Repayment – Page 25 – The Student Loan Sherpa

The Tools to Eliminate Student Debt

There is a long list of resources to knock out federal and private student loans. For many borrowers, the ideal approach will be a combination of some of the programs below.

If you are brand new to student loan repayment, this guide is a helpful starting point.

Student Loan Forgiveness

Not all student loans will qualify for loan forgiveness, but there are many different ways to get student debt forgiven.
The most generous loan forgiveness program is Public Service Loan Forgiveness. Program eligibility is complicated, so qualifying is hard, but not impossible.
Parent PLUS loans are not eligible for forgiveness, but they can be consolidated to gain eligibility.

Repayment Plans

After many years of federal government tweaks, there is now a long list of federal repayment plans.
Borrowers struggling with their federal loans often find relief on an Income-Driven Repayment Plan.
If you are unemployed or struggling to get by, many federal borrowers qualify for monthly payments of $0 per month.

Cosigner Tools

Cosigning for student loans is often a risky decision.
When a borrower doesn't make payments, cosigners have few options.
Lenders don't like to release cosigners from loans, but there are many different ways to remove a cosigner.

Sherpa Tips and Strategy

Each month, I prepare a list of tips for borrowers based upon the latest news and market conditions.
If your lender is unfair or misleads you, filing the right complaint can make a big difference.
If you are confused or can't find the information you are looking for, feel free to send me an email.

Consolidation

Federal student loan consolidation does not lower interest rates. Instead, consolidation, helps borrowers gain eligibility for some repayment plans and forgiveness programs.
The Guide to Federal Consolidation explains how the process works and the risks.
Borrowers looking for lower interest rates need to refinance their loans.

Lower Payments

Getting lower payments is a great way to free up cash to attack high-interest debt.
Many of the options to get lower interest rates also result in lower payments.
Borrowers on income-driven repayment plans can often shelter income to qualify for lower monthly payments.

Loan Servicer Transfer: Dealing with a Student Loan Company Change

Borrowers usually can’t prevent a student loan servicer transfer or a student loan company change, but they can avoid headaches.

The Federal Government Should Cancel These Student Loans Right Now

Student loan borrowers are supposed to get loan forgiveness after 20-25 years. Servicers messed up. Cancelation is the only fair solution.

The “Inspirational” Student Loan Payoff Stories Are Harmful

Many major media outlets get a lot of clicks by publishing “inspirational” student loan payoff success stories. This trend needs to stop.

How Hard Is It To Qualify For Public Service Loan Forgiveness (PSLF)?

Getting student loans discharged through Public Service Loan Forgiveness (PSLF) isn’t easy, but it isn’t as hard as some news reports make it sound.

IBR and PAYE Calculations for Independent Contractors and 1099 Workers

If you are a 1099 worker or run a business, IDR calculations might seem complicated or potentially unfair, but there are ways to work the numbers in your favor.