Before you start negotiating, check with your student loan servicer to find out if your loans are near or in default. When you make contact, the servicer might offer you a forbearance or alternative repayment plan like interest only payments for a short-period.
Step 1 – Know what you can afford
Check your finances to know how much you cash you can put your hands on and when it will be available to you. Look at your savings, 401k, inheritance, family members, pay stubs, and monthly expenses to learn what you can afford in a lump sum or per month.
Step 2 – Know what type of loans you’re settling
Remember, settlements vary greatly depending on whether you’re settling federal student loans or private student loans. If you’re not sure what type of loans you have, check . Any loan listed on the Federal Student Aid website is a federal student loan. If your loan isn’t listed there, it’s likely a private student loan.
- Direct Loans
- FFEL Loans
- Perkins Loans
Step 3 – Contact the debt collector
Ask the representative for the repayment options on your defaulted loan. If they don’t offer you a settlement, ask if settlement is an option, and, if so, how much will they accept. At this point, the representative may ask you for about your personal finances, marital status, etc. ادامه خواندن “How to negotiate a student loan payoff”