Embracing the new reality: Student Loan Payments (Recent Development)

1. Review Your Loan Details:

   • Check your loan balance, interest rate, and the terms of your loan.

   • Contact your loan servicer if you need to update your contact information or have any questions.

   • If you can't identify your loan servicer, check your credit report on Credit Karma to find out who is servicing your student loan.

2. Budget Accordingly:

   • Assess your monthly expenses and create a budget to accommodate your loan payment.

   • Consider cutting non-essential expenses to ensure you can meet your payment obligations.

3. Explore Repayment Plans:

   • Research and consider switching to a repayment plan that suits your financial situation.

   • Income-driven repayment plans could be a viable option if you anticipate a lower income.

   • You also might be eligible for student loan forgiveness!

4. Set Up Automatic Payments:

   • Avoid late fees by setting up automatic payments.

   • Some lenders offer a small interest rate reduction for enrolling in auto-pay.

5. Seek Professional Advice:

   • Consult with a financial advisor to explore options such as loan consolidation or refinancing, which might lower your monthly payments.

Recent Development October 3, 2023:

According to the whitehouse.gov (2023), “The Department is instituting a 12-month “on-ramp” to repayment, running from October 1, 2023, to September 30, 2024, so that financially vulnerable borrowers who miss monthly payments during this period are not considered delinquent, reported to credit bureaus, placed in default, or referred to debt collection agencies.