Ask Terry Questions Student Loans –Help!

Student Loans –Help!

By Terry Savage on March 17, 2019 | College Savings / Student Loans

I have three private student loans through Sallie Mae that total $62,000 which makes my total around $900 a month because each loan has its own payment. I can’t refinance or combine my loans on Sallie Mae and I was unapproved for refinancing through their website. I have tried every financial company out there including SoFi, Credible, Earnest, Lightstream, ect. to refinance my loans. Each of those sites either deny me or tell me that my monthly payment will be over 500 and I still can’t afford that. I tried with a co-signer but it really didn’t make a difference and I don’t have any other family/friends that I can use.

I would love to start paying my loans but I feel like the only option right now is to claim forbearance because each option is just too much for me to pay. I also have financial aid loans that total $10,000 which I have brought down to about $66 a month to pay those. I am supposed to start paying in two months to my private student loans.

Please let me know what I can do to make my monthly payments the lowest possible.

Terry Says

Well, I don’t think you are looking at this realistically.  You say that you could reduce your monthly payment to $500 a month.  That is the best route — because forbearance will only make the burden worse because of the interest, and make it last longer.

Now, I’m assuming you graduated from college because you have all these loans.  Do you have a job?  Can you live at home with your parents for free, while you pay down your loans.  (Yes, I know that’s unappealing– not only to you but to them!)   Can you rent a room if living at home is not possible?   Can you get a part time or evening job in addition to where you work to make some extra money to put toward your loans every month?

There is no “easy way out” — including forbearance.  We are at a time of record low unemployment.  Companies are searching for qualified, educated workers.  This is why you went to college!  Get two jobs if necessary and start digging in to this pile of debt.  The sooner the better.  It won’t just go away if you don’t look!



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