Tips For Student Loan Repayment - Lower Student Loan Payments| Sallie Mae Tips for repaying your student loans Here are some simple tips and organizing ideas that can help you successfully repay your student loans Know your loan servicers You may have both federal and private student loans. For federal loans, visit the National Student Loan Data System to see who your servicers are. You can also request a free report from annualcreditreport.com that lists the student loans reported to consumer reporting agencies. (Most servicers report their loans to these agencies.) Update your contact information For Sallie Mae loans, you can update your info by simply clicking the "Log In" button at the top of the page to access your account and make the change. Enroll in auto debit and you may save money on your loan Auto debit is the most convenient way to make your student loan payments. Your Current Amount Due is automatically deducted from your designated bank account. With most Sallie Mae student loans, enrolling may qualify you for a 0.25 percentage point interest rate reduction. You need to be current with your loan payments to enroll.

Submit Payments through the Sallie Mae® Mobile App Make payments and manage your Sallie Mae student loan from your iPhone® or Android(TM) phone. Learn More Making on-time payments may help your credit—and may save you money Making on-time payments on your student loans can help you build and maintain a good credit rating—and save you the extra expense of late fees. Pay a little extra when you can to lower your Total Loan Cost This is a great way to save money— paying a little more than your required payments when you can may reduce your Total Loan Cost. Call if you’re having trouble making payments We’re committed to working together to get you back on track. Use forbearance only as a last resort; interest will continue to accrue on your private student loans during this period. Don’t wait. Call us at 800-472-5543 . Read your billing statement carefully It lists your monthly student loan payments and balances. Plus, it’s your source for important messages. Make a monthly budget It can help you figure out how your student loan payments will fit with your salary and living expenses.

Download a monthly budget worksheet (PDF) How to lower your loan cost Learn some tips for lowering your Total Loan Cost and paying your loan off in a shorter time. Abby discusses how to pay off student loans faster Related topics Understand student loan payments Learn how your student loan payments are calculated. Get information about how much you're paying for your student loans and why. Either the borrower or cosigner (not both) must enroll in auto debit through Sallie Mae. The rate reduction benefit applies only during active repayment for as long as the Current Amount Due is successfully deducted from the designated bank account each month and is suspended during forbearances and certain deferments. The auto debit rate reduction benefit does not apply to the K-12 loan program. Auto debit is available for all loan programs. However, the auto debit rate reduction benefit is not available for all loan programs. SallieMae Student Loans | Credit Karma SallieMae Student Loans From Product Users in the last year 5 ADDITIONAL RATINGS YOU MIGHT FIND HELPFUL Application Process 2 out of 5 stars Customer Service 1.5 out of 5 stars 1.5 5 These reviews were written by current and former product users in the last year.

Oct 27, 2016 worst Anonymous Product User they do not check to see if the loan was part of a fraud If the persons name on the loan really signed or knew about it more ... The most God-awful company in existence! Anonymous Product User The worst company I have ever dealt with! I have called 10 times regarding a single request and not only has it not been resolved, the customer service reps are rude, dishonest and extremely incompetent. If they don't want to deal with a complicated situation or a frustrated customer, they literally hang-up on you! AVOID AT ALL COSTS!!! 1 STAR IS TOO HIGH FOR THEM!!! more ... Anonymous Product User They lie! I was sold into the interest only repayment program while my daughter is still in school. The rep stated I could cancel it whenever I wanted or needed to. Guess again! Now I lost my job and the account cannot go into foreberence with this option!! Even though I set up the payment plan and it's coming out of our checking account, they need my daughter's permission to cancel the automatic payment option! I used to audit collection agencies for a large international bank; they weren't this bad!! more ...

falliebrooke Product User I signed up for student loans last year with this company because I heard on the news that a nursing student died that took out loans from them and they said they were not going to make her parents pay for her loans when others were. I am not having any issues as of now but I am still in the early stages of paying my loans. I took the option of paying off interest first while I am in school so I have less to pay after I graduate. I have everything set up electronically so it takes out my payments monthly and I recieved a letter with when the loans will increase by date when I first signed up so I have that in my filing cabinet and I keep track of that. Reading all these comments about how bad this company is, is really making me nervous. I will have to look into maybe finding a different company to take out this years loans. But overall right now I am not having any issues besides feeling anxious everytime my loan amount goes up when I start another semester of school. more ...

Sallie Mae Student Loans, Sallie Mae Student Loan Consolidation sallie mae student loans was rated 8 out of 10 based on 29 rating(s) Q:How can I apply for Sallie Mae student loan? A:It is recommended that anyone interested in applying for Sallie Mae student loan should estimate their requirement or COA (Cost of Attendance) first. This estimate will help students with their application. Students can apply for this loan online by following easy to follow instructions. Additional information such as social security number, driver's license number, contact information, a valid e mail address and information of two references is mandatory for loan application. Q:As I read about the Sallie Mae school loans, there was mention of the 529 Plan. Can you please tell me more about this? A:It is common to get to read about the 529 Plan while going through Sallie Mae School Loans. The 529 Plan is basically a plan of tax advantage which is sponsored by the states to encourage families as well as individuals in saving the higher expenses of education for future.

It should be noted here that 529 Plan refers to the Section 529 of Internal Revenue Code. Q:What options are available with student loans Sallie Mae? A:Sallie Mae offer a number of student loan options. Students interested in applying for financial aid can take advantage of Smart Student Loan Option, Career training loans, residency and relocation loans, Bar study loans and Pre college loans. All of these options are specifically designed to help students with their financial needs. Students are recommended to research these options and eligibility criterion extensively before selecting a loan option. Q:As I read on Parent Plus loan Sallie Mae plans, there was mention of the course on College Mathematics. What are the contents of this course? A:It is common to get to read about the course on College Mathematics while going through the Parent Plus Loan Sallie Mae plans. This course is worth 2 credits in total and is structured to provide students with substantial understanding of the skills of mathematics and the concepts that are commonly in use in the vocational and the academic level applications. Q:While looking for Sallie Mae private student loans, I came across Bar Study Loan. What is it about?

A:There are many different options in Sallie Mae private student loans. Bar Study Loans is also an option of Sallie Mae loans. Bar Study Loans enable the students to pay for the bar exams costs. The repayment options are very easy thus allowing the students to prepare for their education without having the tension of repayment on their head. Q:I am looking for Sallie Mae Smart Option student loan review. Can you tell me a little about it? A:Sallie Mae Smart Option student loan is one of the loans with most flexible repayment options. Sallie Mae Smart Option offers three different ways of repayment, fixed repayment, deferred repayment and interest repayment. Fixed repayment refers to less initial payment, deferred repayment late payment and interest repayment to paying more initially. Q:What Sallie Mae student options are available when applying for Residency and Relocation loans? A:There are a number of Sallie Mae student options available when applying for Residency and Relocation loans. Residency and Relocation loans offer medical loans, dental loans and global health loan options. Students interested in these loan options are requested to look at the eligibility criterion, application procedure and terms and conditions on the Sallie Mae official website.

