Repaying student loans? Read this
If you’re paying back your federal student loans, you might be interested in online ads saying things like, “Erase Default Statuses in 4–6 Weeks!” or – for the next few weeks – “Obama Wants to Forgive Your Student Loans!” Erasing default and loan forgiveness – sounds great to someone who owes a bundle, right?
Except here’s the deal: those ads take you to companies that want to charge you to get help with repaying your federal student loans – in some cases costing you hundreds or thousands of dollars. Want a better deal? You can get free assistance from the US Department of Education to do things like:
- Lower your monthly payments
- Consolidate federal student loans
- Check on loan forgiveness, and
- Get out of default
The Department of Education has declared Thursday, January 5th a day of action to help borrowers learn about their options. If you have federal student loans, read up before you make a repayment plan – and share these resources with anyone you know who’s also repaying student loans. Start at StudentAid.gov/repay to learn about student loan repayment. And get some quick tips from the Department of Education.
Remember: you never have to pay to get help from the Department of Education to repay your federal student loan debt. Anyone who says otherwise is scamming you.