Private Student Loan Forgiveness Programs

In 2017, I’m more optimistic than ever before about opportunities for receiving Private Student Loan Forgiveness, and you should be too!

Why? Because in earlier this year, the Federal Government’s Consumer Financial Protection Bureau (CFPB) filed three massive lawsuits against Navient, the country’s largest private student loan servicing company, and I think this lawsuit could lead to comprehensive reforms for how private student loan debt is handled.

In fact, I have a very strong suspicion that the biggest, best, and most comprehensive forgiveness program we’ve ever seen is about to be unveiled at any minute, and while there’s no way to guess what all the details of the program will look like, I’ve written up my expectations for what I’m thinking will happen here: The Navient Student Loan Forgiveness Program.

However, all my optimism is pure speculation at this point, so let’s focus on the now and explore the private student loan forgiveness benefits currently available today.

2017’s Best Private Student Loan Forgiveness Programs

Until the Navient lawsuit is settled with the CFPB, there’s no way to know if we’ll get a magic bullet process that works for everyone’s private loans, but until that happens, you should know that you definitely do have opportunities worth exploring.

Currently, the easiest ways to get rid of your private student loans are to use one of the following forgiveness programs::

  1. Private Loan Forgiveness Programs
  2. The Borrowers Defense Against Repayment Program
  3. Closed School Student Loan Discharges
  4. School-Specific Loan Forgiveness Programs
  5. Loan Consolidation Programs
  6. Loan Modification Programs
  7. Filing for Bankruptcy
  8. Choosing To Default

But before you start researching these options, keep in mind that the industry is still plagued by all sorts of scams, which you’ll definitely need to watch out for. To find out how to protect yourself from these con artists, make sure to visit my page about Student Loan Forgiveness Scams.

To find out which of these benefits opportunities will work best for you, please read through this page’s content, click the links from this page to other pages of my site, and you’ll find out everything you could want to know about what’s available, including what the programs are, who qualifies for each of them, and how to apply for them.

Or, If You’re in a Hurry…

If you don’t have hours to spend researching private student loan forgiveness benefits, then you may want to outsource the work to an expert who can take care of everything for you.

And while there are lots of companies that operate in this space (debt consolidation, refinancing, settlements, negotiation, etc. are hot topics), there is only one company who I completely trust, and who I am willing to refer my readers to.

The Student Loan Relief Helpline can tell you in 5 minutes whether or not you’ve got a realistic chance of getting rid of your private debt. The initial phone call and consultation are free, so if you’re feeling lazy, lost or simply overwhelmed, then I would recommend that you call them right now.

Tell them what type of loan you have, how much you owe, what your job is, how much you’re making each year, and then ask if they think you might qualify for any of the current Private loan forgiveness benefit programs on offer. You should be able to get a clear answer quickly, and without spending any money.

Call the Private Student Loan Relief Helpline now at 1-866-530-9946.

The Navient Lawsuit & Private Student Loan Forgiveness

Before we get into the specific programs outlined above, here’s a little more information on Navient (because, like I said earlier, this is ground-breaking stuff…). If you don’t care about the future, and just want to know what Forgiveness Programs are available today, then click here.

The CFPB’s lawsuit against Navient is important because Navient services more private student loan debt than anyone else on the planet, and now that they’ve been accused of illegal activities, they’re going to have to end up settling the case with the FTC (otherwise they’ll be sued into oblivion).

When that settlement is reach, I’m expecting that everyone who has ever had to deal with Navient will get some sort of refund, forgiveness benefit or other form of financial assistance.

I think the lawsuit will be settled by Navient offering a huge amount of money to go toward forgiveness or debt reduction benefits, or by modifying their current repayment rules to make them more attractive to borrowers, like by offering additional leniency on repayments via lowered interest rates, longer repayment terms, new deferments or forbearance programs, etc.

So while there’s technically nothing YET to come from the lawsuit, it’s a huge sign that things could be changing, and by far the biggest opportunity I’ve seen for crushing the private student loan debt crisis in the 10 years I’ve been tracking the industry.

What Did Navient Actually Do?

Navient is accused of committing some seriously illegal (not to mention immoral) activity, including:

  • Failing to apply or allocate borrowers payments correctly to their accounts
  • Obscuring information that consumers needed to maintain lower monthly payments
  • Coaxing borrowers to pay more than they had to on their loans
  • Hurting the credit of disabled borrowers, including veterans who’ve been severely injured
  • Lying to private student loan borrowers about requirements for releasing co-signers on their loans

Why does it matter? Because Navient isn’t the only student loan servicing company doing this stuff; it’s rampant throughout the entire industry.

But also, if the CFPB can prove that this all happened, the Government is likely to step in and force Navient to start offering refunds, debt relief, and other forms of financial assistance for anyone who ever had business dealings with them.

I’m no longer confident that President Trump’s Student Loan Plans will include the first Federally-mandated changes to Private Student Loan Forgiveness Laws, but I do think that Congress may take up the call via the Navient problem and try to force something of their own through, especially if enough media attention and public outrage is focused on the private student loans crisis.

Back to the Present: What Forgiveness Benefits are Available Today?

As of late 2017, there are all sorts of options for pursuing forgiveness on private student loans, with options for virtually everyone who has outstanding private loans.

By far my favorite program is the Borrower’s Defense Against Repayment Discharge Program, but all of the following programs are effective at wiping out private loans for specific situations.

Read through each of these options, then explore the links from within them to other pages of my site, and you’re sure to get a good understanding of what’s available, which programs apply to your unique situation, and how you can apply for the benefits to actually get the forgiveness.

One other thing to keep in mind: when you do receive forgiveness for your private loans, you’re highly likely to end up needing to pay taxes on whatever amount of money you get forgiven. To find the details on how this process works, please visit my page about Student Loan Forgiveness and Taxable Income Laws.

1. Private Student Loan Forgiveness Programs

Unfortunately, at the time of this writing there are no forgiveness programs available to ALL private loan borrowers. Unlike the federal student loans industry, private loans are not heavily regulated, and private debt collection is still essentially like the Wild West.

However, depending on where you went to school, and who services your loans, you might have access to some valuable forgiveness programs, but these are only available to a select group of individuals who attended certain schools at certain times, or who are having their loans serviced by certain lenders (like Navient…).

If you’re one of the lucky people who went to a school associated with Corinthian Colleges (Heald, Everest, Wyotech), ITT Tech, or DeVry, then you may be in luck, and you be able to get all of your debt resolved.

For details on dealing with loans from these schools, please see the following pages of my site:

If you do manage to qualify for one of the benefits programs above, then you’re in the small, select bunch of people who have hit the jackpot, because these are truly some of the best student loan forgiveness programs available anywhere.

Other Forgiveness Opportunities

If you attended any other school, then the path to forgiveness is much more complicated, and will require significantly more work.

There won’t be an individual forgiveness program for your particular school, but if you read through the rest of the content on this page, take notes on any elements that might apply to your specific situation, then determine how best to proceed.

Remember that you can also call whoever services your loans at any time to ask them about forgiveness opportunities, and that they are legally obligated to tell you the truth about available programs, but also keep in mind that even Navient, the largest student loan servicer, is right now being sued for lying to their customers about this very topic.

Again, if you’re in a hurry, or if you have trouble understanding complex legal topics, the best way forward will probably be hiring an expert to take care of this stuff for you. And again, if you do choose to go that route, I would recommend calling the Private Student Loan Relief Helpline at 1-866-530-9946.

2. Borrowers Defense Against Repayment

Another excellent option for wiping out your private student loan debt is to challenge the validity of your loans through a program called Borrower’s Defense Against Repayment, which is a complicated legal process, but one that’s 100% worth looking into, because success means getting your loans entirely forgiven.

What’s it mean to look at the “validity” of your loan? It means that you need to spend some serious time thinking about the promises your school made that encouraged you to take the loans out in the first place, look at the way your loans were structured, look to see if the school or your lender promised something that they haven’t delivered on, and evaluate whether the school or lender has violated any relevant Federal, State, or local laws or statutes.

Again, this is a complicated legal process, but if you’re willing to spend some significant time researching these topics, you can take care of it yourself, entirely for free. If you’re in a hurry, don’t understand legal language, don’t have time to do it, or have a little bit of money, then your best bet is to pay an expert to handle it for you, as that’ll dramatically increase the odds that your Borrower’s Defense Against Repayment application gets approved, and your loans get forgiven.

The way this process works is that after you’ve found some kind of violation or issue with the validity of your loans, you’ll write a letter to the Department of Education explaining the problem to them, and if they agree with your claims, then your private loans are completely wiped out.

What Kinds of Things Make a Private Student Loan Invalid?

There are four major ways to prove that your private student loan debt should be considered “invalid”, and thus forgiven:

  1. If you’re been making payments on your private debt for years, but the balance isn’t going down
  2. If you’ve been taken advantage of in some way by either the school you attended, your lender, or your loan servicer
  3. If you attended a school that made claims about the value of your education program that cannot be proven (for-profit schools like Corinthian Colleges, ITT Tech, and DeVry have been slammed on this one)
  4. If your school or lender included misleading claims or statements in their marketing messages (basically, false advertising)

Again, this is a relatively straightforward process that you can complete entirely by yourself. People with a background in research, law/legal topics, and writing can probably do it all on their own, but for those of you who don’t want to risk getting your application denied, I would suggest hiring an expert to help.

For more information on attacking your private loans via Borrower Defense to Repayment, please visit my page about the Borrower’s Defense Against Repayment Provision.

What Options Do I Have Other Than Defense to Repayment?

There are 850,000 privately funded student loans in America, totaling about $140,000,000,000 dollars ($140 Billion) in debt, and while many of them will qualify for Borrowers Defense Against Repayment, there are far more that simply won’t.

On the bright side, Borrowers Defense Against Repayment isn’t your only option, and in 2017, you’ve got several different ways to either get out of, or at least reduce, your private student loan debt.

The rest of the content on this page goes through each individual opportunity in detail, and most of these sections contain links to additional pages of my site that cover the program in additional detail.

Read on to see what you may qualify for, and how to take advantage of each opportunity.

3. The Closed School Private Loan Discharge Program

The Closed School Loan Discharge Program is an excellent option for anyone who was attending a school that shut down before they were able to complete their degree.

This program is an absolute-guarantee for those borrowers with Federal loans, and a “maybe” shot at getting a discharge if you’ve got Private loans.

To get approval for a Closed School Loan Discharge, you have to be able to prove that you were attending the school (actively enrolled as a student, taking courses, or on some sort of break, but still pursuing your higher education credentials) at the time that the school shut down.

It’s not that difficult a process, however, as all it requires is getting transcripts from the school you attended, and submitting those to whoever services your loans.

And it’s a huge opportunity for anyone that is really stuck in the situation of having invested time and money toward a degree program or other credential that literally could not be completed since the school shut down smack-dab in the middle of your work.

For a comprehensive review of this program works, please visit my page about Closed School Student Loan Discharges.

4. School-Specific Private Loan Forgiveness Programs

As I mentioned above, there are excellent private student loan forgiveness programs available to students who attended specific schools; typically, large, for-profit schools who have been proven to have done some sort of false advertising, making misleading claims about the value of their educational programs, promising students that they’d earn some certain amount of money after graduating, or doing some other thing that violated Federal or State laws.

The three biggest school-specific private student loan forgiveness programs on offer were created for students who attended a Corinthian Colleges School (Heald, Everest and Wyotech), ITT Tech, or DeVry.

But even though these programs are set to provide hundreds of millions of dollars in loan forgiveness benefits to their students, all three programs also have specific eligibility requirements that must be met to qualify for the forgiveness benefits, like having attended the school during a specific time period, being able to prove that the school lied to you or violated some specific state or federal law, etc. Unfortunately, just because you attended one of these schools doesn’t mean that you’ll qualify for any of their forgiveness assistance.

For specific details on how these school-specific programs work, please click the links to their pages on my site, and read through my detailed explanations of each school’s forgiveness package.

The Corinthian Colleges Student Forgiveness Program

The Corinthian College Student Loan Forgiveness Program was created for anyone who attended a CCI-affiliated school, which were all shut down when the company decided to close its doors across the country on most campuses in April, 2015.

As you can imagine, shutting down one of the largest higher education networks in America did not go unnoticed, and many thousands of active students still working toward completing their degrees were left in the dust as CCI abandoned ship and left them without a choice.

Fortunately, the Federal Government stepped in and forced Corinthian to offer financial assistance to any students caught in the crossfire, and this program was designed to allocate $3.6 BILLION (with a “B”) in relief and forgiveness benefits to those individuals impacted by CCI’s nationwide closure.