Q:What are the different Sallie Mae student loans payment methods? A:There are various different Sallie Mae student loans payment methods to accommodate the borrower. Some of these repayment methods include, standard payment, income sensitive payment, graduated payment, extended payment and income based payment. Before opting for any one of them, the borrower should know the fact that lower payment method ends up with higher total cost. Q:As I went through the student loans Sallie Mae rates, there was mention of ample leverage for student with knowledge of the course on College Mathematics. What are the contents of this course? A:It is common to get to read about the course on College Mathematics while going through the Student Loans Sallie Mae Rates. This course is worth 2 credits in total. It is structured to provide students with substantial understanding of the mathematical concepts and skills that may commonly be used in the different vocational as well as academic applications. Q:While looking for flight schools Sallie Mae, I came across Automation Technologies. What would I learn with this qualification? A:Automation Technologies would be mentioned when looking for flight schools Sallie Mae.

Some of the courses included in this qualification are Integrated Algebra, Programming Concepts, Manufacturing Processes, Element of Trigonometry, Electromechanical Devices, Pneumatic and Hydraulic Systems and PLC Programming. Students interested in this qualification can find themselves working in a number of industries. Q:While I was reading on Sallie Mae and Compare Loans Side By Side, there was mentioned something about a loan calculator and automatic payment, what is this? A:Sallie Mae is a popular lender that helps students fund their studies. T here are a number of prominent features of Sallie Mae that set it apart from other lending companies. One of the most prominent features is of a loan calculator and automatic payment. This allows students to calculate the interest payment that they are supposed to pay, and allows them to set up a system that automatically withdraws the payments. This prevents any rick of non payment or late payment. Q:can i consolidate my sallie mae private loan with direct loans? A:No. You cannot Consolidate your Sallie Mae Private Loan With Direct Loans. That would not be a wise thing to do as Sallie Mae loans are private loans and Direct loans are federal loans. Both cannot be consolidated together.

If you have other loans, you can consolidate all federal loans with federal loans and private loans with private loans. Q:While I was trying to compare Sallie Mae loan programs, I came across its requirements, can you explain a few? A:Sallie Mae student loan options are a popular funding source for students. Sallie Mae offers competitive student loan solutions. With the help of these loans you can cover all kinds of educational costs and fulfill your academic goals. A cosigner can help you receive low interest rates on these loans and also get flexible repayment options. Q: Could you tell me about the Sallie Mae smart option student loan? A:Sallie Mae student loans are one of the best options in student loans, since the interest rate is affordable and the repayment schedule very flexible. Students who are interested in pursuing post secondary education can avail Sallie Mae Loans easily. Some of the loans offered are program specific and can help students manage the cost of their education easily. These options are: Career Training Smart Option Student Loan, Residency & Relocation Loans, Pre-College Loans and Bar Study Loan. Q:What kind of loan options are available in Sallie Mae smart option student loan?

A:If you are interested in applying for Sallie Mae Loans you will be glad to know that these loans are available for a large number of educational needs and not just a college degree. Some of the loan options are Career Training Smart Option Student Loan, Residency & Relocation Loans, Pre-College Loans and Bar Study Loan. Sallie Mae may also offers loans to cover 100% of all educational needs to students of community colleges, degree-granting colleges and universities. Q:Is it true that with Sallie Mae Student Loan Consolidation, I don't have to worry about multiple payments? A:Yes, it is true that Sallie Mae Student Loan Consolidation eliminates multiple monthly payments. The key aim of consolidation is to combine all payments into a single payoff plan. You only have to make a single payment every month, with a low interest rate. It is important to remember that federal loans can only be consolidated in federal consolidation programs. Q:As I read on how to consolidate student loans Sallie Mae programs, there was mention of the course on Statistical Analysis. What are the contents of this course?

A:It is common to get to read about the course on Statistical Analysis while going through the article on how to Consolidate Student Loans Sallie Mae. This course is of around 2 credits in total. It is designed to provide students with strong understanding of the foundations of statistical analysis and the concepts of decision analysis. Q:What are some of the goal oriented Sallie Mae student loan account? A:Although Sallie Mae Loans are available to anyone looking for educational financing, there are also a few student loan options which are tailor made for certain unique and individual needs of students, such as: • Career Training Smart Option Student Loan • Residency & Relocation Loans • Pre-College Loans • Bar Study Loan Students in community colleges or universities can avail these loans and get up to 100% financing for their college costs through Sallie Mae. Q:While I was reading about student loan consolidation Sallie Mae, I came across methods of lowering loan repayments. Can you name a few? A:Student loan repayments can be lowered through a number of specifically designed repayment methods. A few include the following: extended payment; income based payment; income sensitive payment; and graduated payment.

These options are offered by Sallie Mae and are geared towards making loan repayments affordable and convenient for all students. Q:Can i consolidate Sallie Mae student loans? A:Consolidation is a program designed to help students with multiple loans manage payments and interest rates. In this program, all loans are combined under a single package, with a lower interest rate and a single monthly repayment. You can consolidate Sallie Mae loans if they are federal loans. On the other hand, if you have obtained direct loans from Sallie Mae, then you cannot have them consolidated. Q:Can I apply for sally mae loans student online? A:Yes you can definitely apply for your loan over the internet. In fact the most convenient way to apply for a loan is to do it over the internet. The internet also provides you the benefit of comparing various loans that are on offer from different companies so that you can choose the one that is most appropriate for you. Q:Do Sally Mae student loans offer different repayment options? A:Yes Sallie Mae student loans offer three repayment options that cater to the needs of various students.

Lenders can choose from: (i) pay more now plan which entails an interest payment (ii) Pay less now plan which has a fixed payment (iii) pay later which is deferred payment. You can pick a plan that suits you. Q:What is a Sallie Mae loan? A:The Sallie Mae Loans are one of the best student loan options available. These loans offer financial assistance for a number of situations which a student comes across in his student life. Sallie Mae Student Loans include: Career Training Smart Option Student Loan, Residency & Relocation Loans, Pre-College Loans and Bar Study Loan. Q:Can you tell me about the benefits of Sallie Maie student loans? A:Sallie Maie student loans are popular with students who need additional funds to afford college education. They offer lower interest rates and have flexible terms that include smart repayment options which suit the interest of students. It is always advised to use the federal loans option before opting for other loans. Q:Why are Sallie Mae student loans popular? A:Many students prefer to go for Sallie Mae student loans as it offers an attractive loan package for them. Sallie Mae student loans have low interest rates and flexible repayment options.

