Should I consolidate my student loans?

The question

I have a unsub and substidized student loan. I am trying to start school in jan 2012 but my loans just went into default. i have to wait a month before the dept of ed updates there system to tell me about my options. I was just wondering If anyone has had this problem. I want to go back to achool as soon as i can without paying off the complete loans. will i be eligible for federal aid again? an whats my best option?

Best answers:

You will have to complete a loan rehabilitation/reentry program to become eligible for federal aid again. Once you default on loans there’s no way to get aid again without paying it back. Contact your lender for in rank on the rehab program. You will have to make 9 months of full, voluntary payments to have the loan taken out of default, but after 6 months of payments you will be eligible for aid again. If you miss a payment, it goes back in default with no further options. You should call your lender though and question if consolidating will restore your eligibility or if you’re even eligible to consolidate them. Excellent luck…and start making payments. Your wages will be garnished everlastingly until paid in full if you ignore the default.

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,000 in student loans when I graduate, AM I CRAZY?

The question

I got accepted into the University of Florida (Go GATORS!) and my parents are somewhat ancient-school so will be paying for it all myself. I will receive around $ 1500 a semester from my erudition but I will have to take out student loans (federal and private) to pay for the rest. By the the time I graduate (2012) I will have over $ 35,000 in loan debt. AM I CRAZY or is the somewhat normal?
I’ve maxed out the federal loans (which are very small) awarded to me, I’m only taking out private loans to cover the remaining costs.

Best answers:

somewhat normal. I know people paying that much a year. Loans suck, but that isn’t outrageous. Not in today’s standards anyways.

You need a college degree…where else will you go? Not as terrible as being $ 200,000 in debt.

You are lucky, it is less than most people have. It is worth it. Excellent luck Graduate!

Def. not crazy. An education is priceless. But in all honesty do you really reckon that is all you will be in debt before it’s over. Florida is an awesome school, and with that comes some awesome parties. I am guessing your loan amount will be closer to 60. But like I said, education is priceless. And hey if all else fails, you can join the military as an officer when you’re done and they will pay all that off for you! Hey at least you have options! Excellent luck!!!

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IMPORTANT Question about the 6 month grace period on student loans?

The question

Hey, so I have a really vital question about the grace period.

Unfortunately, I flunked out of my first semester of freshman year in Fall 2011 and got rationally dismissed by my university in December 2011. I expected to transfer to a community college in Spring 2012 and then go back to school straight away and start off fresh.

BUT, every single Community College in the New York Metro Area had their registration deadlines for the Spring 2012 semester end by the time I was told of my academic dismissal.

So basically, I cannot register as a full-time or part-time student this Spring 2012 semester. But, they told me I could apply for the Fall 2012 semester.

Will my Student Loans from both private companies (chase) and federal companies start attacking me to pay for my loans, even though i will be registering by Fall 2012?

Best answers:

Once you drop below half time status which would have been December, you have a 6 months grace period before your loans go into repayment. You may have to start making payments until you get registered in fall 2012. My advice would be to immediately contact your lenders and apply for leniency. This is when you are out of school and do not have the ability to pay. Deferrement is when you are in school.

Excellent luck

Your loans will enter repayment. Get a job and make a couple payments as necessary and your loans will go back into in school deferment once you return to school. You could also enroll for the summer and maybe avoid entering repayment.

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Comments

just not that says:

February 8, 2012 at 4:28 pm

Private loans are crazy. These are the sub-prime loans of the college

And you won’t get approved for them without a fantastic cosigner. Crazy because without a cosigner willing to stick with you for the next 4 years (and have the income and low debt-to-income to continue to be approved)… your plot won’t work.

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AFrend says:

February 8, 2012 at 5:01 pm

$ 35,000 is around the norm for college graduates. Be aware you could be paying $ 400-$ 500 bucks a month to pay it off if you take the standard repayment. If you’re going into a low-income field, such as teaching and social work, you may want to find ways to reduce your debt.

What really concerns me is that you’re taking out private loans. Speaking from experience, I’d stay away from private loans. They interest rate is steep (10-15% is average), and there pretty much no flexibility in repayment like there is with federal loans. I know school is expensive, but private loans can eat people alive after graduation so I’d recommend finding a way to reduce your need to take out private loans ASAP.

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