Student loan delinquencies and defaults are at an all-time high across the nation. Ohio universities in particular, have extremely disturbing student loan default rates. Several Ohio universities rank in the top ten schools with student loans in default. This is troublesome because it means that the graduates from these universities may be struggling to locate gainful employment upon graduation.
When graduates are unable to repay their student loan debt, they may not experience consequences right away. Student loan accounts are considered delinquent when they are merely past due. When an account becomes more than two-hundred and seventy days (270) past due, the account is considered in default. Default status is when the real consequences begin sinking in. When a student loan borrower is in default on his or her federal student loans, the government may begin taking a portion of the borrower’s paychecks, tax returns or Social Security checks. This process is known as garnishment and garnishment may begin as soon as the account is in default.
To escape default is very difficult. Borrowers must make a good faith effort to rehabilitate their loans and cure their default. Garnishment may continue until the loan is entirely paid off. Borrowers are much more likely to cure their default sooner if they enlist the advice of professionals. Student Loan Law Group has attorneys that may negotiate rehabilitation plans to cure defaults and end garnishment on behalf of clients.
Borrowers who are struggling to make their monthly student loan payments should contact Student Loan Law Group to determine what their options are. It may be very likely that the borrower qualifies for an income-driven repayment plan that may significantly reduce the borrower’s monthly student loan payment. Once a borrower is considered in default on his or her student loans, they are no longer eligible to apply for income-driven repayment plans until their default has been cured. Take action quickly to get your student loan accounts in order.
For more information, contact Student Loan Law Group today at 888-843-1706 or www.StudentLoanLawGroup.com.
