Blog Posts - Student loans
SAVE Plan announced by the Department of Education
The U.S. Department of Education recently announced the Saving on a Valuable Education (SAVE) Plan to assist student loan borrowers with direct loans in paying their loan balances. Similar to other Income Driven Repayment (IDR) plans, monthly payments are calculated based upon your income and family size. However, the method...
Without student loan forgiveness, what are my options?
The US Supreme Court just ruled that the Department of Education is not authorized to forgive a large portion of their borrowers’ student loan debt. Multitudes of borrowers in the Harrisburg area now face budgeting student loan payments in addition to their other financial obligations. They will join the 43...
New developments in student loan bankruptcy discharges in Harrisburg, PA
Probably the most difficult task in bankruptcy is discharging student loans. While bankruptcy is offered to the innocent, but unfortunate, debtor in order to obtain a “fresh start,” Congress defines that fresh start. And Congress did not include forgiving most student loans. In fact, over time, the trend has been...
Student loan forgiveness and how it could affect you
On August 24, 2022, the U.S. Department of Education announced targeted student debt cancellation programs to address the continuing impact of COVID-19 on borrowers’ income. The program cancels debt held by the Department of Education (click here and sign in to see if your loans are affected since bank and other loans are...
Income-driven repayment plans for student loans
Income-driven repayment plans may be a good way to manage student loan debt. If the Loan Simulator indicates that you will do better with an income-driven repayment (IDR) plan, you still have plenty of options. The following options are available: Revised Pay As You Earn Repayment (REPAYE) Plan Participants pay...
Traditional repayment plans for student loans
So, you are beyond the need for a deferment or forbearance in your student loan payments and now you are looking for a long-term solution to paying your student loan balance. Most of your federal student loans offer several options for repayment depending upon your circumstances. Some are considered “traditional”...
Forbearance in student loan payments
If you do not qualify for a deferment as we discussed in our last blog, you may qualify for a forbearance. Optional forbearances for direct, FFEL loans and Perkins loans can be granted in the discretion of the servicer for: financial difficulties medical expenses change in employment other reason acceptable...
Deferment of student loan payments
So, you cured your defaulted payments under your student loans (see prior blog if not), and you are ready to tackle the daunting task of affording your future student loan obligations. Provided you are willing to work with your servicer, several options are available through the Department of Education to...
Curing defaults in student loans
If you went to school beyond high school, chances are student loans went with you. Whether they were federally backed loans or private loans, an effective strategy to repay these student loans is essential for your financial and mental health. If you feel like you hit a patch of quicksand...