For details on how to qualify for and receive benefits under this program, please visit my page about the Corinthian Colleges Student Loan Forgiveness Program.

The ITT Tech Student Loan Forgiveness Program

The ITT Tech Student Loan Forgiveness Program was the second major forgiveness program introduced to cover students left in the breeze when another gigantic, nationwide for-profit education system shut its doors unexpectedly, leaving tens of thousands of people with a ton of debt, and no chance of finishing their degree.

People who qualify for the forgiveness benefit are eligible to have up to 100% of their outstanding loans forgiven, but eligibility conditions require that you were an active student enrolled at an ITT Tech program within 120 days of the date that your school shut down.

To find out how this program works, and see if you’re eligible to apply for private loan forgiveness, please visit my page about the ITT Tech Student Loan Forgiveness Program.

The DeVry Student Loan Forgiveness Program

The DeVry Student Loan Forgiveness Program is significantly smaller than that offered by ITT Tech, but it’s still offering $100,000,000 in student loan relief, with option for both Federal and Private borrowers to receive financial assistance.

To qualify for the benefit, you must have attended DeVry between 2008 and 2015, the period of time the Department of Education has proven the school misled students about graduates’s job prospects, salaries, etc., and you will need to fill out some paperwork to prove your student status, outstanding loan debt, etc.

If you attended DeVry during the covered period, then you should have received a letter from the school notifying you of your eligibility for the benefit.

And to get the details on exactly how this program works, please visit my page about the DeVry Student Loan Forgiveness Program.

What if I Went Somewhere Else?

If you did not attend one of the schools mentioned above (a Corinthian property, ITT Tech or DeVry), then you probably won’t have access to a school-specific private forgiveness benefits package, but that doesn’t mean you should give up the hunt for finding effective debt relief.

While there are a handful of opportunities to receive public loan forgiveness via one of the amazing Federal Student Loan Forgiveness Programs that allow debt to be completely wiped out, there aren’t any widely available “forgiveness” programs for people who hold private student loan debt (again, unless you attended one of the schools hit by penalties from the Department of Education, the Consumer Financial Protection Bureau, the Federal Trade Commission, or some other entity like a Class Action Lawsuit).

Fortunately, even though debt forgiveness itself may not be widely available, there are a variety of other ways that you can get effective debt relief for your private student loans, some of which could save you tens of thousands of dollars in the long run, and hundreds to thousands of dollars per month.

Here’s an analysis of the existing debt relief programs for private student loans.

5. Private Student Loan Consolidation Programs

If you need Private Student Loan Debt Relief, then a loan consolidation program might just be your best bet.

Loan consolidation programs have been around a long time, and even before the rise of student loan debt, they were extremely popular for people having trouble paying off credit card debt, mortgages and loans of other types.

The way that student loan debt consolidation works is that you take multiple student loans and combine them into a single loan from a single lender, often resulting in a lower interest rate, more simplified payment scheme, longer loan repayment term and lower monthly payments.

Loan consolidation is similar to loan refinancing, but always involves taking multiple loans and turning them into a single, larger loan.

Don’t Mix Private Loans With Public Loans!

Unfortunately, Private Student Loan Consolidation Programs aren’t compatible with public student loans, because combining public with private debt destroys your eligibility to qualify for the many amazing Federal Student Loan Relief Benefits packages.

So, unless you’ve got multiple private loans you will not want to look further into any sort of private loan consolidation opportunity, but should instead be researching other options.

Things to consider would be loan refinancing or loan modification programs, which are typically available for those people having trouble making their monthly payments.

Again, if you do choose to go this route, I would highly recommend working with the people at the Private Student Loan Forgiveness Helpline, who are experts at handling private loans, and who can help you figure out which company to consolidate or refinance with.

You can reach the Private Student Loan Forgiveness Helpline by calling 1-866-530-9946.

As I mentioned earlier, there is a cost associated with using their service, but the phone call is free, and you will be able to ask a few questions of without having to spend any money, so it’s definitely worth calling before you write it off as being “too expensive”. You may be able to get some extremely valuable information entirely for free!

5. Private Student Loan Modification Programs

Modifying your student loan is another great way to reduce your financial liabilities, reduce monthly payments and take some of the sting out of your outsanding private student loan debt.

The problem with getting a loan modification is that it has to come from your lender, meaning that you’ll have to convince them that it’s in their best interest to cut you some slack.

While there aren’t any official private student loan forgiveness programs, you may be able to get a bit of loan forgiveness if you’re having serious trouble coming up with the money for your monthly payments.

To find out what’s available, you’ll need to contact your lender, let them know that you’re going to be unable to make future payments, and negotiate for a better deal.

This isn’t necessarily an easy process, but it can be extremely lucrative. Hundreds of thousands of people who’ve faced the same financial problems that you do have gone this route and been able to get parts of their student loan debt written off entirely, had their loan terms extended to reduce their monthly payments and/or gotten interest rate decreases to reduce their total liability.

6. Private Student Loan Bankruptcy Discharges

You don’t want to do this unless you have to, because filing for bankruptcy brings about all sorts of other financial problems, but most of all because it’s no longer guaranteed to erase student loan debt entirely.

In fact, it’s pretty hard to get rid of student loan debt by filing for bankruptcy, because it requires proving to a court that your loans are placing an undue hardship on you. How do you go about doing that?

It is possible to get real loan forgiveness from a Private Student Loan Bankruptcy, but you’ll have to prove that your student loan debt places an “undue hardship” on your life, basically meaning that it’s interfering with your quality of life and ability to provide basic needs for yourself and your family (food, shelter, clothing, etc.).

If you can prove that your private student loans are basically driving you into crushing poverty, then it’s possible that you’ll be able to get them discharged, but it’s honestly not that easy, especially as courts have become wary of people running up huge loan debts that they didn’t really need to take out while planning to get rid of them via bankruptcy all along.

7. Private Student Loan Defaults

Believe me, you don’t want to go this route, and for a variety of reasons.

Private student loans are similar to other forms of unsecured debt, like credit card debt, medical debt and any other loan that doesn’t include collateral, but they differ in one important way: defaulting on them opens you up to an array of legal liabilities.

If you Default on Private Student Loan Debt, your lender has what’s called “a cause of action” against you for breach of contract. That means they can sue you for failing to pay back your student loan, and if they win a judgment against you in court, they’ll be able to garnish your wages, have a levy placed on your financial accounts or even get a lien attached to your property. You do not want this.

Defaulting on your loan is not a realistic way to get private student loan help. In fact, in all but the absolute worst situations, default typically ends up causing major problems for your total financial health.

Long before you consider defaulting, be sure to look into the other options for getting help with your private student loans. Try a loan consolidation or loan modification program, or even consider filing for bankruptcy, because default is not going to go down easy.

Hope For the Future

Fortunately, it does look like some help is on the way for those who need help with private student loan debt, as a variety of organizations have been created specifically to provide assistance, or advocate for providing assistance, to those with privates student loans.

Additionally, Congress has been presented with quite a few bills seeking to change laws and regulations in order to provide more effective debt relief to those with private student loans, some of which would provide incredible new opportunities.

Here are some of the organizations, proposals and bills created to present opportunities to those in need of relief from private student loan debt:

Forgiveness & Tax Liabilities

As I mentioned above, one thing you’ll need to plan for is how forgiveness benefits will influence your annual tax return, and the key point there is that you will end up having to pay taxes on however much money gets forgiven.

It’s a bummer, because this can get expensive quickly, but whenever you receive any sort of debt forgiveness benefit, the IRS requires that you claim that forgiveness as part of your taxable income for the year.

The way it works is that you end up having to pretend like you made the amount of money that you got forgiven, and you’ll have to pay whatever percentage of taxes you pay for your regular income on that forgiven amount.

As an example, if you had $10,000 in debt forgiven, you’d need to add that $10,000 to whatever you made for the year, report that to the IRS, then pay a percentage of the $10,000 in taxes. For most people, that’s a significant amount of money, since it could be 25%, 30% or even more.

That means your tax bill for the year will be $2,500, $3,000, etc., more expensive that you anticipated, and since almost nobody is expecting these additional tax costs (and paying them throughout the year), the bill will come due all at once.

I think this is such a problem that I’ve created a new website specifically to help people with their tax problems, called Forget Tax Debt. On it, I cover all sorts of tax-related problems, from Filing and Paying Back Taxes to signing up for the IRS Fresh Start Program, and more!

If you’re having trouble with taxes, please be sure to visit Forget Tax Debt here.

Choosing The Best Path Forward

How should you decide whether to handle these complicated processes yourself, or to pay an expert to take care of them for you?

It’s not an easy question, but here’s a quick breakdown on the options of going it alone, vs. paying a service to represent you.

Option 1: Going it Alone

The first option is to do all the research yourself, determine what’s available, then start filling out applications and literally applying for whatever benefits you can find.

This is often a slow, laborious, and frustrating process which many people would rather avoid, and it’s the reason that the private student loan debt consulting industry has skyrocketed in growth over the last several years.

If you do choose to go this route, my website will be an invaluable tool for you to research available benefits and assistance programs, so make sure that you continue to read through this page and check out the other pages in the Private Relief section of the site.

If you have questions about what’s possible, please feel free to ask away in the comments section below and I’ll do my best to get you a response within a day or two.

Option 2: Using a Hired Gun

The second option is to enlist the assistance of a professional student loan relief expert, typically from one of the many available commercial companies now servicing borrowers, and to have them do the research and paperwork on your behalf.

This option can save a ton of time and frustration, but it also comes with an associated cost (typically several hundred dollars for completing research, processing paperwork, and determining exactly what will work best for you).

I like this option for those people who aren’t severely pinched when it comes to money, or for those who don’t have the time or inclination to perform all the required research to determine what benefits and strategy will work best for them.

If you do choose to go this route, I suggest calling the Private Student Loan Relief Helpline, which is an organization of experts focused on assisting people with private student loan debt, and who can help you figure out the best way to get out of debt quickly and easily.

This service does cost money, but it focuses on attacking the validity of your debt, literally challenging the debt collectors to prove that they have the right to demand payment from you.

Does this always work? Absolutely not, but if you call them and discuss your potential case, you should be able to get a pretty good feel or whether or not you’ve got a real chance to have your debt relief application approved.

You can reach the Private Student Loan Relief Helpline by calling them at 1-866-530-9946.

If you do choose to complete the research on your own, please don’t expect to finish everything in an hour or two! You’re going to need to read, read, read, ask questions, and figure out what’s available, and what will work best for you.

Read through the content on my site, ask questions in the comments section below, and remain diligent and dedicated to determining what’s going to work. I promise that you CAN figure it out on your own, it just won’t be as easy or as quick as enlisting the help of an expert.

Recent History of Private Student Loan Forgiveness Changes

There’s been a lot of noise in this space for several years, but only recently has anything actually been done to make private student loans a little easier to deal with.

President Obama was the first President to tackle the issue head-on, but he only made so much progress, and now the reigns have been passed to Donald Trump, who will need to step up to the plate and deliver with some serious changes if we’re ever to climb our way out of the private student loan debt hole.

You can rest assured that I’ll keep tracking changes and reporting developments to the industry, and alerting you all to the best opportunities immediately as they emerge, so be sure to check back often for updates and new details about where we’re headed, and what’s available.

In the meantime, here’s a little bit of recent history regarding the private student loan debt industry.

The Consumer Financial Protection Bureau

President Obama’s Administration created The Consumer Financial Protection Bureau (CFPB) and assigned them with the duty of making “markets for consumer financial products and services work for Americans”, which means that they’re supposed to fix problems with mortgages, credit cards and private student loan debt.

In fact, Congress actually passed a law requiring the CFPB to look into the student loans industry and start making regulatory recommendations for resolving problems that existing law is creating for borrowers.

During their initial review of the industry, the CFPB collected and published around 2,000 complaints gathered from consumers who had problems with getting or paying back private student loans, creating a great deal of new visibility for the issues that plague this industry.

Early Findings Showing Significant Problems:

  • Information Problems – Borrowers with private student loans reported being confused about which student loans were worth taking and how much they would actually owe after graduation. Some borrowers were even surprised that their student loans were privately-backed, rather than provided by federal subsidies.
  • Excessive Debt – People with private student loans reported that they have become completely overwhelmed by the excessive debt racked up by their student loans, especially from rising interest rates. The CFPB believes that part of the problem is a lack of sufficient disclosures, exacerbated by a weak economy, significant unemployment and underemployment, especially among recent graduates.
  • Complicated Billing Practices – People responding to the survey reported that they wanted to pay back their private student loans, but that when they ran into tough financial times, there weren’t many options for receiving help with their loans in the form of repayment flexibility (refinancing interest rates, getting loan modifications for longer repayment terms, etc.).

