Seven Student Loan Tips for November 2022
Planning for the federal student loan repayment restart is the most pressing issue for most borrowers.
Student Loan Sherpa Repayment Guide
A smart strategy to repay your student loans can save thousands of dollars on interest and eliminate loans years earlier than planned.
Written By: Michael P. Lux, Esq.
Published:
Student Loan Sherpa Repayment Guide
A smart strategy to repay your student loans can save thousands of dollars on interest and eliminate loans years earlier than planned.
Written By: Michael P. Lux, Esq.
Published:
The Tools to Eliminate Student Debt
There is a long list of resources to knock out federal and private student loans. For many borrowers, the ideal approach will be a combination of some of the programs below.
If you are brand new to student loan repayment, this guide is a helpful starting point.
Student Loan Forgiveness
- Not all student loans will qualify for loan forgiveness, but there are many different ways to get student debt forgiven.
- The most generous loan forgiveness program is Public Service Loan Forgiveness. Program eligibility is complicated, so qualifying is hard, but not impossible.
- Parent PLUS loans are not eligible for forgiveness, but they can be consolidated to gain eligibility.
Repayment Plans
- After many years of federal government tweaks, there is now a long list of federal repayment plans.
- Borrowers struggling with their federal loans often find relief on an Income-Driven Repayment Plan.
- If you are unemployed or struggling to get by, many federal borrowers qualify for monthly payments of $0 per month.
Cosigner Tools
- Cosigning for student loans is often a risky decision.
- When a borrower doesn't make payments, cosigners have few options.
- Lenders don't like to release cosigners from loans, but there are many different ways to remove a cosigner.
Sherpa Tips and Strategy
- Each month, I prepare a list of tips for borrowers based upon the latest news and market conditions.
- If your lender is unfair or misleads you, filing the right complaint can make a big difference.
- If you are confused or can't find the information you are looking for, feel free to send me an email.
Consolidation
- Federal student loan consolidation does not lower interest rates. Instead, consolidation, helps borrowers gain eligibility for some repayment plans and forgiveness programs.
- The Guide to Federal Consolidation explains how the process works and the risks.
- Borrowers looking for lower interest rates need to refinance their loans.
Lower Payments
- Getting lower payments is a great way to free up cash to attack high-interest debt.
- Many of the options to get lower interest rates also result in lower payments.
- Borrowers on income-driven repayment plans can often shelter income to qualify for lower monthly payments.
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Federal Consolidation and the Student Loan Forgiveness Clock
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How Biden’s Last-Second Decision-Making Hurt Student Loan Borrowers
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Should I Consolidate My FFELP Loan Right Now?
Between lawsuits and changing rules, its become very difficult for FFELP borrowers to figure out a plan for their student loans.
Are Mohela Loans Federal or Private?
Mohela services both federal and private loans. Fortunately, there is an easy way to separate the federal loans from the private loans.
Apply for Biden’s One-Time Forgiveness Right Away
Borrowers have over a year to submit their application, but waiting would be a huge and potentially expensive mistake.
Are AES Loans Federal or Private?
American Education Services (AES) handles both private and federal student loans. Fortunately, it is fairly simple to identify which loans are federal.
Four Reasons to Contact Your Federal Student Loan Servicer Right Now
Federal forgiveness programs are set to expire and servicers are about to get slammed. Now is the time to get your federal loans in order.