Have some questions?

Need some answers and some advice? We are here to guide you through all of your options so you get the MOST out of the federal loan programs available to you . Give us a call! 800.861.5038

Congress approves rate hike!

Unfortunately, the price is about to go up on federal education loans! Congress passed the Budget Deficit Act on February 2, 2006, cutting $11.9 billion from the federal student loan program. In order to protect yourself from this substantial rate hike you will need to consolidate your loans NOW to secure this year's lower interest rate. Call us! There is no cost and we'll guide you through it.


MANAGING YOUR LOANS

We provide FREE education and awareness programs to make paying for college a little bit easier for parents and students. Your future is the greatest investment you will ever make. Get the facts!


Call a Counselor to Go Over Your Student Loan Debt Profile

800.861.5038

Or send us an e-mail
info@collegeguidancecenter.org

Figure out how much you owe and to who

  • What type of loans do you have?
  • How much do you owe?
  • Who are your lenders?
  • How do you find all this information?
  • Ordering your student loan summary

Loan Forgiveness

  • Americorps
  • Peace Corps
  • VISTA
  • Military
  • Teacher
  • Social Services
  • Law School
  • Med School
  • Physical Therapy/Occupational Therapy

Learn about repayment options

  • What happens if I default?
  • Standard
  • Graduated
  • Income Contingent
  • Extended

Learn ways to delay your payment

  • Deferment
  • Forbearance
  • Forgiveness

Protecting your credit

  • Choosing the right credit card
  • Rebuilding your credit
  • FREE Credit Reports
  • Credit Fraud and Identity Theft

HOW MUCH DO I OWE, WHO IS MY LENDER, WHAT TYPES OF LOANS DO I HAVE?

If you're the average American student, you owe about $19,000 in loans after graduation. Quadruple that amount if you're the average grad school graduate. Some students naively believe that they can outrun or ignore their loans, but ignorance is bliss only for the moment. Lenders are sticklers about being paid back, anal about timely payments, and prepared to completely mess up your credit history.

Worried? Take comfort in the fact that the majority of college graduates are in the same boat. Nevertheless, student loan repayment is a big, complicated deal. We'll help you decipher the messy jargon and figure out a plan of action.

If you are like most students, you went through college or graduate school idly aware of the amount your education was costing you, where the money was coming from, or thinking about the fact that eventually you would have to pay it back. Reality is catching up to you fast! So how much and to whom do you owe this money?

If you were wise enough to keep most of the notices your lenders have been sending to you, the answers are all right there. Start sorting through your old mail to find out:

  • What types of loans did you take out?
  • How much do you owe in total?
  • Who are your lenders?
  • Or..just call us and we will provide all this information for you!

What types of loans did I take out?

There are many types of loans that exist out there. Stafford , Perkins, HEAL, and PLUS loans. Any of those sound familiar? Start to make a list of all of your loans. The PLUS loans are actually your parents responsibility, but the rest of them are all yours! Return the favor to your parents (who went into debt for your education) and help them figure this loan stuff out along with you- or have them call us! They don't have the advantage of the financial aid office to run into with questions about their PLUS loans.

Perhaps You Don’t Know How Much You Owe or to Whom? We can help!

Order Your Student Loan Summary from the College Guidance Center. We’ll look up your loan information for you and tell you where you stand!

Click Here to Request Your Student Loan Summary

LOAN FORGIVENESS

    Unless you die, you won't be able to get away from paying off your loans. But! There are certain fields of study that will help you pay back your loans with the services you do.

    • Volunteering loan Forgiveness
    • Law School Loan Forgiveness
    • Med School Loan Forgiveness
    • Occupational or Physical Therapy Loan Forgiveness

    Volunteering loan forgiveness

    • Americorps. If you're willing to devote a year of your life to volunteering for Americorps, you'll be rewarded with $4,725 to spend on your college debts, and a stipend of up to $7,400. For more information, visit the Americorps website or call them at (800) 942-2677.
    • Peace Corps. Go traveling with the Peace Corps, you'll get to defer most of your student loans until after you leave the program. Not only that, but you may even get some of your loans reduced. Call (800) 424-8580 for more details.
    • VISTA (Volunteers in Service to America ). VISTA , will pay off $4,725 of your student loan when you devote 1,700 hours to joint heir cause of community development and ending poverty, homelessness, and illiteracy in the United States . Call (800) 942-2677.
    • Military Service. If you join the Army Reserve or the National Guard after graduation, you can receive up to $10,000 to pay off your loans. If you're the sort of person who doesn't mind the occasional brush with death, ask to be stationed in areas of hostility and you could get even more money.
    • Teaching. If you like to get your summers off, then sign up to teach full-time under certain conditions and your loan will be completely forgiven. Your options are 1) to teach special ed, 2) to teach in a school that services kids students from low-income families, or 3) to teach in a designated teacher-shortage area.
    • Social Services. If you're a full-time provider of early intervention services for the disabled, employee of an agency that provides services to families of low-income communities, a full-time nurse or medical technician, or a full-time law enforcement or corrections officer, your loan can be completely absolved. Restrictions (that involve the date your loan was made) apply. You should contact the various agencies or organizations for more details.

