What happens if I can't make my student loan payments?

If you are unable to make your student loan payments in California, you should contact your loan servicer to discuss repayment options. Depending on your loan type and financial situation, you may be able to qualify for different payment plans. These plans can reduce the amount of your monthly payments and can even postpone them for a certain period of time. If you are unable to make payments on your loan, or if your loan has gone into default, you may still have options available. Federal loan borrowers may qualify to have their loan reinstated through a process called rehabilitation. This process involves setting up a payment plan that you can afford and making nine consecutive on-time payments. After completing rehabilitation, your loan will no longer be in default, and the default will be removed from your credit report. Additionally, depending on your loan type and federal loan status, you may be eligible for loan forgiveness after a certain period of time. If you qualify for a loan forgiveness program, you may be able to have some or all of your loan balance forgiven. Finally, if none of these options are available to you, you may be able to settle the debt for a lower amount. Contact your loan servicer or a knowledgeable debt attorney to discuss settlement options.

Related FAQs

Are there any federal grants available to help cover educational costs?
Are there any private student loan lenders that offer lower interest rates?
Are there any options for consolidating federal and private student loans?
What is the difference between a loan deferment and a loan forbearance?
Can I discharge my student loan debt in bankruptcy?
How do I consolidate my student loans?
Are there any programs to help those in public service with student loan repayment?
How do I find out if I qualify for student loan debt consolidation?
How do I calculate my monthly payments on my student loans?
Are there any government programs that help with student loan debt relief?

What happens if I can't make my student loan payments?

Related FAQs

Related Blog Posts