The Short Guide to Repaying Your Federal Student Loans

Posted by kamal on June 5th, 2019

Experts believe that not choosing a specific strategy for repaying your federal student loan can be quite costly in the long run. Student Loan Project provides individuals with the chance to gain better guidance and assistance with their federal student loans.

You need to understand student loan repayment options, how to make payments, reducing the monthly payments, loan forgiveness programs, etc. Where do you start? Here's your guide:

What's The Right Repayment Plan?

You will be provided with various repayment options, from which you must choose, based on your flexibility to pay off the Nursing Student Loans. Here are some things you should know:

• You must choose a plan. If you fail to do so, you will be placed on the Standard Repayment Plan by default, whereby you have 10 years to pay off the loan.
• If at any point in time you feel that you'd like to change the monthly income, you can switch to another plan.
• You may also adopt an income-driven repayment plans - according to which, your repayment plan will be designed on the basis of your income.
• See if you are eligible for any loan forgiveness.

How Can You Make Payments

All billing related to your student debt will be handled by loan servicer. So, you will be required to make payments to them directly. If you are uncertain on who your loan servicer is, The U.S. Department of Education (ED) provides information of who the Federal Perkins Loans servicer shall be for each type of student loan. Once you specify to your lender the plan you choose, you shall receive the billing accordingly.

What Can You Do When You Can't Afford To Pay Your Monthly Payments?

In some cases, individuals find it challenging to pay off the loan. However, it is recommended to never ignore the payments and seek assistance immediately. Here are some things that you can do:

• If you receive your pay slip after the student loan payment, you may speak with your loan servicer to forward and revise the date of repayment.
• Are you handling a multitude of loans? Keeping track of more than one student debt can be overwhelming. You can consolidate all your federal student loans into one, so that you end up managing a single loan, with single monthly repayments.
• Revise your repayment plans to something more suitable.
• You may accrue (accumulate) your loans until you are in a better position to pay them.

Don't let your student Loan Consolidation overwhelm you. There are several federal student debt assistance programs that can help relieve the burden of debt by helping you to lower or even cancel your payments!