Student loans are never an easy debt to carry. Thousands of Americans all over the nation struggle with student loan debt. Some reasons for these struggles are a few common problems borrowers face when dealing with student loans. Here are some tips on how to handle them:
1. Borrowers are not aware of student loan repayment options. Yet, there are many ways to repay student loans, especially if they are federal loans; each borrower should use a program that works best for their specific situation. Doing research on whether to use Income Based Repayment, Pay-As-You-Earn (PAYE), or getting student loan forgiveness through public service, can be helpful in gaging how to pay back student loans. However, contacting a professional in student loan debt is a good idea if you still cannot seem to get your debt under control.
2. Services might be hard to communicate a repayment agreement with. When borrowers send in extra payments for their student loans to their loan servicer they expect that extra money to pay off student loans, but because of lack of communication the servicer just puts that toward future payments without the borrower's knowledge. If you want your payments to be concentrated on paying back a certain loan, send a letter with the payment explain exactly to the servicer where you want your money to go. Keep track of all payments and close communication with loan servicers to make sure your payments are going toward what you need to pay off.