Most US graduates have student debt. In fact, American adults are currently straddling higher student debt than credit card debt or car loans. While you may fear having to take out loans to get a degree, you can manage them wisely and avoid many of the common struggles people face. However, you may reach a point on your journey that leaves you with no options; your debt is too high, you cannot make payments or you may even be at risk of default. A student loan attorney can help, but many people have never even heard of these professionals. Whether you’re just doing research before school or looking for help, this guide will cover everything you need to know.
Protecting yourself from financial ruin
A student loan attorney does not pay student debt as it is an expense that you gladly accept. However, they can act on your behalf to negotiate crippling interest rates, eliminate overdue penalties, and rearrange payment plans to help you stay current. Federal and private student loan systems differ significantly, and this type of legal professional knows the ins and outs of both. They offer direct advice and services, including legal action.
Help you choose what’s right for you
If you are considering borrowing, you need to understand your limits as well as the limits of any loan you accept. Start by looking at what the maximum you can borrow for student loans to get an idea of how much money you could borrow and consider what you can reasonably repay. Remember that student loans are more than just borrowed amounts. There is also an interest to be taken into account, which can make monthly payments much higher than expected. A lawyer can offer legal advice before you even take out loans that help you make the best choice for your budget. If you later encounter a problem with your creditors, the same attorney can oversee your repayment plan to make sure you are not charged extra.
A repayment defense lawsuit can lift any federal student loan debt you have if the school you attended lied to you or misled you about the program you were enrolled in. Typically, this lawsuit is used when a school violates state and / or federal law by misappropriating borrowed money. Debt forgiveness is more than not having to pay any more money; if you raise the reimbursement defense against a school, you are also entitled to reimbursement of any monies you have paid for your debt.
It is important to note that the reimbursement defense does not cover any personal harm, illness, or harassment claims, even if they directly impacted your ability to complete your education. Instead, this is a specific type of lawsuit that seeks to help students whose school actions have affected their loans or educational services. An attorney can help you gather all the material required to file a loan defense to your repayment claim and can also formally represent you in court. When it comes to suing a school, especially for large sums of money, having a professional on your side is always best.
Legal Scoops senior editor Jacob Maslow has founded several online newspapers including Daily Forex Report and Conservative Free Press. He also works as an online marketing consultant providing web marketing services.