I have a federal Student loan taken out for $35,000 between 1992 and 1994 consolidated in 2001. Interest at 8.25% Paid back $47,000 over the life of the loan. Because of high interest rate now owe $86,000 and have a 30 year term to pay almost 700 a month for a total of $218,000 additional payment. Any suggestions to dismiss in bankruptcy or have Navient settle for a lesser amount. Will be 80 before the loan is ever paid and cannot pay the per month. Income based payment plan is close to payment amount. Was out of work for three years and currently have no retirement savings.
Terry Says: Ugh — this is the worst example of student loan issues. There is currently no provision for student loans to be waived in bankruptcy. I’d like to get involved ,though,so if you’re willing to send me an email with more details (Terry@TerrySavage.com), maybe we can set up a conference call with the lender.