Therefore, if students have used federal loans and still require financial assistance to cover study expenses they rely on Sallie Mae student loans. Q:Tell me a bit about Sallie Mae loans and the Sallie Mae online student loan application process? A:Sallie Mae loans are one of the best source of private student loans. among the most popular loans in this program are: Career Training Smart Option Student Loan, Residency & Relocation Loans, Pre-College Loans and Bar Study Loan. With these loans, students can expect to get 100% financing for their college expenses. Also these loans are popular because their interest rate is quite manageable and the repayment mode is flexible and offers various options like Interest Repayment, Fixed Repayment or Deferred Repayment. To apply for Sallie Mae loans all you have to do is go to their main page online and fill out the application for for student loans. Q:If Sallie Mae my loan has not been paid can I get another loan? A:Education is very expensive nowadays. Many times a single loan is not sufficient to cover the study costs. Apart from federal loans, students have to seek other options from private sources. Sallie Mae loan offer several repayment options.

If you have taken Sallie Mae loan that does not mean that you cannot opt for another loan. Q:I was trying to find a Sallie Mae online student application online and I came across an article about federal students loans. Can you tell me what the benefits of these loans are? A:Federal student loans have become a popular source of finance nowadays due to the various benefits. Since these loans are need based, all students are required to do is demonstrate a financial need by filling out a FAFSA form online. Another benefit of federal loans is that they carry a low interest rate which makes repayment extremely affordable. Q:Can Sallie Mae loans be consolidated with federal loans? A:Loan consolidation is helpful as you can combine different loans into one and have to pay one monthly payment. It can also lower your monthly payment rate. Sallie Mae loans cannot be consolidated with federal ones as private loans have different terms. It can only be consolidated with other private loans. Ask your Question Sallie Mae to Be Accused of Overcharging Military Personnel on Loans - The New York Times The New York Times U.S.

|Sallie Mae to Be Accused of Overcharging Military Personnel on Loans Search Continue reading the main story Federal regulators plan to accuse Sallie Mae , the giant student lending corporation, of charging military personnel excessive interest on student loans, and the government is looking into similar allegations against other lenders. Sallie Mae revealed the pending action against it this week in its quarterly earnings report , stating that the Federal Deposit Insurance Corporation warned in July that it planned to take “new formal enforcement action” against the lender. Both corporations declined to describe the allegations, but Sallie Mae said they would deal in part with the Servicemembers Civil Relief Act . That law caps interest on loans to military personnel at 6 percent, along with providing protections against default judgments and garnishments, and a person briefed on the matter said compliance with the 6 percent limit would be a key part of the F.D.I.C. action. Under the law, if a person borrows money at a higher rate and then enters the military and requests a lower rate, the lender must reduce the rate to 6 percent, and forgive any interest above that level.

“We’ve invested a lot in our compliance efforts, but we understand some concerns persist, and we realize that the bar is getting higher,” said Martha Holler, a Sallie Mae spokeswoman, adding that the corporation is “open to our regulator’s recommendations for improvement.” In recent months, Sallie Mae has created a Web site specifically for military personnel, and has taken other steps to notify them of their legal rights regarding student loans. In enforcing the 6 percent rule and other credit protections for service members, the government has focused primarily on mortgage borrowing. In the last three years, the Justice Department and the states have reached several settlements with banks, directing billions of dollars in payments to service members, some of whom had lost their homes, and subjecting new foreclosure actions to more scrutiny. Advertisement Continue reading the main story In October, the government’s new Consumer Financial Protection Bureau identified improper student lending as “the next front” in protecting service members financially. And in a July 31 hearing of the Senate Committee on Veterans Affairs, when asked about predatory student lending, a Justice Department official said that the department was looking into some of the same kinds of violations as the F.D.I.C. Please verify you're not a robot by clicking the box. Invalid email address.

Please re-enter. You must select a newsletter to subscribe to. Sign Up Privacy Policy “We are concerned with loans that are taken out while not on active duty, and then when someone becomes activated, whether they get the full benefits of the 6 percent reduction when they request it,” said Eric Halperin, special counsel for fair lending in the Civil Rights Division. “And we do have active investigations in that area, looking into a failure to provide servicemembers the full benefits,” Mr. Halperin added. Sallie Mae said that in addition to the law protecting service members, the F.D.I.C. action would deal with the Equal Credit Opportunity Act , which prohibits discriminatory lending. But that law addresses many bases for discrimination, like race and whether a borrower is on public assistance, and neither Sallie Mae nor the F.D.I.C. would say what kind of discrimination would be alleged. Sallie Mae began four decades ago as a government-sponsored enterprise, like the mortgage lenders Fannie Mae and Freddie Mac, but has been independent since the end of 2004. It lists as its primary assets $145.6 billion in student loans.

The company also acts as a servicer and collector for loans made by banks and the federal government. The F.D.I.C. primarily oversees local and regional banks, not major national institutions, but Sallie Mae comes under its jurisdiction because of the role of its Utah-based arm, Sallie Mae Bank , which provides banking services directly to consumers and is an F.D.I.C. member. A version of this article appears in print on August 10, 2013, on Page A10 of the New York edition with the headline: Loan Rates To Military To Be Cited As Excessive. Order Reprints | Today's Paper | Subscribe Best Student Loan Companies | Best Place for Student Loans What are you looking for? Best Student Loan Companies Best Value: Sallie Mae Visit Site Best Student Loan Companies for 2017 Looking for a private or federal student loan? We uncover the best student loan companies Advertiser Disclosure Best Place for Student Loans College tuition costs have skyrocketed in recent decades and the best student loans help people cover those costs. Today's students can expect to pay much more than their parents and their grandparents did to earn a degree. To help with costs, around 70% of students take out loans .

Many graduate with upwards of $30,000 in debt, often a mix of private and federal loans. I've done some digging and found the top companies that offer the best student loans. Best Student Loan Companies: What to Consider Best Student Loan Companies iHelp In order to properly shop around for a quality student loan, you should keep the most important questions and features in mind. Are federal student loans an option for you? These are generally one of the safest bets for students in relation to the typical bank loans. A subsidized Stafford Loan is very affordable and the interest rates do not fluctuate. Plus, the government pays your interest while you are attending school, as long as you have at least a half-time attendance schedule. To qualify, you need to have an income that would reflect financial need and the qualifications required by FAFSA. Your school may recommend a lender but you shouldn't borrow blindly. Find out the reason behind the recommendation. Even if the lender has special offers for your university, investigate them first. READ the fine print. Don't let hidden fees let a seemingly good deal turn sour. Always ask to see the final terms of your loan before you sign up. If a lender isn't forthcoming, don't borrow.

