Student Loan - ProTeacher Community




Home Join Now Search My Favorites
Help


      The VENT

Student Loan

>

Reply
 
Thread Tools
learn's Avatar
learn learn is offline
 
Joined: Oct 2006
Posts: 778
Senior Member

learn
 
learn's Avatar
 
Joined: Oct 2006
Posts: 778
Senior Member
Student Loan
Old 01-16-2020, 01:43 PM
 
Clip to ScrapBook #1

Anyone out there not just pay it? Did it clear off your credit report? I"m tired of trying to work with the loan forgiveness program and it seems like I'm working backwards instead of getting ahead. Every little forbearance puts me back, the years that I paid not being in this supposedly forgiveness program cancels out....on and on and on....its tiresome.

Should I NOT pay it anymore?

Should I just get a private loan and pay it off and not deal with this government? If I pay I need to give them 75% of $37, 000.

If I continue in the loan forgiveness it is $219 for the next 30 months.

Any advice? I'm overwhelmed with this.



Last edited by learn; 01-16-2020 at 01:46 PM.. Reason: add more information
learn is offline   Reply With Quote

ConnieWI ConnieWI is offline
 
Joined: Apr 2007
Posts: 6,938
Senior Member

ConnieWI
 
Joined: Apr 2007
Posts: 6,938
Senior Member
The Math
Old 01-16-2020, 01:54 PM
 
Clip to ScrapBook #2

75% of $37,000 = $27,750

$219 x 30 = $6570

If I understand your email and have used my calculator to figure the totals, I think the second choice is the better one.
ConnieWI is offline   Reply With Quote
Gromit's Avatar
Gromit Gromit is offline
 
Joined: Mar 2009
Posts: 9,278
Senior Member

Gromit
 
Gromit's Avatar
 
Joined: Mar 2009
Posts: 9,278
Senior Member

Old 01-16-2020, 02:02 PM
 
Clip to ScrapBook #3

Thirty months is less than 3 years! I would definitely stick out the loan forgiveness program vs paying an extra $21k.
Gromit is offline   Reply With Quote
sevenplus's Avatar
sevenplus sevenplus is offline
 
Joined: Aug 2008
Posts: 4,276
Senior Member

sevenplus
 
sevenplus's Avatar
 
Joined: Aug 2008
Posts: 4,276
Senior Member

Old 01-16-2020, 02:14 PM
 
Clip to ScrapBook #4

Not paying sounds like a bad idea.

The $219/month sounds like a great deal.
sevenplus is offline   Reply With Quote
Peaches Pears Peaches Pears is offline
 
Joined: Mar 2009
Posts: 8,104
Senior Member

Peaches Pears
 
Joined: Mar 2009
Posts: 8,104
Senior Member

Old 01-16-2020, 02:45 PM
 
Clip to ScrapBook #5

I can't imagine any kind of deal that will work out better than paying $6570 for a $37,000 loan principle.

That amounts to a gift payment of $30,430 for an education that will support you for the rest of your life.

My advice:

Say "Thank you" and stay with the programme. You will be done with this loan in 30 months.


Peaches Pears is offline   Reply With Quote
momteachsis momteachsis is offline
 
Joined: Jan 2009
Posts: 1,145
Senior Member

momteachsis
 
Joined: Jan 2009
Posts: 1,145
Senior Member
Paying: The consequence
Old 01-16-2020, 02:49 PM
 
Clip to ScrapBook #6

A young relative of mine did not pay her student loan, which was less than $4000. The IRS took her expected refund and paid off the loan and only sent her the under $100 that was left of her refund.
So, if you don't pay the loan the government can take any refund you're owed on your taxes.
momteachsis is offline   Reply With Quote
PrivateEyes's Avatar
PrivateEyes PrivateEyes is offline
 
Joined: Oct 2005
Posts: 3,958
Blog Entries: 5
Senior Member

PrivateEyes
 
PrivateEyes's Avatar
 
Joined: Oct 2005
Posts: 3,958
Senior Member
My cousin
Old 01-16-2020, 03:25 PM
 
Clip to ScrapBook #7

owed about 5,000 on a student loan, and she didn't pay it. Nobody came after her. But when she wanted to buy a house, she and her husband were told that in order to get the mortgage, they would have to make good on her student loan.
PrivateEyes is offline   Reply With Quote
Sbkangas5's Avatar
Sbkangas5 Sbkangas5 is offline
 
