If you are like most Iowa students, Federal student loans were needed to help you pay for college. You probably figured you would get a job after graduation and start paying your loans. Unfortunately, when the bills started arriving, you realized you couldn’t afford the payments. Perhaps you used to be able to make federal student loan payments, but your financial situation changed, and now you need help with Iowa Student Loan Debt Relief. At Zisman Law, our student loan lawyer can review your current repayment plan, help get your federal student loan out of default, and determine a more affordable option.
Take Control of Your Student Loan Debt
Many student loan borrowers who make the payments automatically assigned by the servicer have nothing left for the down payment on a mortgage or a car. Thankfully, there are options that can help you handle overwhelming student loan debt. We can analyze your case and show you which alternatives can help you the most.
Standard (Default) Student Loan Repayment Plan
Your first student loan payment was due six months from when you left school, whether you graduated or left the program. If you don’t talk with your student loan servicer at least 45 days before the first payment is due, you are on the standard repayment plan. It takes the sum of your student loans and interest and divides it into 120 installments (10 years). To give you an idea of what this looks like, if your loans are $30,000, payments will be about $250 a month, depending on interest rates.
If you are out of work or underemployed and have credit card debt, medical bills, a mortgage, or a car payment, this type of payment may not be realistic. A student loan lawyer In Iowa may be able to find an alternative repayment plan that can save you hundreds of dollars a year and keep you in good standing with the government.
Federal Student Loan Repayment Plans
Would reducing your monthly student loan payments allow you to pay other bills, move to a new location, or save for a vehicle or home? Federal student loan repayment plans include:
- Graduated Repayment Plan
- Extended Repayment Plan
- Income-Based Repayment Plan (IBR)
- Income-Contingent Repayment Plan (ICR)
- Income-Sensitive Repayment Plan
- Pay as You Earn Repayment Plan (PAYE)
- Saving on Valuable Education (SAVE) – Formerly REPAYE
Each plan has pros and cons. The one that’s right for you depends on your situation and goals. Contact Zisman Law in Fairfield, IA today for a student loan review. This can tell us if we can help make student loan debt manageable by changing your repayment plan and lowering the amount you pay each month.
There are also Iowa student loan repayment assistance programs that you could qualify for, based on your career, such as teachers, nurses, doctors, lawyers, and military members. As a trained student loan lawyer, Shane Zisman can ensure you receive the most complete information available.
Federal Student Loan Consolidation
If you needed help paying for more than one semester of school, you probably have several student loans – One for each semester. Chances are, they each have a different interest rate. This means you may be making multiple monthly student loan payments. Save time and money with a direct consolidation loan. It combines all your federal education loans into one payment.
Benefits include:
- Giving you more time to pay off the loans
- Allowing you to qualify for repayment plans and forgiveness programs
- Simplifying and (potentially) lowering monthly payment requirements
- Switching to a fixed-rate interest instead of variable
- Getting access to forgiveness programs
You can consolidate most federal student loans, including nursing student loans, parent loans for undergraduate students and Direct PLUS loans. However, there are certain requirements you must meet. If you have defaulted on your loans, there are additional steps necessary before you can consolidate.
Rehabilitating Federal Student Loans in Default
If you couldn’t make the required monthly installments, you may have stopped making payments altogether. Rehabilitation offers you one opportunity to get back on track. At Zisman Law, we can work with the servicer and negotiate on your behalf. Once the loans are out of default, we can consolidate your loans. Then, we will help you determine which repayment plan can relieve some of the financial pressure you are experiencing.
Can Bankruptcy Wipe Out Student Loan Debt
Despite what you may have heard, there are certain circumstances in which bankruptcy can wipe out Federal student loan debt. The requirements are very strict, but if you qualify, we can help you file for Chapter 7 bankruptcy and include your federal student loans. This can help you reclaim financial stability and move forward with the rest of your life.
Contact a Student Loan Lawyer in Fairfield, Iowa Today
Student loan law is a specialized niche, with complex requirements. We have the training and experience to help Iowa residents handle Federal student loan debt and other financial burdens to get back on track. Contact us or call 641-472-5141 to get help and learn more about the student loan review and analysis.
