Ways to get relief from student loan debt
With student loan debt nearing $1 trillion, there are many people struggling financially. Some individuals have as much as $40,000 in student loans. (2) These enormous debts are weighing them down; affecting their ability to make ends meet and preventing them from moving forward with their lives. Therefore they’re delaying buying a house, saving for retirement, getting married or buying a new car. In return, student loan debts and the ability to pay them are hurting our economy’s recovery. (1)
While the need for restructuring and altering these financial obligations is apparent, there is no immediate solution being set-forth by the Federal Government. So what can you do to get some relief from your high-cost debt? Depending upon your financial situation, you may have options.
Get a deferment or forbearance—This is when your payments are temporarily suspended because of hardship, unemployment or returning to school. (3)
Look into repayment plans—Repayment plans can reduce your monthly payments until you can afford to make larger ones. (3)
Ask about a loan consolidation—You may get some relief by consolidating the loans. While they provide the convenience of one, lower monthly payment they can also increase the life of the loan causing you to pay more in interest in the long term. (3)
Selling future payments—If you have an annuity or other illiquid asset you may be able to sell some or all of your future payments for a cash lump sum payment thereby eliminating or reducing your debt.
Other unique situations—If you have become disabled after the loan was made you may be able to get a discharge. Some individuals, based upon occupation, may qualify for a discharge as well. (3)
If you’re struggling financially and are looking for immediate relief by selling your future payments, call CBC Settlement Funding today.
Sources: