Student Loan Relief Methods

September 10, 2011

Student Loan Relief

Student Loan Relief Methods

First off, this aricle is on student loan relieft methods, if you are looking for methods to pay off your loan faster click here: student loan relief.

It doesn’t matter who you are, if you have student loans or student loan debt, it’s unfortubately a burden in which it seems like there is no light at the end of the tunnel. But before you abandon all hope, we have a few options, what are called student loan relief methods, that like it sounds, can provide you with some much needed relief when it comes to student loans. There are multiple methods of student loan relief that you can apply towards you debt that can help in many ways, and can be used simultaneously. Below are the options that you can use.

5 Methods Of Student Loan Relief

Here are the options you can use that can provide you with student loan relief:

Student Loan Forgiveness

  •  Student loan forgiveness is an excellent resource that allows you to either have a portion of your loan debt wiped away, or in some cases the entire thing forgiven. Student loan relief through forgiveness can be done thorugh many methods, some of which include volunteer work thorugh organizations like Americorps, Peace Corps and VISTA and they either pay a percentage off of your loan each year that you work for them anywhere from 15 to 30 percent per year, or provide you with a lump sum each year of service that you can use towards your debt. The other option is public service jobs which can result in percentages paid per year as well as forgiving your entire loan. This is where you work jobs in area of low income for specified amount of time, where your service is greatly needed. The best way to find out what student loan forgiveness can do for you would be to contact your loan lender.

Student Loan Consolidation

  •  This option can provide you with lower payments each month as well as grouping all of your loans together so that you only have to pay one loan payment each month. This student loan relief method can bring you lower payments as the consolidation company extends the repayment peroid so your payments are smaller over a longer period of time. If you are worried that this will take you too long, no need to worry, because as soon as you get out of the financial pinch and can pay more there is usually no penalty to do so. You can also enjoy the benefits of student loan relief through consolidation with just one loan, you don’t have to have multiple. Also, interest rates are generally lower with consolidation, but shop around first and make sure you get a lower interest rate compared to what you loans are currenlty at. Note private loans and federal loans can not be consolidated together.

Income Contigent Repayment

  • Income contigent repayment is another gerat option to consider when looking for student loan relief. This is an option of repayment on all payment plans that has your montly payments set at what is usually 15 percent of your income, and payments have been as low as 5 dollars in certain cases.

Loan Deferment

  • This option of student loan relief can be used for a variety of different reasons other than being in school which is the general reason of deferment. If you aren’t familiar with the term, it essentially means postponing payments on your student loan or loans for a short period of time. Some of the ways this can be done is through; economic hardship, disablity, public service jobs as well as matters related to your family, like pregnancy, attending to a loved one for a certain amount of time that requires that you stop working, caring for new borns as well as newly adopted children and more.

Student Loan Relief Conclusion

Like it was said above, the best thing to do now if you are interested in utilzing any of these student loan relief methods is to contact your lender and inquire about is with them as they will have the most up to date information on what can apply to your situation. By using these student loan relief methods, you can avoid the act of bankruptcy, which first off is very hard to qualify for and it stays on your record forever.

 

 

Category: Student Loan Forgiveness

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