As a response to the complaints that they collected, the CFPB issued a draft of proposed student loan disclosure forms that it wants the industry to use, but there’s currently no regulatory law in place that forces any lenders to put these into place.

The suggested disclosure form contains some important information that lenders have been allowed to leave out of their existing disclosures, like the interest rate on the loan and the eventual monthly payment borrowers will face, which should dramatically reduce confusion for borrowers.

The Campus Progress Proposal

Campus Progress, now called “Generation Progress“, proposed that the Federal Government could offer significant debt relief for private student loans by purchasing private student loans to lower interest rates, increase loan forgiveness and loan modification opportunities and essentially save those borrowers who are in terrible economic situations from further financial hardship.

Unfortunately, this plan would have been extremely expensive, and the CFRB rightly argued against it (though it sounds great to those of us with massive student loan debt), pointing out that a program like this would fuel riskier lending practices and continued abuse by rewarding those lenders who offered the riskiest loans, providing no future incentive for any lenders to behave in a responsible manner.

The Student Loan Forgiveness Act

In March 2012, the Student Loan Forgiveness Act (H.R. 4170) was introduced by Representative Hansen Clarke (Democrat, Michigan), which proposed some excellent ideas for improving federal student loan debt relief, as well as presenting an excellent opportunity to receive debt relief for private student loans.

Here are the major tenets of the bill:

  • Consolidation Options for Private Student Loans – The bill proposed that some private student loans would be eligible for consolidation with federal student loans. Though the bill includes a large range of restrictions, just the idea that any private student loans would be allowed to get consolidated with federal loans would be a paradigm shift for the industry, and a welcome one at that.
  • Improved Forgiveness for Federal Student Loans
  • Interest Rate Protection for Federal Student Loans

Unfortunately, this bill hasn’t been passed and it doesn’t seem likely that it will receive any additional support any time soon either.

The student loans and financial services lobby is extremely powerful, wielding a great deal of influence over Congress via massive campaign contributions for those representatives that toe the industry line, and they don’t want this bill (or any other like it) to get passed.

The Student Loan Fairness Act

In March, 2013, Congresswomen Karen Bass (Democrat, California) proposed new legislation that would offer the 10-10 model available for borrowers with federal student loans, which caps monthly payments at 10% of their discretionary income, and offers full loan forgiveness after 10 years (120 months) of qualified payments, including debt forgiveness for any taxes that remained due on the left over debt.

Furthermore, and this is a huge one, the Student Loan Fairness Act would allow unemployed people with private student loan debt to defer their payments (without facing any penalties) until they were able to find a new job, and it would also allow those with private student loans to convert them into federal loans, affording them with full access to the excellent suite of available federal loan relief programs.

The Private Student Loan Bankruptcy Fairness Act

The fact that private students loans can’t be discharged via bankruptcy has rubbed Americans the wrong way for some time now, and support for changing the law to allow for it has never been higher.

A variety of efforts are currently underway to change the status quo here and allow for private student loan forgiveness via bankruptcy, including:

  • Bill HR 532 – Proposed by Congressmen Danny David (Democrat, Illinois) and Steve Cohen (Democrat, Tennessee), this bill would change bankruptcy law to allow judges to handle private student loans the same way that they deal with any other form of debt from private lending institutions (meaning that it could be discharged via filing for bankruptcy)

Unfortunately, the CFPB, which is supposed to look out for borrowers interests, has taken an opposing stance to revising bankruptcy laws in this way, and is arguing that allowing for that would create another debt crisis like the one caused by sub-prime mortgages just a few years ago.

They even issued a report in July of 2012 claiming that allowing student loans to be discharged via bankruptcy would be the final nail in the coffin to our country’s economic recovery, and virtually guarantee the beginning of another major economic depression.

Credit Score Rehabilitation

Failing to repay student loans on time leads to terribly negative consequences for people’s credit scores, just like missing mortgage payments or credit card payments.

However, the CFRB has argued that new financial regulation should be created to help rehabilitate the credit scores of borrowers who had issues repaying their private student loans on time, once those loans were fully paid off.

A similar system is already in place for borrowers with public student loans, and it seems entirely reasonable that this system could work quite well if it were extended to cover private student loans as well.

The CFRB definitely appears interested in making that happen, but like we stated earlier, don’t expect it to be an easy fight as the financial services lobby is quite powerful.

What’s Next?

While it would be great to see some new regulations for the private student loans industry, or new laws that offer debt relief opportunity to borrowers with private student loans, it’s always been unlikely that the Government would step in, simply because there are too many lobbyists preventing them from doing so.

The simple problem with private student loan debt is that the financial services industry is far too powerful, completely opposed to reform and unwilling to negotiate on something that has made them a massive profit, and will continue to profit huge profit margins in future years.

Attacking private student loans is attacking their golden goose, and as a result, it’s unlikely that we’ll see any major changes to the industry at any point in the near future, unless more lawsuits like the CFPB’s attack on Navient emerge, and more holes are poked in the dam.

Fortunately, I’m more optimistic about private student loan forgiveness than I’ve ever been, and I have a good feeling that the next few months and years are going to present some significant new opportunities for those of you struggling to deal with your private loan debt.

Please Help!

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Post this page to Facebook, Tweet it out, or email it to anyone you know who’s dealing with student loan debt.

The more people that visit my site, the more time and effort I can spend on developing additional content like this, and helping people like you figure out how best to deal with their oppressive student loans.

Thank you for visiting, thank you so much for your support, and please come back soon for additional updates!

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Tim's experience struggling with crushing student loan debt led him to create the website Forget Student Loan Debt, where he offers advice on paying off student loans as quickly, and cheaply, as possible. His new website Forget Tax Debt, offers similar advice to people with back tax problems.

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  1. Terry Carlson says:

    My husband and I are cosigners on our son’s private student loans. Our son was diagnosed with cancer one month after graduation and died 2-1/2 years later. So needless to say, this has been a total nightmare for us. We are currently paying $681/month on these loans. After many letters, Navient made the loan through them a 0% interest loan and applied all previous payments to the principle. AES and ACS won’t budge on anything. So with retirement looming where we will be living on a fixed income, I don’t know what we’re going to do. Have you heard of anyone else in this situation?

    • Hi Terry,

      I’m so sorry to hear about what happened to your son! I can’t even imagine how difficult this must be to try and deal with the aftermath.

      I wish you hadn’t done the private loans route, because there really isn’t a lot of options there, but I would try hiring an attorney to pursue this matter for you. I think that’s going to be your best bet, and that you’ll need to threaten legal action against the lender in order to get this resolved.

  2. Hi Tim! Thank you so much for this information! I took out a 14,891 loan in 2008 through sallie mae, which has been derogatory/collections since 2012. My mom, who knows zero English, consigned this loan. So, it is affecting both our finances. As a young adult who knew nothing about finances at the time, I find myself being held back trying to move forward. It has gotten to 31,369 with all the interest. Would I qualify for forgiveness after this lawsuit or is there something I can do in the meantime?

  3. I went to a off shore medical school that closed.The school was called St Christopher’s college of medicine. I transferred to a new medical school because of the closure. The school provided? a poor education. I finished my education at another college. I filed bankruptcy. My question is whether or not I can discharge my private loans during the time I was with the school.

    • Good question AC, and I’m not entirely sure. Private loans are harder to get rid of, and because the school was outside the country, that may change the laws as well. I would contact the Student Loan Ombudsman Group and ask them if it’s possible to get your loans discharged under the Closed School Discharge Program.

  4. Robyn Diann says:

    Several years ago my husband and I both consolidated our school loans under a Spousal Consolidation (which I’m told they no longer do). I am the primary on the loan and he is the co-signer. These loans were originally for our Bachelor’s and my Master’s degrees which were between 1992 (Bachelor’s) and 1997 (Master’s). The servicer is ACS. The origination was 57,000+, but because we had put them on forbearance, not able to pay, they are now at 92,000 for a pay-off. The rate is fixed at 8.125 and they are on a graduated payment plan. Currently the payment is 659.00 a month. For two school teachers this is a tremendous burden; I have never been able to find a program that would help us with loan forgiveness. I supplement my income to bring in extra income, but even then, we are just barely making it. The payment is a ball an chain every month. Any ideas?

  5. Candace Carmer says:

    I currently owe $150,000 in student loan debt, and all of it is in private loans (my federal loans are in forgiveness status).

    Here’s the kicker, I had to stop going to school until I turned 25 because of my parents income, and because I was not independent of them on taxes. When I graduated, I found out, that because my loans had gone into repayment, even though I returned to school, interest built on the loan while I was attending. Navient did not tell me this until a week after I graduated, and wanted $900 a month the day after graduation as I’d already used my grace period (I didn’t know that the grace period would nor happen again after I’d returned to school). I’ve never had $900 a month, so the loans aren’t going down any and it’s been almost 9 years, and they are all at variable interest that just hit 9%.

    I moved in with my parents, even got a second job, and can still not pay them everything I need to lower the loan. They claim my loan can not be lowered any further, but I am literally giving them everything I have ( save for the payment of a small car loan… the car is used for both my jobs).

    Is bankruptcy even an option?
    Consolidation doesn’t seem to be. Either they won’t consolidate, because of the amount, or they won’t do it, because the school I attended (AI Minnesota) closed, and is no longer on the accredited list.

    I did call a couple lawyers last year in consideration of bankruptcy, and they won’t work with private loans. Do I even have options?

    • Hi Candace,

      I think you’ve got a couple options. You may be eligible for a Private Student Loan Bankruptcy Discharge, but you also may be able to get rid of them a simpler, easier way, through a Borrowers Defense Against Repayment Provision letter, or via the Navient Student Loan Forgiveness Program.

      My recommendation to you would be to read the pages I’ve linked above in detail, but then call the Private Student Loan Relief Helpline. This is a paid service who will tell you exactly what needs to be done, and handle all the details for you, but your first call to them is free and I think you should be able to get some advice on what they think is at least in the realm of possibility.

      It’ll cost less than an attorney, and since you already owe so much money, I think it’s worth paying for a small consultation. It’s obvious that you’ll never be able to pay back this debt, so I think you’ve got a good shot at getting out of it, or at least in getting it negotiated down in some manner, but I do think you’ll need the help of a professional to make that happen.

      You can reach the Private Student Loan Relief Helpline by calling 1-866-530-9946

  6. Hi Tim,
    I am a newer teacher in the state of Michigan. I have a ton of student loan debt both private and federal. I do not make very much money and struggled for a few years after I graduated to get a full time job. I am now just starting to get on my feet and qualify for lower payments due to my low income for my federal loans. However, my private loans were taken through Sallie Mae now Navient and they aren’t working with me. I have been in contact with them since January when they notified me my payment was increasing and that I could not afford to make the payments they are asking of me. Each time they did not have a solution, most of the time I was disconnected or put through to collections (they said they couldn’t help due to the loan being current). It is now the month where the payment has increased and I can’t make the payment. They told me my only option was to default and call their collections service to see if I could get a lower payment. I did and the representative said I definitely did not have the disposable income to make the payment, but they also needed my cosigners info. My cosigner is my mom, who works a part time, unsteady job, but they put her income in with my fathers, which they then told me between the two of us we have just enough to make the payment so they won’t help me. I am running out of options and have tried to find another company to buyout these loans, but I don’t make enough so they also won’t help. What other options do I have? I don’t want to default, but Navient isn’t providing me with any other options to make this payment.

    • Hi Melissa,

      Sorry to hear about your situation, which sounds undeniably frustrating. I think your best option may be to go after the validity of the loan itself, challenging it’s legal grounds, via the Defense Against Repayment Provision. Check out my post about Borrowers Defense to Repayment, then consider contacting one of the affordable paid services who can help you put together your Defense Against Repayment letter. My favorite group is the Private Student Loan Relief Helpline, who you can reach by calling: (866)-530-9946.

  7. Hi Time! Thank you. I am currently looking into consolidation options for 4 loans. 2 with Sallie Mae and2 with Navient. If I end up with a good consolidation plan and Navient is paid off, will this prevent me from benefitting from any of the Navient Student Loan Forgiveness options that are hopefully forth coming?

    • Hi Frances,

      I would not do any sort of consolidation or modification to anything related to Navient just yet. There’s no telling exactly what’ll happen when the hammer falls on them, and I don’t think you want to risk losing access to benefits. Be very, very careful about what you do over the next couple months while all of the legal mumbo jumbo is sorted out.

