Lewis & Monroe, PLLC
Free One-Hour In-Office ConsultationsFree One-Hour In-Office Consultations

Struggling with student loan debt? There may be a solution

In today's economy, many college students graduate with tens of thousands of dollars in student loan debt, and often have trouble making payments due to unemployed or underemployment. However, many Florida residents may be happy to know that there are a number of debt relief solutions that may be available if you have federal student loans.

In general, federal student loans are expected to be paid back within a decade. However, the U.S. government does offer an extended repayment program. To qualify, you have to owe at least $30,000. However, with this type of program, keep in mind that the total amount of interest paid back would be a lot higher than a traditional repayment plan.

Another option that may be available is the graduated repayment plan. This allows for just the interest to be paid back for up to the first four years. After that, the payments gradually increase. In the end, the loan is still paid back in 10 years, although the interest paid back is still higher than if you were to just make regular payments over the entire 10 year period.

There is also a special income-based repayment program that would allow you to pay back what is affordable based on how much you earn. Typically, the amount won't be more than 10 percent, and after 25 years, whatever is not paid off is forgiven. This is often times great for the graduate who has a profession that financially does not equate to how much the education behind the job cost.

These above mentioned options are also just different ways of repayment; however, deferment and forbearance are also sometimes options for the unemployed.

Of course these are also not the only options, and anyone in debt should look into all debt relief options that may help to pay down what is owed the fastest. For example, if you did not have credit card debt, would it be easier to pay off your student loans? Maybe bankruptcy would be the best choice. Additionally, if you're a homeowner, maybe a mortgage modification could help you free up some extra money?

In the end, the message to all those who are struggling with crushing student loan debt is to stay calm, as solutions may be available.

Source: Indianapolis Star, "Your Money: Having trouble repaying those student loans? There's help," Sandra Black, Oct. 16, 2011

No Comments

Leave a comment
Comment Information
ABA Defending Liberty Pursuing Justice American Bankruptcy Institute The Florida Bar 1950 CFAWL Criminal Florida Association For Women Lawyers Orange County Bar Association
Email Us For a Response

Contact The Firm In Orlando, Florida

Bold labels are required.

Contact Information

The use of the Internet or this form for communication with the firm or any individual member of the firm does not establish an attorney-client relationship. Confidential or time-sensitive information should not be sent through this form.


Privacy Policy

Lewis & Monroe, PLLC

651 Rugby Street
Orlando, FL 32804

Phone: 407-917-4147
Fax: 407-246-0008
Map & Directions