Cancellation processes are difficult and costly. Find a fair interest rate and ask how much it will go up or down. Ask how much typical interest rates have risen in the past. Loans with low interest rates often come with an armada of fees behind them. Look at the APRs between providers for accurate comparisons. Make sure you know where your loan actually comes from. Sometimes an organization simply handles a loan that comes from somewhere else. Best Student Loan Rates 3.18-8.71% Best Student Loans Types Understanding the type of student loan you have is essential for understanding the payment options available and what protections are available to you. Surprisingly, about two-thirds of students aren't aware of the type of loans they are taking out or why those differences matter. Quite simply, the best student loans are federal loans. These loans have a variety of repayment plan options, offer a variety of deferment options and usually have low fixed interest rates. Some federal loans can be forgiven, meaning you no longer need to pay them back, if you work certain jobs or commit to serving your country. Among federal loans, there is a range of options.

Once you fill out the Free Application for Federal Student Aid (FAFSA), your school will let you know which loans you qualify for and how much you can borrow. Best Federal Student Loan Options 1. Stafford Loans Stafford loans or direct loans are the most common federal student loans. They can either subsidized, meaning the government covers the cost of your interest when you are in school, or unsubsidized. If you don't pay the interest on unsubsidized loans while you are in school, it gets added to the principal amount when you graduate, making the loan more expensive. 2. Perkins Loans Perkins loans are given to students who have the largest financial need. The loans have a fixed interest rate and a variety of forgiveness programs. Your school provides the loan to you. 3. PLUS Loans Sometimes called parent loans, PLUS loans are for graduate and professional students as well as for parents of dependent undergraduate students. They usually have a higher interest rate than other federal loan options. 4. Consolidation Loans A federal consolidation loan lets you combine one or two pre-existing loans into one larger loan, with a fixed interest rate. The interest rate is usually the average of the interest rates on the individual loans.

Consolidation loans usually have a longer term than the other student loan options. Federal student loans have yearly borrowing limits, which might not be enough to cover the cost of school. If your federal loans and other financial aid don't fully cover tuition and expenses, and you don't have money to pay out of pocket for school, you may need to find other student loan options. Best Private Student Loan Options 1. Institutional Loans Some schools will lend money directly to students. 2. State Loans Many states offer loans to students, particularly if those students are residents who are attending an in-state university or college. 3. Private Loans Banks and other private lenders often have student loan programs. Since interest rates and payment terms vary from bank to bank, it's always important to compare student loan rates and options when considering working with a private lender. The Best Student Loan Companies 1st Three years of credit history required Only offers variable rates Limited number of eligible schools iHelp is one of the best student loan companies for a few reasons. It has lower than average income requirements for borrowers or co-signers. It offer a 20-year repayment term with no prepayment penalty. The funding for the loans comes from community banks, so it helps to support local economies.

That said, not every college or university qualifies for an iHelp loan. The company has a list of eligible schools based on state. Another drawback of the student loan provider is that it only offers loans with variable interest rates. Currently, the rates range from 3.30% APR to 8.82% APR. Rates can change every 90 days based on the market. That's great news when rates are low. But if interest rates climb, you'll end up needing pay much more on your loan. A highlight of iHelp is that the program provides stand out customer service. When you receive your loan, you are matched with an account manager. Your account manager is there for you should you have any concerns or questions, throughout the life of your loan. That means you don't have to worry about calling a general hotline or jumping through a lot of hoops anytime you have a question or issue. IHelp loans are great, if you can get one. But the variable interest rates can be a turnoff for many people and can make the cost of borrowing considerably more expensive. The 20-year payment term does mean you'll pay more interest over the life of the loan.

But you always have the option of paying early, without having to pay a penalty. Compare Student Loans If you are going to get a mix of student loan, it helps to compare and contrast your options and to calculate the full cost of your loans before you commit. It's a good idea to list all of the loans you take out, over the course of your education. Include all the details about each loan on your list. Create a spreadsheet or document to help you track your loans. Include the following details for each: Loan amount Type of loan, whether it's federal or private, for example Interest rate and type of interest (fixed or variable) Websites where you can find information on your loans Account number, username, and password Payment due dates and amounts Date of your final payment for each loan Best Student Loan Options and Alternatives Student loans can be a quick and easy way to get money for school. The best student loans have low-interest rates and flexible payment options so that you don't feel overwhelmed after graduation. You can reduce your debt burden even further by fully exploring all of your college payment options. Student loans might seem like your only viable choice, but there are often plenty of other ways to pay for school. 1.

Get a job at the school If you can handle working full-time while going to school, you might get a free ride. Many colleges offer free tuition or tuition reimbursement to full-time employees. 2. Find another job that pays for school If you can't land a full-time job at a university or college, look for a position at a company that offers tuition reimbursement. It can be difficult to juggle work and school, but the fact that your education is free can make it worth the effort. 3. Go to a cheaper school first Private universities cost a pretty penny. In-state, public schools and community colleges are usually a lot cheaper, but the education provided is the same. Save money and avoid borrowing a lot by attending a less expensive school for at least the first two years. 4. Search high and low for aid Don't skip filling out the FAFSA because you don't think you'll qualify for aid. You never know unless you fill it out. Also, keep your eyes peeled for scholarships. Lots of organizations offer them. You just have to look. 5. Consider a paid internship or apprenticeship An internship or apprenticeship lets you get real-world training and experience while in school. Some even pay you for your efforts.

Skip the unpaid internships and look for ones that offer a decent hourly rate. They do exist, especially in the more technical fields. Best Student Loan Repayment Tips You've finished your degree and are facing up to your student loan debt. While you have the option of sticking to the payment plan and repaying the loans in 10 or 20 years, you'll pay less over time if you pay your loans more quickly. There are a few ways to make student loan repayment more manageable, no matter what types of loan you have. First, always make more than the minimum payment if you can. Even if you can only pay an extra $20 or $50 per month, each extra payment you make will shave time off of the end of your loan. You'll get to the finish line that much sooner with every extra dollar you throw at your loan. An easy way to make extra payment without even noticing is to pay half of the amount due twice a month, instead of the full amount due once a month. You'll end up making an extra loan payment every year. I know this suggestion might seem crazy, but if you are still in school, it doesn't hurt to start repaying your loans.

