Many individuals with various forms of debt have often sought out ways to handle their repayments since there are those who have debts from credit cards, student loans, or personal loans that can be troublesome when difficult financial times arise. It’s for this reason that debtors who are struggling to repay what they owe to creditors often seek some form of counseling or debt assistance. However, many debtors have been able to contact their creditor and simply ask for direct assistance rather than going through a third party as there are creditors who can offer assistance through forbearance on certain debts owed.
While some cases of debt forbearance will be dependent upon the creditor, there are other situations where forbearance can be easier to obtain. For instance, student loan debt from the federal government has certain deferment and forbearance options for individuals who are either still in school or who have graduated but are having trouble repaying their student loan debt. Typically, these forbearance plans require a certain level of financial hardship, but many individuals who have gotten close to the point where they cannot make their payments will qualify.
Also, the federal government has proposed a forbearance program for unemployed homeowners who are struggling to make their home loan payments. This program may offer certain homeowners who qualify the opportunity to forgo their payments on their home loan for a set period of time so that they can either get back on their feet financially or prepare alternative living arrangements.
There have also been those who have had a large amount of credit card debt or simply credit card debt that is becoming unmanageable who have been able to obtain forbearance on their payments. Individuals who foresee credit card trouble on the horizon often stand the best chance if they talk with their creditor early before a large problem arises. Many credit card companies have granted forbearance to cardholders simply because without doing so a cardholder may have to default on their unsecured debt, which is detrimental to the credit card company.
Many financial advisers tell those who are seeking forbearance on their debt to call their creditor and talk over assistance options. Also, the earlier one contacts their creditor the easier it may be for someone struggling to repay their debt to find assistance. While not every debtor will be able to obtain forbearance on money they owe, there have been many over the past months who have come under financial strain but were granted debt assistance so that they had time to prepare their finances and get back on their repayment schedule.