What should I do if I can’t make my student loan payment?
Updated on June 30, 2019
Student loans are something that people from all walks of life deal with, and they can be incredibly frustrating. Student loan debt can be difficult to get out of, particularly if your income isn’t as high as you might have anticipated when you were in college. If you are struggling to make your student loan payments, don’t panic. Everyone experiences financial stress from time to time, and it’s something many people go through. Here are some solutions to consider if you can’t make your student loan payments.
Change your repayment plan
The first thing to consider if you are struggling to make your student loan payments is to change your repayment plan. Lenders typically offer several different repayment plans, many of which are income driven. As soon as you realize you aren’t going to be able to make the payments, it’s best to contact your lender and let them know, so they can tell you more about your options and help you choose a new plan that better suits your financial status.
Look into deferment
If you have lost a job or are experiencing another form of severe financial hardship, you may qualify for deferred payments. It’s worth checking to see if this option is available to you because it will let you defer your payments for as long as three years. You can also request forbearance if you don’t qualify for deferment. This will let you postpone or minimize your payments for a shorter period of time, usually less than one year.
If you are struggling with multiple forms of debt, not just student loans, you may be able to save some money by consolidating them. This can give you more time to pay off your loans and lower your monthly payments. However, not all student loans are eligible for consolidation.
Ask a family member or friend for help
If you normally can make your student loan payments and you are just experiencing a one-time anomaly, you may want to consider asking a friend or family member to help you out. This way, you won’t experience any negative consequences for your credit, and you can pay your friend back on your own timeline.