You'll reduce the amount of interest that is capitalized or added to the amount of your loan. You'll also reduce the amount you have to pay over time. If you're working while in school, it just makes sense to pay even the smallest amount, such as $10 or $20 per month, towards your loan. Your future self will thank you. Choosing the Best Student Loan Repayment Plan Both federal loans and private loans offer a range of repayment options to students. The plan that works best for you depends on your income after graduating and how quickly you want to repay your loan. If you expect that your income will start out low and increase over time, a graduated repayment plan can make sense. These plans base your monthly payment on your initial income. As your income grows, so does the amount you owe. An income-based repayment plan can be helpful if you are struggling on a low income. Available for federal loans, an income-based plan can reduce your monthly payment to zero if your income is low enough. Your loan can be forgiven after 10 or 25 years, depending on the type of work you do and whether you are still on the income-based plan. Private loans usually have less flexible repayment options than federal loans.

But if you are struggling to make your student loan payments, it can be worth discussing your options with a private lender. Some will let you pause payments for a while if you lose a job or struggle to find work. Best Student Loan Companies Recap Be smart when shopping for a student loan. Don't rush into anything even if a lender or your school pressures you to borrow before you've taken a deep look at your options. If you borrow the bare minimum and create a plan to efficiently use and pay off your student loan you can earn your degree and avoid years of excessive debt. To learn how to save more on your loans, check out my review of the best student loan consolidation companies . Consolidating your loans after graduation can get you a better interest rate. You might also consider applying for a student credit card while in school. Check out our review of the best student credit cards to find one that offers the best interest rates and features. Use the same caution with applying for a credit card as you would for a student loan. Credit cards aren't "free money." You'll need to repay them at some point, often with interest. Approach student loans and credit cards with caution and you'll graduate with the smallest amount of debt possible.

Best Student Loan Companies FAQs Can you refinance a student loan? You can't refinance a federal student loan under the federal loan program. But you can refinance private student loans under programs offered by private lenders. Private lenders will also refinance federal student loans, but those loans will then become private and won't qualify for any federal loan programs, such as income based repayment or loan forgiveness. How do I get a lower interest rate on my student loans? The easiest way to get a lower interest rate on your student loans is to sign up for the Auto Pay option offered on federal loans. Your lender will usually lower your rate by 0.25 percent with Auto Pay. Another way to get a lower interest rate is to consider consolidating your loans or refinancing them with a private lender. How do you find out who your loan servicer is? You can log into the National Student Loan Data System to find out who your loan servicer is. You'll need your Federal Student Aid ID to log into the system. Once you've logged in, click on Aid Summary to receive a list of your loans and the companies acting as your loan servicer. How do I contact student loans?

If you have general questions about your federal student loans, you can call 1-800-4-FED-AID (800 433-3243) to reach the Federal Student Aid Information Center. The center will be able to provide information about the status of your FAFSA, whether you are eligible for federal aid, and can help you set or reset your FSA ID. What is the difference between a federal loan and a private loan? Student loan funding is split between federal and private loans. Federal loans are those that are regulated and supported by the US Government through its various agencies. Most federal loans have limitations as to how much a student or the student's parents can borrow; however, they also have the most flexible repayment options after graduation. Private loans are provided directly from lending companies like banks. These typically offer higher borrowing limits based on a cosigner's financials; however, they have much more stringent repayment terms once you graduate. What is the difference between a subsidized loan and an unsubsidized loan? You will see these terms when you come across federal loans and the difference is when the interest rate clock starts running.

With a subsidized loan, the federal government pays the interest for you while you are still in school, so all of the loans that you borrowed while in school were not accruing interest over that period of time. If you have an unsubsidized loan, then the interest that you will be charged on your borrowings starts to accrue the day you borrow the money. You do not have to pay this interest while you are in school; however, when you graduate, you will see that the amount of loans that you borrowed will be higher than you thought and the difference is the accrued interest on the unsubsidized loans. If you have an unsubsidized loan, then the interest that you will be charged on your borrowings starts to accrue the day you borrow the money. You do not have to pay this interest while you are in school; however, when you graduate, you will see that the amount of loans that you borrowed will be higher than you thought and the difference is the accrued interest on the unsubsidized loans.

You do not have to pay this interest while you are in school; however, when you graduate, you will see that the amount of loans that you borrowed will be higher than you thought and the difference is the accrued interest on the unsubsidized loans. Sallie Mae reaches nearly $100M settlement with feds over costly loans to military members | Fox News Sallie Mae reaches nearly $100M settlement with feds over costly loans to military members Published May 14, 2014 Facebook 0 Twitter 0 Email Print U.S. marines participate in a U.S.-South Korea joint landing operation drill in Pohang. (reuters) Student lender Sallie Mae has reached a $60 million settlement with the Justice Department to resolve allegations that it charged members of the military excessive interest rates on their student loans, the federal government announced Tuesday. The deal settles a government lawsuit that asserted the student loan giant violated the rights of service members by imposing interest rates above the 6 percent permitted by federal law and by improperly seeking default judgments against them. Separately, the Federal Deposit Insurance Corp.

announced a settlement of $30 million in restitution arising from allegations that the company maximized consumer late fee charges, as well as $6.6 million in civil penalties. The lawsuit was the Justice Department's first against owners and servicers of student loans for violating rights of service members. The settlement has been filed in federal court in Delaware and is awaiting a judge's approval. "We are sending a clear message to all lenders and servicers who would deprive our service members of the basic benefits and protections to which they are entitled: this type of conduct is more than just inappropriate; it is inexcusable," Attorney General Eric Holder said at a news conference. "And it will not be tolerated." Education Secretary Arne Duncan said all students who have taken out federal loans "should have the peace of mind" that they will be treated fairly. He also said he has requested a review into whether Sallie Mae violated its contact with the Education Department through the overcharging practices. Federal officials estimate that roughly 60,000 service members will be eligible for compensation as part of the settlement. Sallie Mae spun off its loan servicing operation on April 30 into a separate entity known as Navient Corp.

"We offer our sincere apologies to the servicemen and servicewomen who were affected by our processing errors and thus did not receive the full benefits they deserve," Navient president and CEO John Remondi said in a statement. He said the company has made changes to "prevent these mistakes from happening again." As part of the deal, Sallie Mae would also be required to ask the three major credit bureaus to delete negative credit histories resulting from the overcharges. The company has also agreed to streamline the process by which active duty service members can go about receiving loans. Advertisement Sallie Mae’s Federal Loan Business Is Now Navient. What’s A Navient? – Consumerist A cursory Google search tells us that outside of the student loan biz, a Navient is a system that lets surgeons see what they’re doing inside a patient’s skull during endoscopic ear, nose, or throat surgery. It’s also the Instagram username of a guy who likes cars . The current president and CEO of Sallie Mae will serve as Navient’s CEO. In a statement, he explained that the new name stands for what the company does.

