Debt relief for student loans may be available to certain college graduates through programs such as student loan forgiveness plans and repayment assistance options, which can make student loan debt repayments more affordable from month-to-month. The costs of attending a college or university have been increasing and, aside from tuition and fees, added costs for food, room and board, and books also have increased and required many to turn to student loans to supplement any financial aid they may have received.
Yet, it’s not uncommon for a graduate to exit a university or college with some form of student loan debt which must be repaid. Now, more than ever, students are finding it difficult to repay their student loan debts since the job market has been quite unwelcoming over the past months. However, plans for repayment assistance and forgiveness have been offered to certain individuals that meet a set of criteria on their student loan debt.
For example, student loan forgiveness options may be available for graduates who have federal student loan debt and are working in a public service related career. While Federal student loan forgiveness plans do require that an individual make repayments for 10 years, there are supplemental programs that can make these repayments more affordable and, for anyone who qualifies for student loan forgiveness, they may be able to have a large portion of their college loan debts erased.
Assistance with repayment comes in the form of plans like income-based repayment options, consolidation loans, or even forbearance programs. Income-based repayment plans set up a schedule for a graduate which will only require them to meet a certain monthly cost which is dependent upon their income. This can lower monthly payments on student loan debt, but for those who may not qualify for a forgiveness option down the road, it could cause overall costs to increase.
In the past, graduates who have been successful at combating their student loan debt have paid as much as they can towards these loans in order to erase them quickly so that time and interest rates do not become a factor. However, graduates who may be worried about missing payments on their debts and are not presently concerned with overall costs may benefit from options like student loan consolidation plan, forbearance or these income-based repayment options.