Joined: Aug 2012
Posts: 6,681
Senior Member

Sbkangas5
 
Sbkangas5's Avatar
 
Joined: Aug 2012
Posts: 6,681
Senior Member

Old 01-16-2020, 03:46 PM
 
Clip to ScrapBook #8

I understand your frustration. I can't tell you how many issues we've had with student loans. But they will garnish your wages if you don't pay them, so definitely keep paying if you can.
Sbkangas5 is offline   Reply With Quote
mommy9298's Avatar
mommy9298 mommy9298 is offline
 
Joined: Dec 2011
Posts: 4,580
Senior Member

mommy9298
 
mommy9298's Avatar
 
Joined: Dec 2011
Posts: 4,580
Senior Member

Old 01-16-2020, 04:21 PM
 
Clip to ScrapBook #9

Pay it, donít stop paying it. Your credit will be ruined. A colleague cosigned for her daughter. Long story short, daughter stopped going and paying. Hid all the notices in the mail. When colleague filed her taxes, the IRS took her refund to pay dd student loan. They are now working together to pay it, but they both ruined their credit. Younger ds could not have mom co-sign a loan because of what her sister did, so thereís some bad blood there.
mommy9298 is offline   Reply With Quote
Tiamat Tiamat is offline
 
Joined: Nov 2005
Posts: 1,700
Senior Member

Tiamat
 
Joined: Nov 2005
Posts: 1,700
Senior Member

Old 01-16-2020, 04:22 PM
 
Clip to ScrapBook #10

I don't get why this is even a question. You pay a fairly low monthly payment for 30 months and it's all gone away at a cost of $6,500.

Or you borrow $27,000-odd from a private lender and pay them back who knows how much for who knows how long and end up paying the $27,000 PLUS whatever interest they charge.

From here, it seems a no-brainer.


Tiamat is offline   Reply With Quote
LazyLake LazyLake is online now
 
Joined: Apr 2019
Posts: 706
Full Member

LazyLake
 
Joined: Apr 2019
Posts: 706
Full Member

Old 01-16-2020, 04:59 PM
 
Clip to ScrapBook #11

Sorry you're feeling frustrated paying off your student loan.

But it baffles me that you would consider not paying off a loan that you signed for and could pay off in 30 months.

One might compare it to signing a car loan. Would you make some car payments then decide to stop making payments all the while expecting to be able to keep driving the car without dealing with the consequences from the loan company? There would definitely be consequences.

Think about it -taking out the loan for your degree that qualifies you for your profession is going to last your whole teaching career. Investing in your education has been well worth it, even if it requires you to honor your obligation to pay off the loan.
LazyLake is online now   Reply With Quote
Izzy23 Izzy23 is offline
 
Joined: Aug 2009
Posts: 1,414
Senior Member

Izzy23
 
Joined: Aug 2009
Posts: 1,414
Senior Member

Old 01-16-2020, 05:31 PM
 
Clip to ScrapBook #12

I understand your frustration. Especially if you are dealing with the Public Service Loan Forgiveness -- that's the one where if you pay for 10 years, they forgive 90% of the loan. However, no one ever gets the loan forgiven because they find a thousand ways to deny you. My sister and several of my friends tried, and every single one was denied for a different reason. I don't know anyone who qualified.

A teacher loan forgiveness program is a little more lenient. But they forgive a lot less. I tried to get that, but was told I didn't qualify because I consolidated a private and a public loan. At the time I had no idea that mattered and my loan "counselor" (I use that term sooo loosely) didn't say anything.

I have been paying on my student loan for 12 years, never missed a month's payment, and I haven't even paid one-third of what I owe. The interest rates are just too high.

So I get how you are feeling.

But seriously, don't default. They will come after you. My brother-in-law didn't pay a loan and they took his tax refund, then garnished his wages. He can't get a housing loan now, either.

