Most college grads are drowning in debt due to student loans.
Are you feeling the weight of paying those debts back? Here’s some good news…
Executive Director of Project on Student Debt (www.projectstudentdebt.org) states that, if most of your loans are federal (Stafford or Perkins for example) you are in luck: there is now a sliding-scale payment option. The 2007 Income Based Repayment, a policy designed to make repaying loans easier for grads pursuing jobs with lower salaries is available. Payments are based on your monthly income, family size, and total amount borrowed.
Be sure to contact the debt holder if your situation has changed (job loss, family size, etc.) to see if payments can be lowered further. Not all debt is the same, know what you are getting into.
If you are in public service (which includes government, law enforcement, etc.), the news is even better. A loan forgiveness program will discharge your remaining federal loan debt after 10 years of repayment and full-time employment in public service.
Please remember, the amount of debt you incur will affect your ability to get hired and take out other loans. See my blog “Why You Probably Didn’t Get Hired” for more information on this important subject.