“Helping our customers navigate the path to financial success is everything we stand for,” he said, not realizing how hilarious that sounds to many of the company’s current customers. “Our new name — Navient — symbolizes the expertise, experience, and dedication we consistently deliver for our clients and customers.” So “ient” stands for “expertise, experience, and dedication?” Okay. The formal separation will happen sometime in the second half of 2014. Sallie Mae will keep the company’s consumer banking operations, and new private student loans will originate from and be serviced by that company. Navient will originate federally guaranteed student loans. It will also service private student loans that Sallie Mae currently holds. It’s not like “Sallie Mae” makes a whole lot of sense as a company name, either. That name comes from the original name back in the ’70s, Student Loan Marketing Association. Sallie Mae (official name: SLM Corporation) was born as a government-sponsored enterprise and later privatized, much like its similarly-named that are back under government conservatorship , Fannie Mae and Freddie Mac.

Best Student Loans in 2017 - The Simple Dollar Best Student Loans in 2017 Best Student Loans in 2017 Check out the top options for getting a student loan. by Saundra Latham Updated on 01.03.17 Figuring out how to pay for college can be a stressful, complicated process. I remember being overwhelmed when I started at a pricey private college, which I paid for with a hodgepodge of scholarships, grants, federal and private loans, work study, and my own money. Recommended Student Loan Companies Learn More In this article, I’ll outline the basics of federal student loans and private student loans, discuss whether private student loans make sense, look at the current interest-rate climate, and explain how to get started in your search for the best student loans. Finding and Comparing the Best Student Loans Using an online tool like Credible.com or SimpleTuition.com can ease your search for the best private student loans by letting you directly compare loans and interest rates from different lenders. Just a few minutes and a minimum amount of personal information will generate a number of options.

Private loans can make sense when you’ve borrowed all you can in federal student loans, qualify only for the highest federal interest rates, or need funds quickly. I relied on a small private student loan to fill an unexpected gap in funding my senior year — I was able to get the money almost immediately, but because the interest rate was higher than my other loans, I prioritized paying it back faster. If you’re not sure whether private or federal loans are the best choice, keep reading. How to Pay for College: Prevailing Wisdom When it comes to paying for college, most financial experts dispense similar advice that follows this roadmap: Use free money first. Simply put, this means grants, scholarships , or any other option that doesn’t require repayment. I was fortunate to qualify for a number of grants and scholarships that made going to a private college even cheaper than a public institution. Because of them, I owe a lot less in loans than many of my classmates. Use federal loans next. Traditionally, this has been no-brainer advice because Uncle Sam has offered low-interest, fixed-rate loans that eclipsed the offerings of most private lenders.

What’s better is if you qualify for subsidized loans like I did (with these, the government will pay your interest while you’re in school). Use private loans last. Accordingly, many experts caution against private loans because most low interest rates are variable (and likely to rise over time), while fixed rates are usually higher than the rates on federal loans. As I mentioned above, I had to take out a small private loan at one point — it was convenient, but the interest rate was higher than my other loans. So, is prevailing wisdom still solid for 2017? Let’s take a look at the interest-rate climate as a starting point in our search for an answer. A Primer on Student Loan Interest Rates The interest rate on your loan is the percentage of the principal, or overall loan amount, that you’ll have to pay back to the lender on top of the principal. This is calculated many times over the life of your loan on the total amount you owe, including the interest and fees. That’s why you won’t owe only $10,600 after taking out a $10,000 loan with a 6% interest rate.

According to this federal repayment estimator, you’ll actually be on the hook for $13,332 on a standard 10-year payment plan. That’s why even a slightly lower interest rate can save you a lot of money in the long run. Federal student loan interest rates Interest rates on undergraduate Direct Loans recently fell from 4.29% for the 2015-2016 school year to 3.76% for the 2016-2017 school year. Rates are higher for graduate Direct Loans (5.31%) and Direct PLUS Loans (6.31%). These rates are locked in for loans first disbursed between July 1, 2016 and July 1, 2017. Remember, even though rates can reset each year, the rate you receive when your loan is first disbursed remains your rate for the life of the loan. Federal student loan rates are tied to a 10-year Treasury note — basically, this is a loan investors can make to Uncle Sam. When the rate of return (or yield) on this note rises, you will see it reflected in rising federal student loan rates.

When it falls, student loan interest rates fall, too. The number that matters is the yield during the May Treasury auction. Officials add 2.05% to that number to determine the new rate for undergraduate Direct Loans, 3.6% to determine the rate for graduate Direct Loans, and 4.6% to determine the rate for PLUS Loans. These percentages are interest-rate cushions set by Congress. Whether federal student loan rates rise or fall depend on how the yield on the 10-year Treasury note compares to the yield from the same time last year. Private student loan interest rates Private lenders offer both variable and fixed-rate loans, and the rate you’ll obtain is a direct result of your credit history (and your cosigner’s, if you have one). I used Credible to get personalized offers for a hypothetical student graduating from my own alma mater, American University, in 2016. The personalized interest rates my “student” received ranged from 1.93% with College Ave to 7.49% with Citizens Bank.

A 1.93% interest rate on a private student loan certainly seems better than 3.76% on a federal Direct Loan, but there’s much more to these numbers than meets the eye. That’s a discussion I’ll return to after a primer on the types of federal loans and private loans, and their respective pros and cons. Best Student Loans: Summed Up Two Top Student Loan Companies Best For… Network of lenders Federal Student Loans There are two federal student loan programs: The Perkins Loan Program and the Direct Loan Program. The former program is much smaller than the latter. You must file a Free Application for Federal Student Aid (FAFSA) to be considered for federal student loans. Below, I’ll list each type of loan in descending order of desirability, with the most favorable loans first. Perkins Loans A federal Perkins Loan is almost always going to be your best student loan option if you are eligible. I was awarded a Perkins Loan each year as part of my undergraduate aid package, and it was always a welcome sight in my award letter.

Your school, which functions as the lender in this case, awards Perkins Loans as part of a financial-aid package to students who demonstrate significant financial need — essentially, this means it will cost much more for you to attend school than your family can afford to pay; the bigger the gap, the more significant the need. This loan is subsidized, meaning interest is paid for you while you’re in school.

