Student Loan Debt

Keeping Up with Your Student Loans

Keeping up with student loans can be challenging when your income is limited.  If you are unemployed or have recently had your hours cut, you might be finding it difficult to keep up with your student loan payments. The good news is there are repayment options during your unemployment. Paying off your student loans can be one less worry while you’re looking for a job, as long as you’re willing to do a little legwork first and provided your lender is notified before the loan goes into default.  

Student Loan Repayment Options

If you are unable to make your loan payment you should consult with your lender for more information based on your specific circumstances.  Private loans and federal loans will have different options for borrowers. If you don’t know what kind of loan you have, you can find out on National Student Loan System's website.

• Postpone payments through deferment or forbearance programs. These programs can  allow you to temporarily postpone your monthly payments under certain circumstances (e.g. unemployment, disaster, financial hardship, etc.)
• Consolidate your loans to lower your payments. Combining your existing loans into one new consolidated loan can offer several advantages including one account and lower interest.
• Change your repayment plans. Changing to a more affordable repayment plan (e.g. graduated plans) can help to lower your payment.

Student Loan Toolbox

There are several tools available to assist you in determining appropriate student loan repayment options.

• Find a Solution is a step-by-step guide to help you make a plan for resolving your student loan problem.

• Loan Wizard is an interactive guide to student loan problems. 

• Federal Direct Online Consolidation Loans Online Calculator can help you to estimate your new payments after consolidation.

 

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Foster Care Alumni of America would like to thank the Freddie Mac Foundation for their generous support in making these resources available. To learn more about Freddie Mac, visit the Freddie Mac Foundation website.

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