You are working in your office and suddenly you receive a call from your loan lender telling you that you have defaulted on your student loan. You must be totally panic stricken. Isn’t it? What will you do now? Stop banging your head and go for the repayment options as there are a plethora of such ways. Erudition is the essence of life and for this you need education. Since education is growing unaffordable in the present scenario, most of the people are opting for student loan.
Never ignore your student loan
However you must be careful that you pay off the money to the debt collector in time. The delinquency period is 270 days or nine successive months and within that period you should clear your debt. When you fail to pay off the money, the interest rates start to mount. It just gets worse when you cross the delinquency period. The debt collectors start chasing you like anything. At first you will get repeated number of calls from the collection agency. They might threaten you and use abusive language. You become helpless and have nothing to do. You suffer from a negative impact on your credit score.
Defaulted student loan is an ignominy on the career of the student who actually becomes a defaulter. Severe measures are taken against him. If the person holds any job, he might lose it. He cannot even go for any other loans or own a house of his own. His credit card stops functioning and the banks will stop providing him with any further loans.
However you can easily negotiate a delinquent student loan and can eliminate the surcharges as well.
Negotiate a delinquent student loan
Follow these tips and get to know how you can negotiate a delinquent student loan debt.
- First you make an estimate of your financial status. At first, chalk out how much you can pay off per month and slowly make payment on your student loan. With the help of a student loan calculator ascertain your full payment.
- Never allow a delinquent student loan to become a defaulted student loan. Try to pay within 270 days and ascertain your loan status.
- If you want to consolidate multiple amounts of loans, you can do it by talking to the collection agency. Now you need to rehabilitate the student loan.
- Call the servicing agency and let them know that you want to negotiate and get your student loan rehabilitated.
- You should also make arrangement of your payment plan and get everything in writing. Keep the documents with you properly.
Now you start paying off the student loan. If you again become a defaulter, it will be impossible to negotiate further. Seeking delinquent student loan help is very essential and it is always advisable that you talk and consult with your money lender from time to time.
About the Author: The author here focuses on the importance of student loan and asks you to seek delinquent student loan help. Never let any delinquent loan become a defaulted student loan and proper measures must be taken.