They said student loan debt was "good debt," but that's a lie. You can't refinance. You often can't get forgiveness. And you can't pay it off unless you live in your parent's basement and eat ramen noodles for 10 years. It was not like this 20 years ago when I went for my undergrad degree. I paid that loan off in no time. Something has definitely changed. I'm struggling and I know a lot of other people are too. So I'm sorry you are too.
Izzy23 is offline   Reply With Quote
Fractured Fractured is offline
 
Joined: Jan 2018
Posts: 330
Full Member

Fractured
 
Joined: Jan 2018
Posts: 330
Full Member

Old 01-16-2020, 05:53 PM
 
Clip to ScrapBook #13

As a recent grad student, we were told over and over again that the worst thing to ever do is to stop paying off your loans. You can defer sometimes. My company told me even if you canít make the monthly payment, always call them first and give them the heads up and they will try to work something out. If you miss one payment they can probably kick out of your current deal and the loan forgiveness program on top of that. As other said, they will find other ways to get you on the refund or somewhere down the line.
Fractured is offline   Reply With Quote
apple annie's Avatar
apple annie apple annie is offline
 
Joined: Sep 2005
Posts: 3,143
Senior Member

apple annie
 
apple annie's Avatar
 
Joined: Sep 2005
Posts: 3,143
Senior Member

Old 01-16-2020, 08:44 PM
 
Clip to ScrapBook #14

Student loans NEVER go away. You WILL pay it one way or another. Your pay will eventually be garnished. But by that tine your credit will also be ruined.
apple annie is offline   Reply With Quote
teenytiny's Avatar
teenytiny teenytiny is offline
 
Joined: Aug 2010
Posts: 5,238
Senior Member

teenytiny
 
teenytiny's Avatar
 
Joined: Aug 2010
Posts: 5,238
Senior Member

Old 01-17-2020, 07:14 PM
 
Clip to ScrapBook #15

No, it will NEVER clear off your credit report. Ever, not in your whole life. This is not something you can ignore and it will just go away. My friend didn't paid on hers. It's still there many years later, still accruing interest! She now owes far FAR more than the original amount. She'll never be able to buy a house, she gets the worst rate on car loans. It impacts her life in multiple ways.

Pay it. $219 for 30 months is perfectly reasonable. The answer is extremely simple. Stop fighting this and pay it.
teenytiny is offline   Reply With Quote
marguerite2 marguerite2 is offline
 
Joined: Oct 2013
Posts: 2,232
Senior Member

marguerite2
 
Joined: Oct 2013
Posts: 2,232
Senior Member

Old 01-17-2020, 07:41 PM
 
Clip to ScrapBook #16

If you default, and your loan has a cosigner, they will go after them. They will even garnish social security.

Bankruptcy is not an option. Student loans are near impossible to discharge in bankruptcy.

$219 for 30 months is a good deal.
marguerite2 is offline   Reply With Quote
needmyjob needmyjob is offline
 
Joined: Mar 2009
Posts: 902
Senior Member

needmyjob
 
Joined: Mar 2009
Posts: 902
Senior Member
learn
Old 01-18-2020, 08:32 AM
 
Clip to ScrapBook #17

You MUST pay off student loans, or they will garnish whatever you have including income tax refund; your salary; and SS. That Loan Forgiveness program is currently under investigation so don't bother counting on that.

Student loan interest, though, is about the lowest interest you could get. Take your time and just keep paying. Taking another loan to payoff student loan may end up costing you more.

You can ask for what I cannot recall the name of...but payments can be lowered based on salary.
needmyjob is offline   Reply With Quote
Fractured Fractured is offline
 
Joined: Jan 2018
Posts: 330
Full Member

Fractured
 
Joined: Jan 2018
Posts: 330
Full Member

Old 01-18-2020, 03:03 PM
 
Clip to ScrapBook #18

Thatís the income based repayment plan.
Fractured is offline   Reply With Quote

Join the conversation! Post as a guest or become a member today. New members welcome!

Reply

 

>
The VENT
Thread Tools




Sign Up Now

Sign Up FREE | ProTeacher Help | BusyBoard

All times are GMT -8. The time now is 07:56 AM.

Copyright © 2019 ProTeacher®
For individual use only. Do not copy, reproduce or transmit.
source: www.proteacher.net