First off I get very upset hearing this because I don't believe you should have to kill yourself going into debt just to go college. Tution is way too high and so many people go through the same thing you are going through. Including me and I don't want you to make the same mistakes I did.
I'm assuming you are being billed for the loans even though you are in school. A lot of my loans gave me 6 months after I graduated before they kicked in. I guess thats how long they think it will take for you to get a job.
You need to have good communication with your loan companies. There are usually programs they can put you in, or they can defer your loan since you are still in school and do not have a job in your field. Deferment does not affect your credit negativily.
I can tell you that out of all the loans I had I missed one and didn't pay on it for a few years. I totally forgot about it because it was my smallest loan at about 5,500 bucks. It took a long time before they caught up to me. I had to go into a volunteer program to pay 360 up front and then about 100 bucks for 9 months to get out of default. Once I'm out of default they will take the negative out and clear my credit. Don't let it get that far, there are plenty of ways to work this out with the loan company.
Explain to them these facts.
1. You are still in school and do not have a job in your field.
2. If you have a job an estimate of how much you make in a month.
3. That you want to know what programs or what you can do to make sure your loan doesn't go into default. Ask them what is best for your situation and they will help you out.
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Submitted 319 days ago...
Need help desperately about school loan debt!
HELP!!
I have yet to get my BA, I have 2 years to go .
I have accrued already about 100k (13% interest) in independent bank given student loans from "next student" (so all in all about 150 k by the time i have my BA in 2 years or so). Worst yet, My Mother is the co-signer on these loans.
I realize I have gotten myself in a bad situation financially and I have no idea what kind of job with just a BA in the social sciences I can get to pay off the1500 (10%) a month minimum payment for these loans.
Also, I have terrible credit (stopped paying credit cards years ago upon some terrible advice).
I am also aware that bankrauptcy is not an option for school loans, at least in most cases.
I am now so scared that there is no way i'll be able to pay these loans and I dont want to destroy my moms credit because she cherishes it. I am actually considering moving out of the country w/her.
My main Q is, I heard I that if i pay just 50 dolars a month and that they can't go after me or the co-signer like by go after her house or garnishing our wages, is this true?
BTW, to clear up some potential confusion, I am not a freshman, I have been in school now for 6 years, but do to working fulltime, not always passing all my classes and having changed my major 3 times as well as having spent whole year learning abroad I ended up with this much debt, high interest and still 2 years to go just to finish my B.A. in social sciences.
Answer 1 / 3
Submitted 319 days ago...
Answer 2 / 3
Submitted 319 days ago...
You know something that may give you confidence as well as a well-thought out plan is a financial adviser.
It will cost you about $150-$200, but it will save your sanity and they are not "debt consolidators" but people who will help you figure out a plan to save, invest and pay debt while teaching you healthy financial habits.
One trick I learned to get a little cheaper financial planning advise is check out a credit union. Since you are a student, I am almost positive there is a credit union that you can join. You have to pay a membership fee, but they usually have a staff Certified Financial Planner who can help you sort out your affairs. The cost of the membership fee is FAR less that that of a CFP fee.
If it makes you feel better, if you get healthy financial habits now and stick with them from the get-go, you will probably be in better shape in 10 years than the average student who has less student loan debt and even a higher paying income.
Good luck!
Answer 3 / 3
Submitted 181 days ago...
I'm not sure if they can attach any time of lein against your mom's home. However, there's a possibility they can go after her wages since she's the co-signer. Unless she's on disability. What you and your mom have signed is a note to pay and if you can't she will. I know this is a problem all young adults are faced with, trying to pay for an education froma school or higher learning. The government want you do this, but, they don't have a clue as to how we're suppose to pay for college. And the sad fact is it continues to go up and up just to get a 4yr. degree.
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