(If you need a detailed primer on other loan terminology, see our guide to student loan vocabulary .) Pros Interest rate is fixed at 5% and does not reset yearly like other federal loans Your interest is paid while you’re in school No loan origination fees (charged for creating the loan) that reduce the amount you receive Cons Undergraduates can borrow only $5,500 a year and up to $27,500 total; graduate students can borrow only $8,000 a year or $60,000 total (or less if they borrowed Perkins Loans as undergraduates) You must have extreme financial need to qualify Your school must qualify to offer this type of loan Direct Subsidized Loans Direct Subsidized Loans are also reserved for students who demonstrate financial need via their FAFSA, but the bar is lower here. While your school is your lender for a Perkins Loan, Uncle Sam is your lender for Direct Loans. Only undergraduates are eligible for Direct Subsidized Loans.

Pros Interest rate is fixed (current rate is 3.76%) Your interest is paid while you’re in school Cons Undergraduates can borrow only $3,500 to $5,500 a year and up to $23,000 total; graduate students aren’t eligible You must have significant financial need to qualify Small origination fee (1.068% of each disbursement) Direct Unsubsidized Loans Good news: You can qualify for Direct Unsubsidized Loans without demonstrating financial need, and all undergraduate and graduate students are eligible. Bad news: You’re on the hook for the interest that accrues while you’re in school, though you can choose not to pay it until after you’re done (however, this means you’ll end up paying more overall).

Pros Interest rate is fixed (current rate is 3.76% for undergraduates; 5.31% for graduate students) Available to all students regardless of financial need Cons Undergraduates can borrow only $5,500 to $7,500 a year and up to $31,000 total; graduate students can borrow only $9,500 to $12,500 a year and up to $138,500 total (or less if they borrowed any federal loans as undergraduates) Your interest will not be paid while you’re in school Small origination fee (1.068% of each disbursement) Direct PLUS Loans PLUS Loans allow graduate students and the parents of undergraduate students to pay for educational costs in excess of what other financial aid, including the federal loans listed above, might cover. Unlike other federal loans, a credit check is performed; those with spotty credit history may not qualify. Those who don’t qualify for the PLUS program may be able to borrow more direct unsubsidized loans.

Pros Loans can often be used to pay a greater range of educational expenses other than tuition, housing, and books You can borrow as much as you need to cover the cost of attendance minus other financial aid Interest rate is fixed (current rate is 6.31%) Cons For undergraduates, parents must sign for this loan on a student’s behalf Hefty loan origination fees (4.272% of each disbursement) Credit history will factor into whether you receive a loan Highest interest rate of all federal student loans Other federal student loan benefits Aside from the more appealing interest rates, there are several other reasons federal student loans are considered the best student loans, and why you should consider them before private student loans: Repayment plans can be more flexible than those offered by private lenders, offering students the ability to make payments more proportional to their income (this is especially useful when you start out with a low salary that rises over time, and is a feature I’ve taken advantage of while paying back my federal student loans). Deferment and forbearance allow you to stop making payments for a period of time (the former is more attractive because interest does not build up during deferment).

These benefits can be a lifesaver during periods of financial hardship, and they often aren’t offered by private lenders. Uncle Sam will also forgive your loan if you die or become permanently disabled — some private lenders offer this benefit, but many do not. There are loan forgiveness options for students who go into certain public service careers , join the military , move to certain locations , or volunteer with certain organizations . These programs aren’t available through private lenders. Private Student Loans Private student loans are on offer at scores of banks and credit unions. Sallie Mae, which originally provided federal student loans, is probably among the most well-known private lenders. Interest rates vary from lender to lender, and they can be either variable (more common, especially with lower rates) or fixed. This makes it crucial to shop around using a site like Credible or SimpleTuition.com if you’re in the market for a private student loan.

Pros Applying is quick and easy compared to filling out the FAFSA Loans can be used to pay for a greater range of educational expenses other than tuition, housing, and books You can usually borrow as much as you need to cover the cost of attendance minus other financial aid (this is subject to lender approval) Funds are typically disbursed immediately upon approval Loans often have no origination fees Cosigners can be anyone with good credit (not just parents) Cosigners can be released from the loan after a period of on-time payments Cons Credit history will factor into whether you receive a loan and what kind of interest rate you’ll receive Interest rates are often variable and may be higher than those offered by federal loan programs You may have to start repaying the loan while you’re still in school Flexible repayment plans, loan forgiveness, and other benefits aren’t guaranteed Federal Loans vs. the Best Private Student Loans: A Quick Case Study As I mentioned at the beginning of this article, conventional wisdom holds that private student loans are almost never as good a deal as federal student loans. In most cases, this is true.

However, if you’ve exhausted your federal loan options or have very limited options, private loans can be the way to go, especially for parents who don’t want to take out a PLUS loan on behalf of their child. Let’s return to my fictional college student, who was comparing interest rates on a $20,000 loan. Again, rates ranged from 2.25% (this rate would require excellent credit) to 12.61% (this rate would be for those with less-than-stellar credit). Assuming my fictional student can land anything close to that sweet 2.25% loan, why isn’t that a better deal than a federal Direct Loan with a 3.76% interest rate? First, if you qualify for a subsidized Direct Loan, you aren’t paying interest while you’re in school — Uncle Sam is picking up the tab for you. But even if you qualify only for an unsubsidized Direct Loan and pay interest during school, your rate is fixed at 3.76%. With the private loan, it’s 2.25% today, but who knows what it will be next year, or in five years, or in 10 years?

Aside from the possibility of a major interest-rate hike, the variable interest rate can make it hard for you to budget for loan payments. What if your only option is a federal PLUS loan with a 6.31% interest rate? The higher interest rate certainly muddies the water if you can get a significantly lower rate with a private lender. Still, the fact remains that you know what you’ll be paying for the life of the PLUS loan, while the private loan remains a question mark. Experts caution that a rock-bottom 2.25% interest rate has nowhere to go but up. When that happens, you could actually be looking at the equivalent of a 6% to 7% fixed-rate loan — much closer to the PLUS loan. The fact that Uncle Sam offers more flexible payment plans and loan forgiveness options could still tip the scales in favor of federal loans, assuming parents are willing to sign on the dotted line. There’s one more wrinkle, though. Remember that private lenders offer fixed rates, too. Sallie Mae also advertised a 5.74% fixed-rate loan for my student.

Assuming I’m OK with the fine print (such as potentially stricter repayment options), this could be my best deal if I’ve borrowed all I can at a lower federal interest rate. The 5.74% interest rate means a savings of nearly $1,800 in interest over the life of the loan over the 6.31% PLUS loan. One interesting private option that I came across online is SoFi . While SoFi doesn’t offer undergraduate student loans, it does offer refinancing loans for students down the road. It also offers “parent loans” at fixed rates as low as 5.95% and MBA loans for graduate business students at fixed rates as low as 6.05% at certain elite schools. SoFi does not charge origination fees or prepayment penalties on its parent loans, but you will be capped at a 10-year repayment period. Four Tips for Getting the Best Student Loan Rates from Private Lenders Tip #1: Shop around It’s obvious, but it’s crucial: You need to compare lenders to find the best student loan rates. Maybe your family has been banking at the same place for years.

