college and now that your student | | | | professional title suspended or revoked. |
| loans are due, you're in more financial difficulties than | | | | If you're in danger of defaulting or just want to spread |
| ever. So as a student in financial trouble, you need help. | | | | your debt over a longer period of time with a lower |
| Can you get financial aid for paying back student | | | | monthly payment, you can consolidate the loan, either |
| loans? | | | | through a private lender or with the Department of |
| The truth is, no. It doesn't exist. But you do have some | | | | Education. |
| options, and there is some financial help available from | | | | This is the only way to actually reduce the amount you |
| the department of education as well. | | | | have to pay with help from the government; if your |
| If you're having trouble paying off student loans, one of | | | | debt is consolidated there are different plans you can |
| the basic options is consolidation. If you want to play | | | | use that will allow you to pay the debt in a way that is |
| this card later, you can get through temporary financial | | | | convenient to your situation. If your situation changes, |
| difficult by deferring or forbearing payment. Stafford | | | | you can switch between plans as well. |
| loans offer deferments but some private lenders do | | | | You can pay off the loan in steady payments over a |
| not; they are generally granted for unemployment or | | | | long period of time, or extend it for up to 30 years (or |
| other economic hardship, or if you are still studying. | | | | more with some services) with lower monthly |
| During deferment, you can either pay the interest only, | | | | payments but a higher accumulated total. You can opt |
| or you can capitalize the interest, adding it to the total | | | | for a graduated plan, allowing you to pay lower |
| debt and paying interest on the interest after the | | | | payments now to give you a chance to get out of |
| deferment period. If your loan is subsidized, the | | | | financial trouble, and the payments increase in steps |
| government pays the interest during the deferment. If | | | | over time. |
| your loan was a need-based subsidized federal loan, | | | | There are also income-based plans. In these plans, |
| you will receive help in this form if you have trouble | | | | your income is taken into account as well as your |
| paying back your loan. | | | | expenses and household size, and if you are |
| Lenders may or may not allow a forbearance due to | | | | impoverished you do not have to pay. The downside is |
| extreme circumstances. Generally they last 12 months, | | | | that in order to get out of paying the debt, you have to |
| and interest continues to accumulate in every case. | | | | remain in poverty the rest of your life. |
| Avoid defaulting a student loan. You can lose access | | | | While there is no financial aid for paying back student |
| to financial aid or social security services, your wages | | | | loans, the government and private lenders do offer |
| can be garnished, your tax returns withheld, and your | | | | options to ease the actual financial burden of the loans. |