Student Loan Assistance
The cost of a college education has spiraled beyond the reach of many families.
Government cutbacks have resulted in increased tuition and other costs
of attendance. In 1990, the average cost for a year of college was $12,303,
according to the National Center for Education Statistics. 20 years later
in 2010, it was $21,657, almost twice the amount.
In the last 10 years, student loan debt has sharply risen form $240 billion
to over $1 trillion! Some experts are saying that this could be the next
national crisis unless Congress does something about it. Almost 60% of
this debt is held by households with less than $8500 in net worth. In
short, a lot of families with very little financial resources are now
burdened with student loan debt. This looks like a financial disaster
waiting to happen.
family finance lawyers, we believe that education should open new doors for opportunity and advancement.
But if new graduates are already buried under a heavy load of student
debt before they even step out into the working world, they could be at
a great disadvantage especially considering today's unstable economy.
For students with higher education costs, their parents may have also
acquired loans in their name in order to make sure that their child had
enough funds until graduation. A lot of these parent loans are just as
burdensome especially if the parents are close to retirement. Unless parents
have other sources of income upon retirement besides social security and/or
their company pension, repaying parent loans can be difficult if not impossible.
If you have student loans (or parent loans if you are a parent) that have
become unmanageable, we may be able to help. If you have just graduated
and have not chosen the right repayment plan for your needs, we can also
help you understand your options so you can make the best decision for
- Evaluate your current financial situation
- For federal loans, we will identify the Department of Education (DOE) programs
that maximize savings
- Help implement the best solution
Federal Student Loan Repayment Options include:
- The Standard Repayment Plan
- Graduated Repayment Plan
- Extended Fixed Repayment Plan
- Extended Graduated Repayment Plan.
If you have a financial hardship, you may qualify for the Pay-As-You-Earn
Plan. If income is limited, your best option may be an Income-Based Repayment
Plan or the Income Contingent Repayment Plan. If your hardship is temporary,
you may need a suspension of payments (Forbearance). Under certain circumstances,
the government may also allow a Deferment during which no payments are
due and no interest accrues on the loan.
Which Option is Right for You?
Each of these programs has its own advantages and disadvantages and depending
on the type of federal loan(s) you have, you may or may not qualify under
some of them. The choices are often confusing to students and parents.
Our goal is to get you into the program that is right for you. If you
have multiple loans, you may also be able to consolidate them into one
loan and have a lower monthly payment.
Private Loans: Private loans do not qualify for any of the federal loan
programs. However, it may be possible to settle them for less than full
amount or to consolidate them through a
Chapter 13 bankruptcy and have a more affordable monthly payment. In cases of undue hardship,
you may qualify to discharge your student loans in bankruptcy. Bankruptcy
law can be complex and you should consult with a knowledgeable and experienced
bankruptcy attorney. Because we are a full-service debt relief law firm,
we can help you understand all available options, both
bankruptcy and non-bankruptcy alternatives.
Free Attorney Consultation
We offer a
FREE INITIAL 30-minute consultation to anyone who needs help with student loans. To schedule an appointment,
please call our appointment line at 866-477-7772.