Over 44 million Americans have student loan debt. Many Americans who are struggling to repay this debt face serious financial problems in the coming years, if not decades. You could find yourself in a situation where student loan payments have been accruing quickly, especially if you’re moving to a new job. When you start a new job, you could face several hundred dollars per month. You could pay as high as $8-$9000 per month on a $30,000 student loan.
Student loans are a great credit tool. If you make regular payments on your debt, you may be eligible for higher credit scores and other credit products. It is possible to quickly damage your credit rating if your student loans continue accruing. A single missed payment can quickly lower your credit score. If you miss 60 or 90 days of payments, your score could drop rapidly. If your student loan payments are more than 270 days late, it is likely that your student loan will be considered a default. Your credit rating will suffer for many years if your loan defaults. There are many options that you can use to manage your debts, including student loan modification and elimination of certain parts of the loan, rehabilitation, or consolidation of debts. Although student loans can have a negative impact on your credit score, you can work with your lender to make the repayment process smoother and manage the debt better.
If you are having trouble paying student loans, contact us immediately. We can help you manage the process!
This post was written by Trey Wright, the best local bankruptcy lawyer! Trey is one of the founding partners of Bruner Wright, P.A. Attorneys at Law, which specializes in areas related to bankruptcy law, estate planning, and business litigation.
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