Generally, default occurs when a loan receives no payment for 270 days. You have one chance to get your student loan out of default by using either consolidation or loan rehablitation. Confused about whether consolidation or rehablitation is a good choice for you? No problem! Contact Ciolek LTD. for more information 419-740-5935.
- You must rehabilitate each individual loan. After the rehabilitation process is over, you still have the same loan, but it is now current.
- Requires nine payments in a ten month period to get out of default.
- We’ll help you negotiate negotiate “reasonable and affordable” payments with collectors to get out of default.
- Merges student loan(s) into one loan.
- Allows you to get back on track immediately without having to make any preliminary payments.
- Unlike student loan rehablitation, there is not a need to negotiate a reasonable and affordable payment with debt collectors.
- Lenders can’t come after you during or after the consolidation process.
- By consolidating student loans, you’ll have access to income-contingent repayment plan (ICR) and income-based repayment plan (IBR), which calculate your payment based on your income. If you stay current with your payments, any remaining balance on the loans will be forgiven after 25 years.
Confused about whether consolidation or rehablitation is a good choice for you? No problem! Contact the Student Loan Attorneys for more information by using the contact us form or by calling 419-740-5935.