Are Loan Deferment and Loan Forbearance the Answer to Student Debt?
Most students who go to college are under the misconception that they will be able to make student loan repayments as they will have a more money because of their college education. However, this is not necessarily true. With the current global recession, there are fewer jobs and this would explain why there is a sudden spurt in loan forbearance, loan deferment and student loan default. Taking into consideration the problems students are having in repaying their loans, many lenders are writing off troubled loans. In fact, Sallie Mae wrote off nearly 3.4 percent of such loans in 2008. Also, Citigroup wrote of 2.3 percent of student loans. If you have a student loan, the good news is that all university students and graduates can enjoy a 6-month holiday on federal student loan repayments. Here are some options that can help you ease your financial burden if you are unable to currently pay your student loans: Loan forbearance refers to a deferred repayment plan for up to 3 years. This may
Related Questions
- I recently sent in a deferment/forbearance request to Edfinancial Services. Will my deferment/forbearance automatically be applied on my loan(s) that was transferred to the Department of Education?
- Who do I contact to get more information regarding Loan Repayment, Deferment or Forbearance?
- What type of loan debt does a typical Roanoke College student graduate with?
