In part two of a two-part podcast series, Scott Rodgville of GSG is speaking with Jan Wagner and Michele Waxman Johnson of Central Scholarship about federal and private loan repayment options, refinancing, as well as state, local and employer based programs.
Once you’ve obtained your loans and progressed through your educational program, it’s time to start evaluating your repayment options.
There are eight repayment plans available for federal student loans:
- Standard Repayment Plan
- Graduated Repayment Plan
- Extended Repayment Plan
- 5 additional income based plans – eligibility is limited, and parents who borrow are ineligible. Some of these plans forgive outstanding balances after 20-25 years, assuming you’ve followed all the rules.
You may also want to consider Public Service Loan Forgiveness. If you work full time for a government agency (federal, state or local) or qualifying nonprofit, you may be eligible. It forgives the remaining balance on your federal loans after you’ve made 120 on-time monthly payments.
There is also the consolidation of student loans. If you have multiple federal loans, you can consolidate them into one federal consolidation loan to simplify your repayment process. It does not include private loans.
You should not ignore mail notices requesting payments. Once you receive these requests, talk to your servicer.
This podcast also discusses:
- Where to go with a questions regarding student loans
- Refinancing student loans
- What employers can do to help repay student loans
If you have any questions regarding student loans, contact us.Categories: Higher Education