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Default student loan, Going back to school- want federal aid

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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?




yes, you do regain your financial aid eligiblity. You will be eligible for stafford loans.

Sub: #11 posted on Sat, 10/31/2009 - 16:10

SOAPLADY SOAPLADY
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Thank you for responding so promptly! That's good to hear, but I'm curious - the fact that I defaulted the first time to the point of garnishment won't factor in me getting new financial aid?

Also, does one's credit report play a factor in how eligibility is determined?

Thanks!

Sub: #12 posted on Sun, 11/01/2009 - 17:46

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Federal stafford loans are not credit based. However Grad Plus loans are...you will probably not qualify for them

Your previous default is not a factor.

Sub: #13 posted on Sun, 11/01/2009 - 17:57

SOAPLADY SOAPLADY
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I read on-line about some kind of consolidation program where you can set up your payments based on how much you make. This was (from memory) a federal program.

Also, i keep being told that if i can defer my payments for 25 years i would not have to pay them back, is there any validity to that?

Sub: #14 posted on Tue, 11/17/2009 - 02:31

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The Direct Loan consolidation loan program has the Income contingent repayment plan.

However you cannot defer your loans for 25 years and then not have to pay them back. if you pay on them for 25 years, then any outstanding balance is written off.

Sub: #15 posted on Tue, 11/17/2009 - 02:50

SOAPLADY SOAPLADY
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SOAPLADY......I've used the 'Income Contingent Plan' on my Student Loan. I've used all the deferements and forbearances I can use. However.....I've never heard of defering a loan for 25 years...that's a long time!! Here's my question......: if you pay on a loan for 25 years, and you STILL have an outstanding balance on your loan after that time, your loan can STILL be written-off?

Sub: #16 posted on Tue, 11/17/2009 - 06:14

sdchargers_63 sdchargers_63

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You cant really defer 25 years....well I suppose you could be a perpetual student.

And yes, after 25 years of repayment, your loan balance is written off....it is on the direct loan site.

Sub: #17 posted on Tue, 11/17/2009 - 09:04

SOAPLADY SOAPLADY
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I hsve my Student Loan through AES. Just seems like I've been paying on it FOREVER!!LOL Had a few 'deferments' and 'forbearances', etc. Gosh....I suppose, some day, I'll get this paid off.

Sub: #18 posted on Wed, 11/18/2009 - 17:49

sdchargers_63 sdchargers_63

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( I guess I'm just venting..) I'm a month behind in my payment, to my Student Loan. Just seems like I can't 'keep up with it'. I DID call and tell them I would have a payment as soon as I can. Just frustrating, I guess. I don't have any 'deferments' left. Any suggestions?

Sub: #19 posted on Tue, 12/08/2009 - 05:43

sdchargers_63 sdchargers_63

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Have you consolidated your loan? I am assuming this is a federal loan.

Sub: #20 posted on Tue, 12/08/2009 - 06:23

SOAPLADY SOAPLADY
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