  8. C. S. I have a private loan with aes/keybank. I declared bankruptcy in 2011. The loan was affirmed and I haven’t missed any payments for over 15 years. All of a sudden, at the end of last year, the bank started refunding payments reasoning that the claim was paid. I kept making my scheduled payments. After two or three refund checks, I called them repeatedly to find out what was going on, knowing I owed the debt. I keep making payments. I was told it was in default or discharge related to the bankruptcy-but no action was taken for 6 years until now to refund the payments. I have no correspondence from them and had no notice about this. It seemed very strange. I figured maybe I made a couple duplicate payments, but 3 months in and it just didn’t seem right. My credit report reflects that I have no missed payments, but the last payment was earlier in the year, which is wrong and I have disputed (pending) with the 3 bureaus. I’m not sure what to do now except keep following up. Any advice? Thank you.

    • Hi C.S.,

      Sounds like you’re having some serious issues here, and I think you’re going to need the help of either an attorney, or one of the debt settlement agencies to look into this for you (because either you’re not asking the right questions, or you’re not understanding the information that’s being provided to you).

      The only other alternative is that the people you’re talking to are completely incompetent, which is a possibility, but I’ve found over the years of consulting with people that it’s usually the borrower who simply “doesn’t get it”.

      My recommendation is to call the Private Student Loan Relief Helpline at 1-866-530-9946. This Helpline is staffed by absolute experts who are well-versed in all areas of the law related to private student loan debt, and they can contact your loan servicer and get to the bottom of this for you.

      They do charge for the service, but since you’re in such a strange situation where you may be wasting money sending out payments, and you’re not getting anywhere with your own investigations, I think the investment will be worth it.

  9. Donald McDaniel says:

    Great information…..Long story.. short. I cosigned for some of my daughters student loans, now totaling $52,000.00. She has hired an attorney and is NOT paying her loans, including the ones I cosigned, Navient has now come after me for the $52,000. They have offered a settlement for 70%.. I am considering accepting terms and just paying the 70% settlement. My daughter still has some significant additional debt. She is paying the attorney, $1,100.00 a month. He is putting money in escrow and promises her that if she pays him for 5 years, he will settle with Navient and she will not owe anything additional. I see a scam, that is why I am likely to accept settlement. But, if I do the amount she is paying the attorney, would also include money for the debt I would have paid off. I am wondering if she should try to get out of contract with attorney, to save down the road? Any advice on my obligation to pay? (I have the means). She was current on her loans and the attorney “advised” her to stop paying, it has been a year since she stopped. Will my settlement create any concerns for her attempts to settle. They have allegedly “contested” her loans..

    • Hi Donald,

      This sounds VERY dangerous… her plan is NOT a good one, and you need to get a 2nd opinion immediately. The attorney cannot do anything that your daughter cannot do on her own, especially if the deal is that she put $66,000 into an escrow account over a period of 5 years.

      That’s MORE than she owes in student loans in the first place! I am almost certain that she’s being ripped off, and I would highly recommend that she deal with the student loans company herself.

      Get her out of this agreement with the attorney. If I were you, I’d also consider reporting him to a state ethics board for fraud, and letting them look into it to determine whether or not he’s violated any sort of legal rules.

      There is NO way that it’s a good idea to stop paying. He’s absolutely in this for his own interests and going to cause major problems for her and for you.

  10. My wife defaulted on her private student loans 3 years ago due to no job and our seperation. The current ballance is $115,000. We are waiting for their recovery agency to file a civil suit before hiring a lawyer to defend her current non job financial situation. Do you have any advice on what to do before they take it to court? Also because we are not officially divorced and we file taxes seperately can they go after me her husband? We have no assets at this time but i have considered buying a home instead of the high rate of renting. Any advice would be helpful.

    • Hi Mark,

      Sorry to hear about your situation, but yes, if you’re still married, then the collectors can definitely come after your assets. You need to be extremely careful about how you proceed with this situation. I would advise hiring an attorney with experience in student loan debt for advice, especially since you’ve got such a huge outstanding balance. My opinion would be that any debt level over $100,000 definitely warrants legal assistance.

  11. I attended The Art Institute and have a private student loan, to my understanding The Art Institutes are involved in fraudulent activity. What are my options? I am currently at a variable rate and would like to refinance to a fixed rate. There are plenty of websites claiming that students loans can be forgiven due to Art Institute’s fraudulent behavior.

  12. Traci Guinn says:

    I borrowed $50K back in 1996. Have been paying off and on since then, but double payments for 5 years, still owe $98,239. Any chance since paying for 10 years Sallie Mae/Navient will accept a lower settlement amount or foregive any portion of the balance?

    • Hi Traci,

      It’s possible, but unlikely, that you’ll be able to negotiate on the debt with your lender. What you should be doing is making sure that you’re paying back the loan under one of the Income-Based Repayment Programs (get on REPAYE ASAP), so that you’ll qualify for total loan forgiveness after you’ve made 120 full, on-time monthly payments. That’s just 10 years worth of payments you need to make, and your payment amount will be set by your disposable income, so if you don’t make much, you could technically qualify for a $0 monthly payment, and still get the forgiveness benefit after making 10 years worth of $0 payments.

  13. Sol Rosenberg says:


    Been visiting your site for a little while now, and I’m grateful it’s here!

    But this bit about “what’s new in 2017” is discouraging, to say the least. The truth hurts! However, it’s not all information that I don’t already know by this time.

    I’d have to even go a bit further and say that I can’t see anything changing as far as “widespread” or “sweeping reform” to private student loans in the near to medium term (at least not during the Trump administration & a widely Republican controlled congress). We really are the forgotten step children of the student loan crisis.

    So I’m ready to take the ultimate “crap shoot” here, and possibly either rep myself, or hire an attorney to file an adversary proceeding on my excessive, and out of control private student loan debt.

    I have a pretty reputable bankruptcy attorney that is willing to try this. He wants $5 grand to do it. Yep, that’s gonna take me a minute to save up. But so far, he is the ONLY ONE (in my area-Chicago metro) that has said “let’s do this.”

    I’ve had to file for bankruptcy twice since college graduation in 2008. I’m really running out of prime years of life. This situation is, and continues to keep me DOWN. If I don’t make any type of an attempt a discharge via an adversary, I don’t know what else I can do. Sitting around, hoping for laws to change isn’t going to work for me anymore.

    I have never seen more than $16 per hr since obtaining my degree. In fact, when I first graduated college and had to file my ch. 7 back in March of 2009 (due to excessive credit debt & being unemployed for a longer period of time/unemployed), I may have only been making $8.65 an hour. I don’t know why my attorney back then didn’t bother at getting me a discharge of the private student loans then, I’d surely have more of a chance at that happening than I do now (currently at $15 per hour). How can I reasonably expect an employer to pay me an absurd annual salary in my working life to pay off a loan that has interest compounding DAILY, with the balance as of this writing in the neighborhood of $150k, AND THEN cover basic survival needs? My degree is in Business Management out of UIC.

    I don’t think it’d be too difficult to demonstrate that the expected monthly payment of $1900 is un-affordable at my current take home of approx. $1600 per month. But that’s not up to me to decide, that’ll be up to the judge hearing this case.

    At any rate, those of us that made the unfortunate mistake of taking out private student loans without fulling understanding the long term consequences involved need to fight. Taking it to court, and repping oneself “pro se” might be the only way to go. Perhaps if enough were to do just that, maybe we’d see more comprehensive relief options becoming law for us.

    If anything, I cannot reasonably expect a COMPLETE discharge of my private student loan debt. I’m hoping for a repayment plan that’ll make sense based off of my income. Before I filed my 2nd bankruptcy in 2014, there was a settlement offer out of court for $80k (by the servicer). That wasn’t going to be a possibility. So the only thing my attorney handling this current bankruptcy did from there is file for ch. 13. Once that’s up, the servicer/lender can come right back at me and resume collection activity (subpoenaed me to court originally-hence this recent ch. 13 filing). I don’t think I can wait for that to happen. The automatic stay is up in Feb of 2019. Again, I don’t think laws or much will change as far as PSLD is concerned by that time. Things sure haven’t changed since my life became a nightmare because of all this back in 2009.

    Loan consolidation via another lender or bank isn’t an option for me. I have no credit thanks to this situation. It was also incredibly difficult to even find 1 attorney in my area that seems like he’d fight for my future. They all just want to go “by the book,” regarding bankruptcy laws & student loans, and stick by that “undue hardship” condition from the late 70’s (?).

    World’s changed quite a bit since that barometer.

    I implore those that are in a similar situation, and that may be reading my post to FIGHT.

    DO NOT sit around waiting for laws to change on these, because they probably won’t (in all likelihood).

    I sure hope I’m wrong on any changes coming from Congress. But I’m getting ready to do whatever I can, save up some money, and if I have to rep myself on this, then I will. I think I have a pretty good argument. Either way, filing fee’s are a few grand, I believe. None of this is free.

    I have no other options, and most of you with private student loans don’t, either. The lenders/servicers expect full payment, or they’ll eventually take you to court to garnish wages/freeze or drain bank accounts. All the while they are FDIC insured, and government backed. They get huge cash infusions from the feds constantly. We, the people…..we don’t have that luxury.

    At the end of the day I understand that no matter how this pans out, it’ll be in the hands of the judge that hears my case.

    It’s time. My life is slipping away.

    Tim, if you have any feedback to send my way, it’d be much appreciated.

    Thank you!

    • Hi Sol,

      Thanks for your detailed information about what you’re planning, what your situation is, and what you think will come of it. I wrote up a long response to your comment, but it got deleted by accident, so this is a bit shorter than I had intended, but please know that I’m behind you 100% and totally in agreement with your sentiment.

      If everyone in your situation started fighting back, suing for their rights, and getting their debt discharged, it’d set a legal precedent that the courts could not ignore, and it’d basically require that the lenders start changing the way they operate in order to avoid losing out on collecting their outstanding loans.

      I agree with you that reform is relatively unlikely in 2017, especially with President Trump and the Republican Congress, but I do think that the tide is slowly turning in the favor of people with debt, and against the lenders themselves. The recent spate of Closed School Discharges and Department of Education-lead forced refunds (think DeVry, ITT Tech, Corinthian Colleges, etc.), is definitely building up to become a major turning point in the way these things are handled.

      I’ve thought long and hard about what I could personally do to help with this situation, and other than continuing to operate this site, I simply don’t have the time to get more involved than I already am. If I had the time and the funds, I’d start a nonprofit that advocates on behalf of people like you, finding legal representation and taking the battle to court to try and set those positive precedents, encouraging others in debt to fight back, getting the media to take notice and publicize the situation, forcing the lenders to adjust their scandalous ways, and hopefully, getting the Government inspired to change the laws regarding private student loan debt, but that’s not a realistic opportunity for me.

      In the meantime, I do think you should turn to Kickstarter, GoFundMe, or some similar crowdfunding platform to try and publicize your case, and what you’re doing about it. I would be happy to help support you in your efforts, so if you can let me know exactly what’s going on, and when, I’ll create a post on this site to track your progress and try to put the situation in front of as many eyeballs as possible. The more people who see what you’re up to, the more pressure the court will face to rule in your favor (that’s my thinking at least…).

      That’s about the best assistance I can offer at this point in time, but like I said, I’d be happy to do it, so please don’t disappear on me now. I think you’re doing the right thing and I respect the heck out of you for pursuing it and standing up for yourself. I agree that waiting on Government intervention is not the best path forward, and that there’s no time better than the present to get things done.

      Thanks Sol. Good luck, and keep in touch!

  14. I have been searching despitely for private student loan forgiveness. Have been paying on these for twelve years. Cobarrower deceased now and I am disabled and on fixed income. So without help from cobarrower ( father) can’t make high payments and loans just go up and up and running on and on. Have probably paid twice over the original amounts due. HELP

    • Hi Barbara,

      Sorry to hear about your situation. Are you totally and permanently disabled? If so, you need to search “Total and Permanent Disability Discharge” on Google and look into getting all your debt forgiven.

  15. Hi Tim, I need your help in understanding how my son pays his government loan along with his private loan when he only makes $10.00 an hour. He pays 260.00 on his private loan and is currently in forbearance on his government loan but they want him to start paying in august. Can he stay in forbearance while his paying his private loan? He owes $17,000 in private and $58,000 in government loans. Should he combine the private lian with the government loan?

    • Do NOT combine Federal with Private! Tell him to enroll in one of the income-based repayment programs (PAYE or REPAYE) for his federal debt, and his payments will be tiny. That’ll put him on the path to forgiveness with the federal debt, but he’s going to need to deal with the private debt separately. Unfortunately, private lending is still the Wild, Wild West, and whoever owns his debt is going to determine his repayment options there.