It could be tempting to take out a loan with your tried-and-true lender and call it a day — but that’s not a wise move unless you know the rate is competitive. Just as you would shop for the best price on a car, you should shop for the lowest interest rate on a student loan. Sites like Credible or SimpleTuition.com can help you compare rates from different private lenders. Tip #2: Look beyond the interest rate Be sure you’re comparing apples to apples by looking at loans for the same amount for the same repayment term, and note whether the rate is variable or fixed. Other things to note: What are the fees? According to FinAid.org, if you’re paying 3% to 4% in origination fees, that can roughly approximate to a 1% interest-rate hike. What is the grace period before you have to start making payments? How flexible are repayment plans, and can you defer payments? Are there any borrower rewards — for example, interest-rate reductions for on-time payments, automatic withdrawal, or good grades? Tip #3: Polish your credit (or secure a credit-worthy cosigner) Just because a private lender will make you a loan doesn’t mean you should take it.

Many students have short or poor credit histories, which costs them dearly in the form of higher interest rates. So if your credit history is brief and less than stellar, you’ll need a cosigner with great credit to help you nab a good interest rate. Here’s a primer on how to build credit safely . Tip #4: Apply for several loans Simply seeing what rates are out there probably isn’t going to cut it — you’ll need to actually apply for the loan to make sure you can secure the interest rate you’re eyeballing. You may be surprised at the rate you actually receive, either pleasantly or unpleasantly. Start Now to Find the Best Student Loans Taking out student loans can be overwhelming, especially when it’s the only way you can pay for your education. While federal student loans remain the best option for most students, the best private student loans can be a compelling option for those who have maxed out their federal loans or who can land a very competitive interest rate because of excellent credit. The first step to obtaining federal student loans is filing your FAFSA — the earlier, the better.

If you’re considering a private lender, you’ll want to start by shopping around for the best student loan rates using a site like Credible.com or SimpleTuition.com . Once it’s time to think about repaying your student loans, The Simple Dollar has a number of articles with great advice. Learn how to consolidate your loans , make extra money to pay your loans , determine whether it’s better to save or pay your loans aggressively , and figure out how to reduce your loan payments if you’re in trouble. Loading Disqus Comments ... Can I Just Settle My Sallie Mae Student Loans? | The Huffington Post Can I Just Settle My Sallie Mae Student Loans? 03/18/2014 11:01 am ET | Updated Nov 08, 2014 Steve Rhode Get Out of Debt Guy Huffington Post Reader Question Dear Steve, I have a Sallie Mae Private Student loan (three actually). The last time I made a payment was 1/29/2010 - it was one of those $150.00 forbearance things. I haven't been sued, and they haven't been actively trying to collect for at least the last year.

The total value of the loan is about 38k as of right now. I opened the loan in Texas, and Sallie is located in Pennsylvania. My Questions: 1) which Statute of Limitations applies to Sallie Mae Student Loans. I no longer have the original contract, and Sallie Mae does not provide me access to my contract via their website. So is it, Texas (where it was opened), PA (where Sallie is located), Tennessee (where I made the last payment) or Alabama where I live now. I believe Texas is the correct answer here, but have never found a good response to that question. 2) I received a healthy Christmas bonus, and want to try and Settle with Sallie to make it "go away" - a mortgage lender told me the other day the only thing standing between my family and a house is these loans. How do I go about settling with them, for as little as possible? If I am understanding SOL correctly, at this point Sallie has no legal way to enforce collection, so if I pay them a dollar to settle, then it's a dollar more than they are getting any other way.

3) What's a good low-ball offer to start with? I want to make something reasonable to make it an easier process. Adam Don't miss my free my weekday email newsletter with the latest tips and advice on how to beat debt and do better financially. Subscribe now. - Click Here Dear Adam, You ask some very good questions and one which a lot of people miss. Most people still regurgitate the incorrect advice that private student loans are not dischargeable in bankruptcy. However after the statute of limitations has expired they are completely dischargeable. Your question about which state would prevail is one that would really require you to meet with an attorney who is licensed in your state. There are some really quirky nuances to statute of limitations and a broad guess might just be wrong. If you can't find a local consumer attorney try the National Association of Consumer Advocates or click here . Sallie Mae loans are tricky because Sallie Mae is both a federal and private loan servicer. The first step would be to figure out exactly what type of loans you have. To do that, read this guide . I have seen Sallie Mae settle student loans and typically they are in the 50%-70% range.

Most of these settlements were proactive offers sent by Sallie Mae so be sure to open every item of mail that comes from Sallie Mae. Keep in mind that when dealing with a large entity like Sallie Mae, logic is not the default position. Large groups like this are driven by processes and procedures and not always smart financial sense. It's quite possible that you may offer to settle and they won't accept it because your account is not flagged for settlement by their internal process. Nobody is entitled to settle. Settlement is a process where two parties come to a meeting of the minds that they have the resources to settle and want to settle. Sallie Mae does not have to settle and may not want to settle. Based on what you shared the logical approach would be to meet with an attorney who is licensed in your state to figure out how close you are to the SOL and maybe just wait for that to pass and then think about discharging the debt in a bankruptcy. If these are truly private student loans and it turns out Texas is the prevailing state then it is my understanding that your wages can't be garnished in Texas even if you are sued.

It's not a great solution but being aware of what the reality is rather than worry about assumptions is a good thing. If these turn out to be federal eligible loans that Sallie Mae is simply servicing then you have some good income based repayment options to consider. Click here for more on those. Sallie Mae isn't always the best communicator about those options. If you do decide to make Sallie Mae a settle offer then have 50% of the balance on hand to snatch up the offer. If they do accept the offer then make absolutely sure you get the offer in writing before paying. And don't forget that any debt forgiven will be reported to the IRS on a 1099-C and if you are not insolvent you will have to probably pay income tax on the forgiven debt. That can be an added expense. If you contact Sallie Mae and it turns the active collections back on then be sure to watch for debt collection violations and these can be used to help negotiate your position. You should really talk to an attorney about what to watch for and track. Maybe I'll get to that in another reader question so stay tuned.

Just be very aware of the student loan assistance scammers that are out there waiting to prey upon you. Read this guide to know what to watch for so you can stay safe. Before I go I wanted to leave you with three easy action items you jump on right now to address your situation. Just click here . Steve

Question: What type of loans does Sallie Mae primarily deal with?
Answer: Student Loans