You have studied and have almost completed your final examinations. The daunting thought and task of paying back your student loan is now on the cards to be dealt with. You may have the options paying your student loans off monthly or enquire about a student loan debt settlement.
As some institutions allow a student loan debt settlement, you may however be charged a fee for early settlement. However, the institution may even grant you another loan immediately due to managing the loan so well.
However, if you have mismanaged paying off your student loan, you would have to suffer the consequences. You would now have added to your list of non-credibility a defaulted student loan. This is not a good thing if you wish to still study further, you will not be granted another student loan of any sort until you have proven that your credibility has improved.
Crucial Facts That You Need To Know!
You would have to have your student loan debt settlement consolidated which would mean that you would be immediately black listed, and will not be able to enjoy any loan benefits for the next seven years. To have yourself removed from the black listing you would have to prove your credibility there too. Any institution, for immediate payment and settlement, can call in all loans. If you are working and still default on paying off the loan a garnishing order could be placed on your salary by the institution via the court.
If you have gone with the option of paying the student loan debt settlement in full, the institution may grant you not only another loan immediately but they could consider the fact of dropping the next loans interest rate too, or add some other benefits to your next package. It could only benefit you.
Once you have started your payment plan for your student loan, it is advisable to call in every now and again, and enquire what the student loan debt settlement is. By knowing the balance of your student loan debt settlement figure, you might just have enough money to pay the loan off even quicker than you thought or in full. This would surely help getting another loan again if you wish to study further soon.
Getting into bad debt even before you started your career is certainly not a good habit to start. The records of your debt would even affect the results of any other debt or loans you might require in life such as purchasing a car or home.