  16. Hi Tim
    In your post back on July 15th you said your favorite loan consolidation company is the Student Loan Relief Helpline. I was wondering if you knew the actual website of this business? Thanks

    • Hi Miranda,

      They don’t have a website because they work with multiple end-servicers, depending on your financial situation. The way it works is you call them, tell them what’s going on, then they find the right provider to deal with your issues. Sometimes it’s a debt consolidator, sometimes it’s an attorney who will fight the validity of your debt (basically saying that the lenders have no right to collect on it). Sorry I can’t give you a better answer, but I like them because it’s a more custom solution than what most other companies offer.

  17. Ruby Taylor says:

    Hi Tim, I need your help in understanding how my son pays his government loan along with his private loan when he only makes $10.00 an hour. He pays 260.00 on his private loan and is currently in forbearance on his government loan but they want him to start paying in august. Can he stay in forbearance while his paying his private loan? He owes $17,000 in private and $58,000 in government loans. Should he combine the private lian with the government loan?

    • Hi Ruby,

      Yes, the Federal and Private loans are treated entirely separately, so he can keep paying the private loan while remaining in forbearance on the Government debt. Here’s the problem though… if he doesn’t have the right type of Federal loan, he may be racking up interest while he’s in forbearance. I would advise to check with whoever services his loan to find out if his loan is subsidized (meaning the Gov’t will pay the unpaid interest on the loan), or ubsubsidized (meaning that he’s going to end up with recapitalized interest and a larger debt if he isn’t paying down the interest amounts each month, even while the loan is in forbearance).

      I would recommend AGAINST consolidating private loans with federal loans, for one main reason – as soon as you consolidate that debt, you’re no longer eligible to take advantage of any of the Federal student loan assistance programs (like forgiveness, forbearance, deferments, etc.). Do NOT combine those debts unless you’ve got a VERY solid plan in place for paying it all off, and have consulted with an attorney ahead of time to make sure that it’s a good idea.

  18. caroline pahle says:

    My son has a lot of private loan debt $150 K we have recently been approached by a attorney program that states there a new loan predator laws that can discharge most of his debt . They are called go 2 finance
    My son went a for profit film school and they say that the lender may have broken laws .
    Have you heard if this company or is it a scam ? They are asking us to stop making payments and to pay them direct then they will serve the loan server cease and desist letters stop all collection practices during this time. They said any contact to from said Creditor and/or attempted negative reporting on our credit is illegal, such violation will make the creditor/lender liable for statutory damages.

    • Hi Caroline,

      I’ve not heard of Go 2 Finance, but I’d check out online reviews for any company you’re considering working with. My favorite consolidation lender is the Student Loan Relief Helpline, who you can reach at 1-888-694-8235. You should give them a call and ask if they’re able to help with your situation.

      Also, look at my page about the Defense Against Repayment Discharge Program, and see if your son qualifies under any of the eligibility conditions there for a discharge. Basically, if his school broke any state laws, or lied to him in any way, then he may be able to send out a legal letter that gets his debt wiped out.

  19. Hello Tim,

    Great information and advice, thank you.

    Here’s my situation:

    I used to have federal and private loans but years ago, probably close to 10 years ago, I got those infamous calls to refinance them to get them all consolidated to a new combined “low monthly payment” saving me “thousands” etc. Unfortunately I fell for it and agreed to refi my federal into private loans. I’ve been working in Healthcare close to 8 years and now of course I don’t qualify for the loan forgiveness because they’re private regardless of my work setting.

    I’m so upset that they deceived me and didn’t inform me of the whole truth. I had no idea I would no longer qualify for federal loan provisions. Something must be done to protect people like me and undo what they did to me!

    So, now I find myself with $220K in private student loan debt, all under my name (not my husbands). I make $63K in gross pay, but after taxes and deducts it’s $37.4K. I bring home approximately $3,200 per month – net. My current payment arrangements are with Navient at $1,083/month and AES at $660/month on a “reduced rate” payment plan that will expire this summer. Every stinking year I have to call them to make payment arrangements with them since both loans have variable rates. I have to paint a sad situation otherwise they raise my interest rate and therefore raise my monthly payment. I tried to refinance with SoFi and others but was denied. I’m not sure why but probably because of my DTI. I have about $20K in credit card debt out there also and a car payment note for $350. They’re so nasty to me on the phone, even though I’m such a faithful and on-time payer. My question is: what can I do to qualify for a fixed IR loan? And what other options exists out there for people like me?

    I’m also considering filing my taxes separately from my husband as he makes a lot more money than I do and works in the Financial Services industry and half of these loans were taken prior to us even meeting each other. Do you think that’s a good idea and that it will work at helping me qualify for a lower monthly payment? Navient likes to take an income statement from me every year and based on that (what shows up on my credit, income from work and checking account statements) they determine my new monthly payment. I HATE being treated like this! We are home owners but the mortgage note is not my credit. We live in FL. My husband even suggested that I stop working, but wouldn’t they come after my house? Could they do that even though the note is not in my name? Would they ever try to come after him since we are married? I wanted to play fair and pay those damn loans but they take such advantage of me that now I’m looking at ways to just rid myself of them. Please help!

    • Hi Sophie,

      Sorry to hear about your situation. It’s really tragic that so many people end up combining Federal and Private student loans together… it works great for the loan servicers, but it’s terrible for the actual borrower. The Federal Government is attempting to make things a little clearer lately, and President Obama definitely seems committed to helping clarify confusion and get more people signed up and receiving student loan forgiveness benefits, but this industry still has a long way to go.

      Based on the numbers you gave me, I don’t think you have a whole lot of options. I would make sure to speak with an attorney before determining how to proceed though, and perhaps a CPA as well. I would definitely not quit working, because yes, they could definitely start coming after your assets if you simply refused to pay them back. And it is possible that they’d go after him as well (but that depends on some legalese that I can’t really comment on… see an attorney for details about those possibilities).

      If I were you, I would start considering options for filing for bankruptcy and attempting to get the loans discharged. It is possible (even if it is unlikely) to get a Private Loan Bankruptcy Discharge, and that may be your only real avenue toward getting out from under this debt. The problem is, you make a decent income, and your husband’s income may prevent you from passing the hardship requirement tests, but again, only an attorney can really speak with any authority on this matter.

      Don’t give up. You do have potential options here, and you may be able to get the entire loan written off via bankruptcy. Make sure to explore the options here and don’t be afraid to spend a couple hundred bucks consulting with a legitimate lawyer… it could save you hundreds of thousands of dollars down the line!

  20. Hi Tim! Great article. I’m looking into bankruptcy myself. I borrowed around $56k and currently to pay off it would cost me $211k. I’ve been out of school for 9 years. I’m a public school teacher. I’m also a single mother. I barely make $41k a year. Thoughts on if I will qualify for undue hardship? My father consigned on some loans for me but he’s currently helping provide the roof over our heads and food on the table. My child is still in daycare which is where the majority of my paycheck goes. My loans are currently in default already.

    Any advice would be great!!!

    • Hi Andrea,

      It’s possible that you may be able to qualify for the Bankruptcy Discharge, but relatively unlikely if your Father cosigned on the loans for you. The best way to figure it out is to speak with a local attorney, as every state and even county has different judges who apply the qualification tests in different ways, and interpret the results according to their own ideas about who deserves forgiveness, and who does not.

      You may have a shot though… you owe a lot of money, have little income, and have a dependent. That’s all good stuff that may help.

  21. Sherry Barnaby says:

    My daughter attended law school for 2.5 years, has private student loans totaling $200,000 at this point. Last August she endured a severe concussion after feinting and was diagnosed with a brain disorder and had brain surgery and is now partially disabled, having lost short term memory and other cognitive issues. She may not be able to finish her law degree, but its possible she could regain ability in the future. We just don’t know yet. It can take a year or two to recover from brain surgery at this level.

    Should she wait awhile before notifying her student loan provider about her condition ? It could be a year or two before she knows how permanent this disability is. She could probably work in some capacity but not a high level job for quite awhile. I don’t think she is permanently disabled, but the reality of finishing her law degree for quite some time is unlikely. We have her on a small salary through a business we own though she isn’t really working, but we needed to keep her on our company health insurance plan. We are at a loss as to what to do, any suggestions ? This whole situation is heartbreaking.

    • Hi Sherry,

      I’m so sorry to hear about your daughter’s situation! I hope everything works out for her in the long-run, and that this was just a minor blip on the radar.

      To tell you the truth, I would consult with an attorney before determining how to proceed here. It’s possible that your daughter will be able to qualify for a Total and Permanent Disability Discharge, if she can’t ever go back to work, but she would need to be qualified as completely, and permanently disabled for that to work.

      You need to speak to a lawyer PRONTO to make sure that giving her a salary isn’t going to prevent her from being able to qualify for TPD, and you need to be VERY careful about how you proceed here.

      As a related example, the Government denied my Mother-in-Law’s request for disability pay, because she went back to work for a few months after having a kidney transplant. Had she stayed home and not tried to return to work? She would have qualified for 100% of the disability benefit.

      The Government does NOT have your best interest at heart. You need to protect yourselves and your daughter, and you’ll need legal assistance from a qualified attorney to make sure that you are making the right moves here.

      Good luck!

  22. Laurie Jorgensen says:

    Is there someone that can call me regarding my daughter’s situation? She has a learning, memory, cognitive, and autism spectrum, per her Doctor of Psychiatry. She cannot keep a job due to her disability, but she is adimet about finding jobs to earn money. Her gross in 2014 was just over $5,000, but typically keeps a job for maybe a month.

    She is unable to pay both her Federal and Private loans through Navient. We are in the process of trying to get her Federal loans discharged. However, Navient is pressing our daughter for money for her Private loans. I have explained to them that she can’t keep a job, hence, she cannot pay. They stated she is six weeks behind. We, as her parents cannot help pay (we have paid some when we could because my father-in-law was her co-signer; unfortunately, he passed away August 8, 2015. We cannot pay because we already go check to check.

    I recently signed a sjte where students are fighting against The Art Institute Internation because they screwed over many student, and many with disabilities. They are in the process of closing many of their schools across the world. How convenient! Lure kids who should not have qualified to even attend their schools, then promise job placement…but actually no help. Her loans were approx $29,000 upon graduation, but with all the deferrments, etc., her loans are close to $40,000, or even higher.

    what are her options for her private loans??

    thanks for your time.

    • Hi Laurie,

      There is not anyone who can call you to resolve this for you, but I would advise that you do two things:

      1. Try to get her put on Total and Permanent Disability Status (instead of having her try to hold down job after job, and fail to do so), because that will qualify her for a 100%, comprehensive, non-taxed forgiveness benefit on all her Federal Student Loans.

      2. Contact an attorney to discuss the private loans issue, and see if there’s anything they can do to help with getting them discharged. If she is able to receive Total and Permanent Disability status, then you’ll have a much easier time getting the loans discharged via Bankruptcy. That is the path I would attempt here, because I think it’s going to be lead to your best shot at wiping out this debt entirely. Check out my page regarding Bankruptcy Discharges for Private Student Loans for details on how the process works.

  23. Hi Tim,
    I have a question regarding one my co-signors recent poor credit worthiness and if or how it affects the interest rate on my private student loans NOW. A distant relative of mine, Sam, cosigned for two private student loans for me that are now with Discover (initially taken out as CitiAssist Loans back in 2009). About four years ago Sam left the country, but my concern is that he left all his own personal bills and debt delinquent as well! All his bills are in collections and car was repossessed. I’m wondering if/when/or how his very poor credit worthiness as of late might affect the 2 Discover loans he cosigned for me back in 2009?
    Will removing Sam as a co-signor off my two Discover loans reduce the interest rates?

    I am asking because I currently have a total of 4 private student loans that I’m looking into options for refinancing or consolidating. Two of my loans are with Navient (previously Sallie Mae) which my sister co-signed for me, and the other two are with Discover I referenced above cosigned by a now MIA Sam. The total balance of the two Discover loans in question is about $40,000 with interest rate of 8.750% & 9.875%. So while I have manged to afford to pay all my student loans every month and on time, I am making interest only payments and therefore have not actually paid off any of the principle off my loans! I was thinking that if I can lower the interest rates by removing Sam as co-nsignor off my 2 Discover loans, I would want to do that before I start applying for loan consolidation plans so I can get a lower average interest rate.
    I’ve been googling this for hours, so may thanks in advance for any input you may have.


    • Hi Dani,

      I wish I could give you better advice on this one, but I’m honestly not sure if it’ll help. I am not as well-versed on the financial side of things, and I think it depends on how your loan was structured. Are you on a variable interest rate plan, or a fixed rate plan? If it’s fixed, then it probably won’t help at all. If it’s variable, then MAYBE you have a chance at qualifying for a better rate by getting him off there?

