I have decided to join my school again and I am sure that my application will be approved. The problem lies with funds. My credit is not very good. I've lost my last job very recently. Moreover I owe some default student loans. When I contacted a student loan servicing company, they told me that I won't be able to get the federal aid any more. Anyone else here having similar problem? Can anybody suggest me someway so that I can enter my school by next academic session?
http ://forums.debtcc.com/forums/consolidate-studentloan.html
Feel free to share your problems in the forums in future.
Bryan
Sub: #1 posted on Sat, 10/01/2005 - 13:20
(Posts: 819 | Credits: )
She had been in default for the last 6 years and it took her almost a year to get out of the default status. They will more than likely require you to make some payments toward this. Once you are out of the default status, you will be eligible to receive aid again. It is important however to get with your loan holder to let them know of your intentions and they can guide you.
Sub: #2 posted on Sat, 10/01/2005 - 22:11
(Posts: 411 | Credits: )
I do agree with you Rhonda. Once the lender understands that the borrower is trying to repay the loan, it becomes easier to get more options and facilities during the repayment process.
The person who has tried, at least, to pay his loan back gets some extra privilege while applying for deferment, forbearance or loan cancellation even.
Both rehabilitation and consolidation make you paying portions of your loan, helping you to be in a better position.
Sub: #3 posted on Mon, 10/03/2005 - 08:28
(Posts: 819 | Credits: )
Sub: #4 posted on Mon, 10/03/2005 - 15:36
Federal Student Loans do not have any statute of limitation; you are obliged to pay back the loan through out your life. Federal government can get back the loan amount through wage garnishment even without court order and they are rarely written off in bankruptcy. So it will be wiser to pay them off and get out of the debt.
Quote:
Since your loans are already default, you are not eligible for forbearance or deferment. Hence your options are limited now. You can-
- Try to pay them in full
- Consolidate your loans
- Apply for rehabilitation
You need to pay 6 to 12 installments of agreed amount to your loan holder per month basis to rehabilitate your default loans. The payments should be made within due dates and no lump sum payment instead of multiple installments is allowed at all.If you opt consolidation, your default loans will be restructured under one loan amount and with lower interest rate. So it will be easy for you to repay the loans very fast. Since it's already late, I think you should try consolidation program to start the repayment process right now.
For any more queries please feel free to ask in the forums.
Bryan
Sub: #5 posted on Mon, 10/03/2005 - 15:58
(Posts: 819 | Credits: )
Sub: #6 posted on Mon, 10/10/2005 - 02:30
(Posts: 22 | Credits: )
If you are already defaulted on your student loans, you won't be able to get further financial aid. Contact your previous loan holders and make your default accounts current so that you regain your eligibility.
I think rehabilitation or consolidation can help you a lot. See the forum discussion here to decide your way-
http://forums .debtcc.com/forums/avoid-defaults.html
Sub: #7 posted on Fri, 10/14/2005 - 10:09
(Posts: 819 | Credits: )
Sub: #8 posted on Tue, 09/22/2009 - 20:09
Sub: #9 posted on Tue, 09/22/2009 - 23:18
Moderators Cum Industry Expert
(Posts: 17310 | Credits: )
However, once the loan is paid off and the garnishments stop, will I be at all able to get federal student aid to go to grad school? If so, what might I be eligible for? (I looked on the website and didn't see any guidance on this.)
Sub: #10 posted on Sat, 10/31/2009 - 16:06