Student Loans And Bankruptcy

Student loan repayment troubles? Don’t delay

In addition to garnishing wages, they are also allowed to garnish tax refunds, Social Security checks, and any other government payments. Because student loans cannot be discharged in bankruptcy, it is usually recommended that former students come up with some way to make payments on the loan. If making the minimum monthly payments is too difficult, it might be time to consider loan consolidation. Through this process, student loans are essentially refinanced. Its possible to get a lower interest rate, a longer payment period, and better loan terms through consolidation. Do not make the mistake of expecting to get out of your student loans by filing bankruptcy.
Source: http://www.examiner.com/article/student-loans-and-bankruptcy

Don’t opt for the standard payment plan if you can afford to pay more each month. The standard plan may seem cheaper, but you will end up paying back more money in interest in the long run. Check our your repayment options and don’t opt for the lowest monthly payment. If you find yourself in the middle of a hardship and unable to pay your student loans, there are several things you can do to save your credit. One of the most common is to apply for deferment.
Source: http://www.webpronews.com/student-loans-being-smart-about-your-credit-2014-01

10 Fun Facts About the Student Debt Crisis

sovereign rating, defaults and basis risk account for the majority of the risk embedded in FFELP student loan transactions. Additional defaults and basis shock beyond Fitch’s published stresses could result in future downgrades. Likewise, a buildup of credit enhancement driven by positive excess spread given favorable basis factor conditions could lead to future upgrades. Fitch has taken the following rating actions: Nelnet Student Loan Trust 2005-2: –Class A-4 note at ‘AAAsf’; Rating Watch Negative maintained; –Class A-5 note at ‘AAAsf’; Rating Watch Negative maintained; –Class B note affirms at ‘AA-sf’; Outlook revised to Stable from Positive. Nelnet Student Loan Trust 2005-3: –Class A-4 note at ‘AAAsf’; Rating Watch Negative maintained; –Class A-5 note at ‘AAAsf’; Rating Watch Negative maintained; –Class B note affirms at ‘AA-sf’; Outlook revised to Stable from Positive. Additional information is available at http://www.fitchratings.com .
Source: http://www.reuters.com/article/2014/01/21/ny-fitch-ratings-nelnet-idUSnBw216635a+100+BSW20140121

Student Loans- Being Smart About Your Credit

21, 2014, he’s expected to outline a watchdog group that would aim to protect New Yorkers from rip-offs on student loans. Mike Groll/AP/File ALBANY, N.Y. New York Gov. Andrew Cuomo plans to establish a watchdog group to protectstudentsfrom predatory lenders. The Christian Science Monitor Weekly Digital Edition The so-calledStudentProtection Unit, expected to be detailed in the governor’s budget proposal Tuesday, would keep an eye onstudentloancompanies and other financial firms.
Source: http://www.csmonitor.com/Business/Latest-News-Wires/2014/0121/Student-loans-Cuomo-to-set-up-NY-watchdog

Fitch Maintains Nelnet Student Loan Trust 2005-2 & 2005-3 Sr. Notes on Negative Watch; Affirms Subs

(In practice, this means repaying your loan for at least five years.) There are other ways besides filing for bankruptcy to stop collectors from garnishing your wages. Have you tried to get a deferment or forbearance on your student loan? You may be able to defer repayment of a student loan if you meet the criteria and conditions for your type of loan, and you are not more than 270 days behind in your loan payments (or six months behind for an unemployment deferment on a Federal Family Education Loan). Some common reasons for a deferment are being enrolled in school half-time, being unemployed, suffering economic hardship or serving in the military. Forbearance of a student loan is a little different. You may qualify for forbearance even if you have defaulted on the loan.
Source: http://www.creditcards.com/credit-card-news/student-loan-bankruptcy-wage-garnishement-1294.php

These colleges will pay your student loan bills

After his death, his private student loans were then transferred to his family. The Bryski family has since worked with legislators to continue to introduce and re-introduce legislation that would prevent this from happening to other families. Most recently, HR 2961: The Student Loan Protection Act of 2013, AKA, “Christopher’s Law.” If passed, Christopher’s Law would help families like that of Angela Smith. In 2008, Angela’s son, Donte was killed, yet his student debt lives on . 8.) Delaying Starting Families and Major Purchases According a report by Young Invincibles , since 2002, the debt-to-income ratio of an average single student debtor has increased from .43 to .49 today.
Source: http://www.huffingtonpost.com/kyle-mccarthy/10-fun-facts-about-student-loan-debt_b_4639044.html

Student loans: Cuomo to set up NY watchdog

FAFSA is the gateway to most student aid for undergraduate and graduate students. It determines the eligibility for financial aid, including federal loans, federal Work-Study programs and Pell Grants. In an ED-sponsored event dubbed “Datapalooza” held on January 15 in Washington, D.C., the Department promised to share data “responsibly” with guidance http://www.obamastudentloanforgiveness.net/ counselors to identify students who have started filling out their FAFSAs with a view toward helping them finish the complex form. It is not clear what data would be disclosed. Related Articles The Department of Education Set to Consider Changes to Parent PLUS Loans The plan is wrapped into the Obama administration’s goal to make college more affordable and tries to attack a nagging problem: the low FAFSA completion rate for disadvantaged college applicants.
Source: http://www.mainstreet.com/article/moneyinvesting/education-planning/student-loan-debts-identity-crisis

Student Loan Debt’s Identity Crisis

Under Houghton College’s agreement with the LRAP Foundation, for example, graduates earning less than $38,000 a year post-graduation will receive some assistance, while those earning $20,000 or less will have 100% of their bills paid until their salary increases. The foundation will cover half of the student loan bills for someone earning $29,000 a year. Samuelson wouldn’t disclose exactly how many schools have signed on to the LRAP program, but said the number increased by 50% last fall and includes dozens of colleges. Is the cost of college crippling? CNNMoney found eight small, private Christian colleges offering the program, either currently or for students starting next fall.
Source: http://money.cnn.com/2014/01/22/pf/college/student-loan-repayment/index.html

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