      I don’t think it will make a big difference though. Have you told the company that he left the country? You might want to speak to a financial advisor first, and get their idea on how best to proceed here. I think that’s the smartest course of action, because making the wrong move could end up costing you lots of money.

  24. I had an attorney’s office combat me yesterday claiming that they can settle my private student loans. I want sure that it was even possible.. Apparently u start paying them and they settle for half your balance 0% interest with a few years term of course I was skeptical.. However the concept made sense.. I pay them while their settling and in the meantime the lenders cannot contact me or my co signer due to breaking settlement laws.. Anyone else? I wonder if this is even possible?? I was a bit discouraged when I looked them up on the yellowpages and the office showed closed.. If this is not legitimate please be careful.. But if it’s possible please enlighten me.

    • Hi Velia,

      I can’t comment on any particular attorney (I’ve been threatened with legal action before from doing so), but I can tell you that YES, attorneys CAN help get your private student loan debt settled.

      However, keep in mind that they can’t really do anything you couldn’t do yourself. You too can contact your debt servicer and work out new arrangements for settling the debt. You can negotiate, you can play hardball, etc.

      You do not need to pay someone else to do all this for you. The reason why people pay attorneys or debt settlement companies to do it on their behalf is that these places are supposedly “experts” at handling the situation, since they do it regularly as their 9-5 job, and that it saves the borrower time and the hassle of having to deal with negotiations, etc.

      Just remember that using a middle man like this will cost something, and that if your primary goal is to save money, then you’ll be able to save the most by handling it all yourself.

      Use Yelp and other online review websites to vet anyone who claims that they can help you with your student loan debt, and be cautious about signing any contracts until you’ve got all the promises the lawyer makes IN WRITING.

      There are a lot of scam artists operating in this space, and you could end up losing more than you gain by trusting one of the shady charlatans who claim that they can help you. Be careful!

  25. I co-signed a private student loan with my daughter who is now deceased. It didn’t take them long to come after me for re-payment. She never had the opportunity to work and try to repay this loan. I haven’t been able to pay on the loan and it is in default. I filed Chapter 13 to help me get through other obligations that I had but you are correct in that private student loans are not even considered. My question….I can’t afford to pay what is past due but should I make an effort to pay something minimal to show that I am not disregarding the debt? Thanks

    • Hi Nancy,

      I’m sorry to hear about your situation, and sorry for your loss.

      The bad news is that you are probably going to remain liable for this debt since you co-signed on the loan, but if I were you, I would consult with a local attorney to get their advice on how to proceed here.

      It’s possible that you may be able to get a discharge with their help, and I think that’s going to be your best bet toward dealing with this.

  26. We have a $43K private student loan including interest as of this month. We are now talking to a company that will negotiate for us. The deal is that we will pay them monthlyfor 60 months . At the end our total will be $33k.
    What do you think of this approach?

    • Hi Dante,

      I think it’s a good idea to negotiate for a smaller total loan balance, but I would advise you to be extremely cautious about what you agree to. I’ve heard many horror stories of people signing up for new payment plans, only to find out that the lender isn’t going to stick with the terms they offered.

      Make sure that you involve a lawyer in whatever you agree to do, and that you’ve got everything spelled out (in detail), in writing, or you could end up getting completely screwed.

  27. Hi there,

    Do you have any advice for this situation:

    I’m currently the co-signer, but I’m working with the primary borrower on his private student loan (~27,000) to a training school/certificate program that has since closed (American Career Institute).

    The loan is currently through Navient and the hope is to find someone who will refinance this loan.

    Have you heard of any banks/institutions that will refinance private student loans from a private, for-profit training school/certificate program?


    • Hi Kim,

      Yes – you should have plenty of options as long as the borrower will be able to qualify for a new loan (good credit, proper debt to income ratio, etc.).

      Check out my page about Private Student Loan Consolidation for additional details, and for some specific suggestions on which companies to look into. I would steer you toward LendKey, as they seem to be the easiest to work with.

  28. This is very good information. Thank you. The financial industry is too powerful and it is their money that compels senators to oppose these changes. The problem is that it wouldn’t cause a financial crisis for the normal man. It will only cause problems to the institutions that have unjust lending practices. Proper regulation on private student financing and an agreeable way out are possible and will change the middle/poverty class in a drastically good way. Vote Bernie Sanders for real economic reform.

  29. Danielle says:

    Hi Tim! thank you for this article! i feel so upside down with the amount of private student loan debt i have, and am planning on taking these tools in to full consideration. Isn’t it a shame that our generation (20 and 30somethings) can’t even afford to live a normal lifestyle because of the amount of student debt we owe?! i just find it crazy. Not saying that i, in particular, do not owe back what i took out, but the lack of regulations and protection for these types of loans make it impossible to work a normal job and pay for a normal lifestyle.

    thanks again!

    • You’re very welcome Danielle! Sounds like you’re getting it sorted out, so good on you! I agree it’s an insane situation, and one that probably isn’t sustainable either. In the next few years, the camels back is quite likely to break. I’m scared for what could come next.

  30. Hi Tim,

    Thanks for the article. Maybe you can help me with a question, i have 2 private student loans in addition to some federal loans. In total i owe $101,000 in loans. $50,000 is with Aes and $30,000 with Wells Fargo. I’m paying $900 in loan payments each month when i only make $1600 per month. My private lenders won’t work with me and they’ve even told me that the only way they’ll listen to me is if i default. My Aes loan has a cosigner but not my Wells Fargo. If i default on the Wells Fargo loan will it affect my status with Aes? As you can imagine i don’t want to have my cosigner affected.

    Thanks for your help,

    • Hi Mike,

      Defaulting on the Wells Loan will NOT affect the status of your loan with AES. It WILL destroy your credit score, but it won’t do anything to put your cosigner in jeopardy. They are ONLY attached and responsible in any way for the actual loan that they cosigned on.

      That’s the good news. The bad news is that it sounds ridiculous that your lender said they’ll only be willing to work with you if you default. Default is typically a very, very bad idea, and should never be gone into willingly.

      I would ask to speak to manager over there, and keep going up the chain until you get to someone who can make a real decision on your situation. Tell them you are considering defaulting, filing for bankruptcy and attempting to get the loan discharged (this is a bluff obviously, but it might work), but that you’d rather work with them to make arrangement for an affordable monthly payment.

      The ball is in your court – but you have to play hard ball with your lender. Especially if they’re stonewalling your attempts at finding an acceptable middle-ground agreement.

      Be careful, and consider getting legal advice before proceeding, but definitely do not worry about your Wells default impacting to cosigner on your AES loan – that won’t happen.

  31. Hi Tim,

    Thanks for the article. Great info!

    Here’s my case:)

    I have 2 private loans with Sallie Mae that are a result of extremely high tuition fees from a “for profit” college. I saw that colleges owned by this company are closing campuses across the country. Of course, my campus is not one being closed, but I have noticed that there are several lawsuits that have been filed against the school for predatory recruiting and falsifying career employment upon completion of the program. I could make a strong case that I was misled by the campus as the only reason I decided to attend was because of their exceptional career placement services. Career placement had high turnover once I graduated and were restructuring at the time and I got lost in the shuffle. I have not been able to find steady employment since I graduated in Dec 2011 and have only been able to do contract work for a short amount of time in the industry.

    I’m struggling to make my private loan payments and while I was able to get a temporary interest reduction payment, it’s still causing financial hardship. I know that loan forgiveness or discharge is nearly impossible to receive with private loans.

    What can be done about these “for profit ” predatory schools and private loans? Any advice?

    • Hi Robyn,

      Are you referring to Corinthian Colleges?

      I would suggest looking into something called the “Defense Against Repayment Provision”. This is an argument that you can use to try and get your student loans discharged due to being lied to about job placement rates, etc.

      I haven’t written up a page about it yet, but if you type that phrase into Google, you should be able to find everything you need to decide if you have a shot at it or not.

      Let me know how it goes! I’m interested to hear how things turn out. And good luck!

      • Hi Tim,

        Thanks for the info.

        I did a search with this term and I have found that many students have filed/ wrote letters to the Department of Education using this terminology, but not many results have been seen. It looks like it’s a very tough thing to prove.

        I attended the Art Institute, part of the EDMC and Argosy for profit schools, which have recently closed down 15 of their campuses nationwide. There have been numerous lawsuits filed against the school, claiming the same thing that I am, but again, the students have not benefited.

        I’m not sure if this would help my case or not, but I know that the school was struggling to get accreditation while I attended and was receiving financial aid. There was a huge review underway over the degree programs and classes. Is there something there that I can use?

        • Hi Robyn,

          It’s definitely possible. I would push for the school misrepresenting employment rates, salaries, etc. for graduates. The deal with this exemption is basically that you must prove the school knowingly lied/mislead you into thinking you were getting something that they couldn’t actually deliver on.

  32. “$140,000,000 dollars(that’s $140 Billion)” — Does this mean $25 is $25 thousand? Is it possible for me to use this exchange rate for my loans?

  33. Shavon Banks says:

    Hello Tim,

    I am so glad you posted this article. It has helped me a lot. I currently owe about $120k in federal student loans, which are with Nelnet, US Dept of Education, Navient, & ACS. Luckily my loans with Nelnet & ACS are in forbearance and under an income based repayment plan. My loans with Dept of Education & Navient are currently in default. Even though the Dept of Education loan is in default I am currently in a income based rehabilitation program where I pay $5.00 per month for 9 months. Once the program is completed I will be out of default. I have noticed on my last paycheck a Garnishment 1 has showed up where $307 was taken out. I have tried contacting Navient but their office is closed. I am trying to figure out who is garnishing my wages. I only make about $38,000 per year. I pay almost $1,000 per month in rent, I have a $317 car note and other bills I have to pay. I definitely can’t afford someone taking out $300 out. I am terrified of these student loans. I also found out I have two private loans with Key Bank that have been issued to their collection recovery dept and showing as charged off on my credit. I tried talking to them and they said my only option would be to pay either minimum $200 to $800 per month to pay in full $59,000 of my loan. I can’t afford this. I am by myself and have only one job. The total of all these loans I don’t know where to begin paying back. I don’t know what route to take about my student loans. I don’t know what to do. Please help give me some advice if you can. Thanks

    • Hi Shavon,

      You definitely need to find out who’s garnishing your wages. I would also recommend that you speak to a lawyer about filing for bankruptcy, and attempting to have your student loans discharged during the bankruptcy proceedings.

      Your income is low enough, and your debt balance high enough, that you may be able to qualify for the Bankruptcy Discharge under the conditions of the Undue Hardship test.

      Check out the link from the above paragraph for more details about how private student loan bankruptcy works.

  34. I was wondering if I could go bankrupt I really can’t pay off my private loan specially right now that I’m about to be a single mother .I can bearly afford to support myself and my bills with the income I make monthly and now with a baby on the way I’m stressing so bad.I need help ASAP I’m already behind on my school payments.

    • Hi Ale,

      I would recommend speaking with a lawyer about this. I can’t offer legal advice.

      Technically, anyone can file bankruptcy, but it may not help you with your private loan debt unless you are truly facing an untenable financial situation because of the burden of your school debt.

      A local bankruptcy lawyer will be able to offer advice on how you should proceed.

  35. I currently have over $200k in student loan debt. I am 33 yrs old, make $38,000 a year and am married. about $150k of the loans were taken out in my name but I did not sign for. A family member took these out and have now stopped paying them. In total if I could pay them all after my car payment I would have about $400 a month to live off of and this is only if my husband paid for every other bill in our household. Which I would never ask him to do since these were taken out prior to being married and I am not the one who used most of the money in the first place. The loans I loans I did take out I pay for monthly one is a private loan and one is a federal loan. I am at a loss of what to do because this is now going to put a huge stress on my marriage and finances. I am not prepared to make these additional payments and can not pay my part of our house hold bills and these loans that are held with ACS and Sallie Mae. I have no assets, everything is in my husbands name and wouldn’t be approved to get a loan to buy a huffy bike let alone anything of real value. I am at a breaking point and just need a way out. I have thought about the bankruptcy route but am afraid I would not be approved for dismissal if they took my husbands income into account. I am also afraid if they go into default they will garnish my pay checks. I do not know where to turn for help with any of this. Do you have any suggestions?

    • Hi Lee,

      You are right about bankruptcy and your husband’s income. You really should have taken care of this debt issue BEFORE getting married. If you filed for bankruptcy now, I believe you would have very little chance of getting the debt discharged.

      My advise to you is to speak with a local attorney and get advice on how to proceed. I don’t want to steer you the wrong direction and I am in no way qualified to offer legal advice.

