Income-based repayment (IBR) is a program that allows you to limit the amount you must repay each month based on your income. You get a lower payment with IBR if your federal student loan debt is high relative to your ...
If you haven’t made a payment on your federal student loan for 270 days (nine months), and have not made arrangements with your lender or servicer that do not obligate you to make those payments, like deferment or forbearance, you ...
While other lenders typically have to take you to court to collect, the Department of Education has many more ways to collect payment of your student loans. These ways include garnishing your wages, your tax refund, and your Social Security.
If you default on a federal student loan, a third-party collection agency may attempt to locate you and collect payments from you. Generally speaking, you have three options when dealing with the collector on a federal student loan: 1. Rehabilitation. Rehabilitation means ...
If you are behind on your federal student loan payments and being contacted by a debt collector, you may be able to arrange for rehabilitation of your loan. Rehabilitation lets you remove your loan from a defaulted status after making ...
No. If the collection agency tells you there is a minimum, this is false. The law states that you must pay what is reasonable and affordable. The collection agency may ask you to provide documentation to demonstrate that you need ...
If you are behind on your federal student loan payments and debt collectors are contacting you, consolidation may have some advantages. You will be able to get out of default quicker than through rehabilitation, and if you cannot afford to ...
If your loan holder is unable to obtain payment from you for 270 days, they will take steps to place the loan in default and attempt to collect on the loan. Your loan holder may even “accelerate” a defaulted loan, ...
Private student loans often go into default as soon as you miss three monthly payments (120 days). You can also default on a private student loan if you declare bankruptcy, default on another loan, or die. You should review your ...