      Some things I would consider, as terrible as this may sound, include filing for divorce, then filing for bankruptcy to wipe out the debt, then remarrying down the line.

      I’m not suggesting that you ACTUALLY separate from your husband, but perhaps getting a “paper” divorce may be in order? If the financial strain is stressing your marriage, this may be the best way to save it in the long-run.

      Or, this may not work at all. You’ll need to speak with a lawyer to get advice on how to proceed.

  36. I am a co signor on some federal loans for my son. As a teacher are those able to be forgiven with the teacher loan forgiveness program?

    Also wondering about consolidating private loans for lower interest rate and one smaller payment. You told someone consolidating is not always a good idea. Please explain why.

    If the private loans are consolidated will they still require a co signor?


    • Hi Sally,

      As far as I know, you can’t co-sign for Federal Student Loans. Are you referring to Parent PLUS Loans? If so, no, those loans cannot be forgiven with Teacher Loan Forgiveness.

      Consolidation can lead to problems with receiving different types of Loan Forgiveness down the line. For example, if you had a Perkins Loan and consolidated it with non-Perkins Loans, then it would no longer qualify for the Perkins Loan Forgiveness Program (Teacher Loan Cancellation).

      If your son is able to consolidate the private loans into his name, exclusively, then that would mean they don’t require a co-signer (by definition). That’s something you would have to explore with your lender, or a new lender though – they all have different rules when it comes to loan modifications.

      Thank you for asking, and good luck!

  37. I took out a loan, for my then 13 yr old son to be sent to a behavior management “ranch”. As a single parent I was having problems with him. The cost was 36,000.00 for 12 months. His father paid half, and I took on $15,000.00 for the other part of the cost. They were to educate and keep him current on his education. After 6 months he was doing well, and I brought him home. As the contract was for 12 months, the cost of the program was not altered and there was no reduction on the price. His father paid the $15,000.00 and I continued to pay on my bill. After several years I became disabled and my income dropped severely. I now am unable to work and only receive 1181.00 per month. I am single and can not make the 381.00 per month payment. The company has charged it off but sent it to a collection agency. As it is a private loan, not eligible for federal student loan forgiveness, and I have filed for bankruptcy in 2008, at that time I was told this was not able to be included. What am I able to do? I live in a small home, have only 1 vehicle, no assets or savings or retirement and been disabled since 2012. I am worried for my future they will attach my disability income for the remaining balance. I have told them the situation, they do not care. Also when he came home his education was not attended to, and he had to be tutored to return to public school at a cost his father paid for. His father will not take over the part I can not repay. Is there any help for me? Thank you.

    • Hi C D,

      The bad news is that I’m not aware of any programs that could help with your situation. Like you mentioned, all the big debt forgiveness programs are only available for people with Federal student loan debt.

      I would recommend attempting to work out a compromise with the collections agency, or, if you’re truly unable to come up with any of the money, speaking to a local attorney about your options.

      You’ve already defaulted on the loan, so things can’t really get worse, but it may be possible to work out an arrangement where you pay pennies on the dollar and avoid having any sort of wage garnishment put on your disability income.

      $381 is definitely too much money for someone receiving just $1,181 per month. You may have a case for getting this debt discharged by filing for bankruptcy, but I doubt that would be worth doing over such a small (relatively) amount of money.

      Talking to a lawyer is going to be your best bet for figuring out what to do next. Wish I had better advice for you! Good luck!

  38. This is the most depressing thing I’ve read.

  39. Great article!!

    Question: my boyfriend is my co-signer and as been a teacher for a few years. He will be entering a forgiveness program due to his profession. However, does my loan that he co-signed (which is private) would be forgiven as well?

  40. Hello Tim, need advise and hopefully you can give us one because my wife and I are both going crazy here. we both have well over 400K combined in student loans federal and private but mostly private and we are trying to figure out if bankruptcy for both of us is the way to go ( am sure it is but since we both have a jobs and make prob less than 70k a year with two kids. We barely make payments on her student loans because they were able to work on her and reduced it a little bit but they were not able to work with mines since they were in default and we believe that even if they are able to work with mines now that we wouldn’t ba able to afford them since we have the kids and food is so damn expesive plus all the extras. what would you recommend and if you know of any good attorneys that could help in the DC area because I called a few around and they are not even willing to talk about the student loans debt since they said it cant be done only the other debt that we have. Hopefully you can help and thanks in advance

    • Hi Vinn,

      I don’t have any referrals that I can make, but if the word you’re getting back from attorneys is that it can’t be done, then that may be the truth.

      Different regions are having easier times getting student loans discharged in bankruptcy proceedings, and perhaps DC is simply not willing to compromise on recent-historical precedent (which has been to refuse discharges for all student loan debt).

      I wish I had some better advice for you, but when it comes to these things there really aren’t any magic budgets.

  41. Tim,

    Just wanted to check and see if anything new has come up as far as help.

    To make a long story short I got a BS in Biology then went to nursing school. My debt is approx 120k. While out of RN school and trying to get a job, I defaulted on my AES managed private loans through Key bank. Seriously a week after they went into default, I had a job that would allow me to make the payments, but it was too late. Keybank wanted a lump sum of money that I didn’t have. I was told to “get a loan” which is impossible now with a default on my credit report and a high debt to income ratio.

    My federal loans through navient and fedloan are all current and in good standing.

    My other private loans through wellsfargo are current and in good standing.

    It seems as though no bank will consolidate my keybank loan with my wells fargo loan while the keybank loan is in default. It also seems there really is nothing I can do about the defaulted loan. I haven’t talked to keybank or a CA in a year, stopped getting letters from them in probably the same time. A recent check of my credit report and it looks like the loans were “charged off” sometime in the past year.

    I hadn’t started making monthly payments to keybank because I figured, if they aren’t going to take the loan out of default until its paid off (which will take forever), then whats the point if my credit score won’t get better. Now i’m thinking maybe I should to avoid future wage garnishment and court.

    So my questions are: I haven’t heard from keybank in a long time, should I call them and try to at least start making a monthly payment to avoid them taking me to court? Should I leave it alone and see what happens since I haven’t heard from them in awhile?

    If I do start making regular monthly payments, will it help my credit score even though the loan will still show that it is in default?

    Have you heard of any bank willing to buy out a defaulted loan to bring it current so I can make monthly payments?

    Thank you in advance for any advice!

    • Hi Gary,

      Making regular monthly payments on your defaulted loan will NOT help your credit score. I have heard of private lenders who allow loans to be taken out of default, but it’s always an uphill battle.

      My thinking is that if they aren’t bothering you to try and make you pay the debt, and you don’t necessarily need a higher credit score for things like a car loan or mortgage, then I would almost recommend just letting this thing slide.

      It’s true that they could try to garnish your wages, put a lien on property, etc., but all of that requires them paying legal fees and essentially actively pursuing your account.

      It sounds to me like they have given up on your debt (with the loans being “charged off”), and abandoned the hope that you will ever pay them back.

      If that’s the case, ride this thing out!

      If you don’t want to risk that, then I would advise speaking with a lawyer who has experience in student loan defaults, or at least in general loan defaults, and asking them for advice.

      You may have to spend a couple hundred dollars on legal advice, but it could save you tens of thousands down the line…

      Be careful with this one, because calling them back may start a process that can’t be put back to snooze. You don’t want to wake the sleeping giant!

      • Hi there! This story is very interesting because it is similar to mine. I’m a cosigner for my wife’s private student loans. She took this loan (I think it’s only one) back in 2008 and they are with Navient. The amount is 18k with 7k past due. We filled bk in 2012 but of course this loan was not included however they were notified of the bk and have not contacted us since. Actually they didn’t contact us before either. The debt has been charged off and my wife keeps telling me that it will go away because the statues of limitations will be up soon, she says it’s 6 years here in Georgia. I can’t see how this will just go away? I called Navient this week because I’m trying to get a home loan and the lender said this was an issue and we needed to find out what is the deal with this private loan. Navient said they will not sell the debt but will have another agency try to collect on their behalf. Should I not have called them? Was that stupid? Did I awake the giant? And if I ignore them, will this really go away?

        • Hi Giovanni,

          I would contact a local attorney right away to find out what you need to do to proceed now.

          Getting in touch with them might have been a huge mistake – they could have forgotten about you guys entirely and been prepared to wipe out the debt, but opening up discussions with them again may force the person you spoke with to start proceedings for transferring the debt to a collection agency.

          It’s important to speak with a lawyer before doing anything like this. You were right to want to look into it (simply ignoring it is definitely not a good idea, and not the right thing to do), but contacting Navient may prove to have been a disastrous error.

          On the bright side – it may not have any impact at all. Only a lawyer in your area will be able to guide you from here on out. I’m not familiar with Georgia law and can’t offer legal advice.

        • Hello Tim. I am in a similar situation. $198,000/20 separate private student loans (my mother the primary borrower but has low funds) and all loans on my credit score labeled “closed”. Have not heard from Sallie Mae/Navient for about a year now. Have never been served by them as well. In note section of credit report each loan listed as “bad loans, write off”. My brother is the co-signer and wants to get everything take care of. He wants to call Navient to try to get this all sorted out. I am afraid by doing this we would be “waking a sleeping dragon”. the SOL in PA is 4 years and the loans were defaulted in 2013. (how exactly does the SOL work?) Unfortunately I am married and do not think bankruptcy is an option based on my husbands income. I am not sure what the next step should be as my brother is getting impatient.(I also do not want them garnishing his wages/putting a lien on his home if that ever came to it) Any advice would be greatly appreciated.

          We did reach out to a student loan lawyer that is trying to help us but mentioned he did not have many options b/c of the size of the loan and mentioned the company would probably want a down payment to take them out of default (which we cannot afford a large down payment). He also mentioned even if we were able to do this, he thinks they would still want a huge amount per month that we still would not be able to afford.(our original problem was we couldn’t come to an agreement for a monthly payment and Sallie Mae would not budge or help w/ that)

          • Hi Ashley,

            I think you guys are better off just leaving this alone and hoping that it clears up once the statute of limitations runs out. Your lawyer should be able to advise you on how that part of the process works. If you’re already 2 years into the 4 year waiting period, why be in such a rush?

            I’m sure your brother wants his credit score to improve, but think about how much damage could be done by bringing back a $200,000 debt that may go away entirely on its own…

            I don’t want to steer you the wrong direction and I think you should listen to your lawyer, but you may want to seek out a 2nd opinion as well.

  42. Hey Tim ,

    I have about 160k across 4 Private Loans with sallie Mae and they do not offer any type of consolidation. I am very fortunate to be able to afford the monthly payments, but I am unable to save nor do much else with my income. I have a wife and a newborn daughter and am afraid we will be unable to afford a house for my family. I need a way to consolidate these loans down to get a single low(er) monthly payment. Please help!

    • Hi Jaime,

      You could always look into consolidating your loans with a different lender. It’s possible to do something like a refi on a mortgage with your student loan debt, where you take your existing loans and have them transferred to someone else.

      If I were you, I would start calling around to see who could offer you the best loan terms and conditions. If you are able to make your existing monthly payments, then it’s likely you won’t have too much trouble consolidating elsewhere since you are what these companies think of as the exemplary customer.

      In all honesty, the lenders want people like you who will make payments on time, but slowly pay off their loans, because that’s how they maximize their profits (by accumulating of interest on the loan).

      I don’t want to point you in any specific direction because I’ve heard great things (and horror stories) about every single private student loan servicer, but talk to a few of them and see who can get you the best deal, then get on it!

      Good luck =)

  43. Hi Tim,
    Thank you for your information! I will be passing this along to my attorney. I am a 28 yr old with $210,000 in private student loans. The monthly payments are crushing, and the companies with not work with me. I have been able to keep all of the loans paid monthly, but can’t afford anything else, including a place to live. I have gotten some money together and am preparing to file bankruptcy in the upcoming months. My attorney thinks we will see some success, but I am skeptical. Do you know of any recent case examples where the lender was successful with a bankruptcy? Or any tips? I am desperate for some relief from this debt, I feel as though I ruined my life at a young age and there is no solution. Wish me luck!

    • Hi Amanda,

      Sounds like you have a good plan going and are on the way to getting some relief from extraordinary debt! $210,000 sounds like a massive amount – were you attending Medical School or Law School? Did you finish the program?

      Your life isn’t ruined! It is absolutely possible to discharge private student loan debt via bankruptcy, and you can find some successful relatively recent discharge cases listed on the Get Out of Debt website, here.

      As far as tips – I would suggest that you do not purchase anything you don’t absolutely need over the next few months. Do not take trips or vacations, don’t get a new cell phone, don’t buy new clothes and don’t do anything that someone who is absolutely destitute would not do.

      You will need to make the case in court that you literally cannot afford to food, shelter and clothe yourself, and that this debt is preventing you from achieving a basic standard of living.

      If your attorney is optimistic, then that’s a good sign that things could swing your way. And unless you are earning a fabulous income, with $210,000 in student loan debt at 28 years old, I don’t know how the court could rule against you…

      Good luck! And please come back to let us know how things go.

    • Amanda:

      I was wondering how your BK is coming along, and if you did eventually file an adversary proceeding to seek discharge of your student loans??

      Best wishes!


  44. How can you find a list of private student loans (mainly through banks and not federally insured) that can be discharged in bankruptcy?

  45. I need advice, our son got 2 private career training loans through SM to go to school to become a commercial pilot. Before he could finish his training, the school got all his loan money (80K) from SM.
    Then after a few weeks of him running out of money, the school closed up shop and disappeared.
    He has beed paying about $815.00 a month for the last 6 years and since he is in the military now, that amounts to 1/2 his monthy allotment. Do you have any ideas has to how we can get this debt lowered or forgiven? I almost forgot, he now makes his payments to Navient which I believe is a spin off company of SM.

    • Hi Rick,

      What a terrible deal! I’m sorry to hear about what your son is going through – it’s atrocious how people are being treated over student loan debt, and it makes no sense at all for him to have to keep paying for a school that’s shut down.

      The good news is that your Son might qualify for the “Closed School Discharge” (read about it here), which allows you to qualify for total loan forgiveness under certain circumstances.

      There’s a lot of detail to the discharge, so I’m not going to try and cover it all in this comment reply, but check out the link above, and see if it’s the right fit for your son.

      I truly hope that he’ll qualify and be able to discharge that loan. Good luck, and please do return to let me know how things turned out for him.

      It’s really rare that I get to hear the success stories, and I appreciate every single one of them!

    • Let me guess….you are referring to Silver State helicopters?

  46. Timothy Zola says:

    Hello. Tim. Thanks for the great information. I wanted some insight to my personal situation if you can help at all. I recently had my federal/dept of education loans consolidated, which I recommend to anyone, especially an income based repayment plan. Half of my outstanding debt (totaling close to 75,000) is private loan debt. Unfortunately, from what I have gathered, there is little relief for private student loans. I am able to make my payments every month, along with my rent and necessary bills. However, I am in need of a vehicle, and I cannot get a loan. I can’t even think about buying a home because I cannot get approved for any loans due to my debt to income ratio. Any advice will be greatly appreciated.

    • Hi Timothy,

      Careful with the consolidation advice, because there are certain circumstances where that can make things worse, rather than better, but I am glad to hear that it’s working out for you!

      It’s true – there is very little assistance for private student loan debt. In fact, there’s nothing guaranteed to be available to you, and the only forms of forgiveness, assistance, etc. are those offered by specific lenders.

      The good news is that you’re able to make your monthly payments, and that you’re at least on track to pay all this student loan debt off at some point in the future.

      The bad news is that there’s no magic way to improve your debt to income ratio so that you can qualify for a new loan, short of taking on another job or somehow increasing your current income stream.

      Whatever you do, be wary of taking out other types of personal loans, like payday loans, cash advances, etc., because those can get you into way more trouble than they are worth.

      Talk to friends and family about borrowing money for an affordable vehicle, and try to get something as cheap as possible so that you don’t take on too much more debt.

      You’re going to need to come up with ways to cut your budget to free up cash for this vehicle, or ways to increase your existing revenues, because the student loan payments are highly unlikely to be changing any time soon.

  47. Thank you so much for the information. One more question. I am 2 months behind on my private loans and want to go with a student debt consolidation. What do you think would be the best website for me to try?

  48. Thank you for this great article. I have recently contacted the Student Loan Consolidator and am waiting to hear back. Until that happens. I have been working with my federal loans who were more than willing to default my loans while I am getting my life in order. My cosigner quit his job and now is nowhere to be found. He was paying the bills up until a couple months ago. My Private loans (Sallie Mae and AES) aren’t willing to work with me. I am now 3 months behind because honestly, I can’t afford the bills they are sending me. I tried calling them and explaining to them my situation but they don’t seem to really care. What do you think are my best options to either settle this debt or at least get some relief from this. I’m at a loss at the moment and really don’t know what to do. Thanks for your help.


    • Hi Brandon,

      The first thing I’d do is speak with a local bankruptcy attorney to see if you might qualify for having your loans discharged by filing bankruptcy. This is a long and arduous process, but if you’re having trouble meeting basic needs (like food and housing), then you might have a shot at getting all your debt entirely written off.

      It’s a long-shot, but start there. If that doesn’t work, you’ll need to force your private lenders into negotiations. Start looking at debt consolidation options, get quotes, and let your current lender know that you’re going to consolidate elsewhere if they won’t work with you to reduce the monthly payments.

      Sometimes it takes the threat of leaving to get them to give up some wiggle room. Don’t give up though! Good luck!

  49. Thank you for the great article. My question is my father co-signed on an Astrive student loan, which is private, and it’s been over 8 years and I’ve never made one payment as my income was too low, around 12,000 per year, with a 40,000 privte loan. They have never contacted me other than letters saying that another collection agency bought the debt, maybe 3 different times.

    I don’t even know who owns it now, but they just sent a letter to my father that he has to answer and return to the court in his town. I live in another state and they had my name on the letter at his address. I still can’t pay. Should I file bankruptcy? My main concern is that my father is not stuck with the debt, he’s 72 and on social security with no extra money. Please help advise me on this. Thank you.

    • Hi Bryan,

      It is probably time to start considering bankruptcy as an option, but the only way to know for sure about whether or not that would actually help will be to consult with a local bankruptcy attorney, especially one who specializes in student loan debt.

      I honestly can’t give you legal advice here (that would be foolish), so I’ll have to leave it at that. Good luck!

  50. Great info! However, do you have any advice on arguing for undue hardship? I recently spoke to a bankruptcy attorney and was told that in order to have the loans discharged in this method that my wife and I both need to be in a condition where we are completely unable to work.

    The attorney said that it would not matter what my income is or will be in the future and that as long as I can work there is no way I can prove hardship.

    I am seeking this out because I am a graduate student getting my PhD and the private loans I took out as an undergraduate are now saying I’ve been in school too long and want their payments even though I am a student making less than $25000 a year.

    I have 2 years left in my PhD and no way to really keep up with these payments. I was hoping that bankruptcy would be an option because even when I hopefully get a tenure track job as a professor the amount I have to pay will take over 50% of my gross salary even if I’m making 70k a year.

    The only reason I can put food on the table for my wife and 2 sons is thanks to welfare, but the loan companies do not seem to care about my dire situation. Any advice would help. Thanks!

    • Hi Joe,

      I think you should speak to a different attorney. It’s possible that the area you live in is has judges who are extremely harsh about student loan debt, and who aren’t likely to forgive it in bankruptcy proceedings, but that sounds ridiculous to me.

      Typically, the courts use the tests mentioned in this article, and will allow the private student loan debt to be discharged when it’s clear that you really cannot afford to pay back the loans.

      If you really are on welfare and can only afford food because of it, then it sounds like you might have a shot at getting your debt discharged.

      However – have you been buying unnecessary goods in the past few years? Gotten any new cars, TVs, jewelry? Taken any vacations? Do you live in a nice place, and do you go out to eat regularly? Do you or your wife have a new iPhone? I sure hope not!

      If you aren’t living your daily lives like people who can barely afford to put food on the table, then the court is unlikely to side with you (no matter where you live).

  51. Thanks for the information Tim! I know what my options are but I still need some help. I’ve been paying on my private school loan and finally have been able to make regular monthly payments after a rocky start. I’m been current over the last 3 years. Now a certain loan company is raising my payment that I can not afford and are not willing to work with me on a new payment. Any advice?

    • Hi John,

      How are they raising your monthly payment? Did your loan come with an adjustable interest rate? If it did, then there’s not much you can do about it, other than looking into options for consolidation or refinancing by moving the loan to a new lender.

      To get your existing lender to cooperate, you may need to threaten them with the prospect of moving your loan to another lender. If it were me in your shoes, I’d talk to a couple potential lenders and get quotes for monthly payments from the new sources, then use those as leverage when negotiating with the existing lender.

      If you can get a written estimate of a lower payment than what your current lender is offering, you may be able to make it clear to them that you’re about to abandon ship, and take your business elsewhere.

      Most lenders don’t want to lose loans (that means they stop making money on interest payments), so making a threat like this may be just what you need to get the negotiations flowing.

      Good luck!

  52. as a co-signer to my $70,000 private student loans, NO degree daughter. I am in major financial trouble. I am partial permanent disability,working a modified job that is probably not going to last forever.Maybe another year.I have already made my debt worse trying to keep these loans current,but was late last Feb 2014.So my credit score suffered. I have used Equity loans and credit cards :{ Do I have any special rights as a co-signer? Any shot at getting these dropped with Bankruptcy? Would we both have to file for bankruptcy? I fear this is my only hope as my other bills will be falling behind real soon. Bankruptcy seems horrible,Like I have failed.
    thanks for any advice

    • Hi Carmen,

      I would recommend speaking to a Bankruptcy attorney in your area as soon as possible. You might both be eligible for a bankruptcy discharge, but I believe that both of you would have to file for it.

      Bankruptcy is there to help people who have made mistakes. It’s a short-term failure, but necessary to lead to longer-term success. If we didn’t have bankruptcy available, they’d probably have to bring back debtors prisons, which would be far worse.

      Good luck!

  53. My federal loans were put under an income based repayment program that made my payments much more affordable. The loans through my university, however, do not qualify, and they won’t work with me. I can’t afford what they want me to pay, and they won’t help me unless I let my loan fall behind. It doesnt seem right. I worked hard to keep my loans current with them, and now they won’t help me BEFORE I fall behind. I’m not asking to not pay, I’m only asking to pay a lesser amount every month. I don’t know what to do, or if these loans can be consolidated.

    • Hi Marcie,

      Are these private loans you’re talking about having trouble with?

    • This situation that Marcie is describing is exactly what happened to me. I was on the phone day and night trying to find a consolidation option, an opportunity to stave off some of the payments until I could at least take care of my car (which I needed to keep my job), but in the end, my payments fell behind and now I’m paying interest on a debt that is already affecting my credit score negatively, AND which is accruing interest at a faster rate than I can pay each month.

    • Hello. I have been contacted by a student loan relief company who promised me to get my private loan dismissed through a lawyer and I make payments to that lawyer instead. They say that this company and most companies don’t oblige by many debt laws and that is why I can get it dismisses. Is this a scam?

      • Hi Rachel,

        Be careful with who you contract services to. There are lots of predatory lenders/lawyers/companies operating in this space right now, and you could put yourself into even worse legal and financial trouble than you’re currently in by making a bad decision.

        My favorite loan consolidation company is the Student Loan Relief Helpline, who you can reach by calling 1-888-694-8235. They should be able to look at your situation and give you advice on what to do to save the most money.

  54. Christina says:

    Thank you for the most helpful information, Tim. Are you aware of any circumstances where the lender will agree to a cash settlement for long-standing student loan debt? Over 20 years, my balance has actually grown due to interest and penalties. If I continue to pay based on my current arrangement, I’ll pay twice as much in interest as the actual balance of the original loan (original loan = $35K; Interest paid = $68,500). Thanks for any insight you can offer,.

    • Hi Christina,

      Thanks for stopping by and thank you for the kind words.

      To answer your question, YES! Lenders settle for cash all the time in this space, especially if it seems like their borrowers are about to default, file for bankruptcy, or somehow get the debt discharged.

      It is absolutely possible to work out an agreement with your lender, but these things are done on a case by case, individual basis, so you won’t know what’s possible until you speak to them directly.

      I would contact them immediately to discuss the opportunities, and see if you can work something out. Unfortunately, if you’re not in distress, you probably won’t get them to budge, because their entire business model is predicated on the idea that you’re going to pay back far more than they originally gave you, but there is always a chance that something can be done.

      One threat you can make is that you’re going to refinance the loan or roll it into a consolidation loan with some other company, which would effectively take the business away from them. Don’t be afraid to use that threat!

  55. Grady Latham says:

    Thank you! I’ve been searching for months to try and find out what my options are, but now that I know that forgiveness is out of the question, I’m going to go for a bankruptcy discharge. Wish me luck!

    • Hello Grady! I’m getting ready to file Bankruptcy for Private Student Loan discharge. Just wanted to check in with you to see if you had any sucess. Thanks!

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