    Law school loan forgiveness

    If you went to Law School , it's likely that you owe between $80,000 and $125,000 in loans. Fortunately for you, more than 30 law schools in the U.S. allow loan forgiveness to students who take on public interest or non-profit positions. For a list of these schools and more information, visit National Association for Public Interest Law

    Med school loan forgiveness

    National Health Service Corps offers a program in some states that will help you pay off your colossal med school loan and give you an annual salary in exchange for practicing medicine in underserved areas. This is an INCREDIBLE deal, so check out the Office of Statewide Health Planning and Community Development website or call (916) 654-1833.

    Occupational or physical therapy education loan forgiveness

    When you apply for a job in the occupational/physical therapy field, ask about your employer's loan forgiveness package. Because there is such a high demand for occupational and physical therapists, many hospitals and private health-related organizations will offer to pay off some of your student loans if you agree to lend them your valuable expertise.

    LEARN ABOUT REPAYMENT OPTIONS

    What happens if you don't pay?

    Ignoring your monthly loan repayment bill: The federal program has several options to help you safeguard your credit no matter how bad your financial state is. You should never be looking at default but let's go through what happens to you if you decide to completely burry your head in the sand when it comes to paying your loans back.

    The first monthly bill arrives in your mailbox. You put it on your desk and forget to pay.

    Next month you receive the bill that reminds you of what you were going to look into a month ago but never had the extra time.

    Two weeks later, you'll start getting phone calls and more notices. You lender is required to make at least four phone calls and send four of those letters before sending a final demand letter (about 5 months after the loan payment was due). This letter will tell you that unless you pay up now, a default claim will be filed on your loan.

    After a default claim is filed, your lender will turn your case over to a guaranty agency and you'll get a nasty phone call from them. If you don't negotiate some sort of deal within 60 days, your guaranty agency will report you to the national credit bureaus .

    Defaulting on you student loans will ruin your credit and you will end up paying . The government has the right to deduct money straight from your income, and it's unlikely that you'll ever date again. A recent law just passed allowing the government to now garnish your social security.

    Options for paying

    Here's the general deal on loan repayment: After graduation, you'll get 6 months of freedom from loan repayment (during which you should consolidate to lock the lower "grace rate"). Here are your four main payment options. Keep in mind that you can switch from one to another, depending on your financial status, and there are NO PREPAYMENT PENALTIES with any of the plans:

    • Option 1: Standard Payment. If you land a good job out of college and can afford to make steep monthly payments, go with the standard payment schedule. This is the quickest way to pay off your loans, but it also requires the highest monthly payments.
    • Option 2: Graduated Payment. This is the payment method most college graduates choose because it is the most flexible as it has the lowest payment to start off with (and there are no prepayment penalties). The payment requirements will start off gentle,then increase every couple of years for the next 10 to 30 years.
    • Option 3: Income-Based Payment. As it sounds. Your consolidation usually needs to be processed first since there are income verification forms that need to be completed.
    • Option 4: Extended Payment. You must meet balance requirements to qualify for this payment plan which allows you to extend your term (which means you end up paying more money in interest).

    If you need to hear some numbers before making a decision on a payment schedule, just call us.we'll help you find what payment plan works best for you.

    WAYS TO DELAY YOUR PAYMENTS

    Deferment

    If you find that you simply can't keep making monthly payments, no matter how small, you can choose to defer your loans. Which means that you won't need to pay a dime during the deferment period (usually a year at a time). Interest, however, will continue to accrue if your loan is unsubsidized ("subsidized" means the government will take care of the interest on this portion.) Catch? Not everyone qualifies for a deferment. Call us and we can go over your eligibility with you!

    Forbearance

    Forbearance is a also a break from your loan repayment, but unlike deferment, interest on your entire balance continues to accrue and it's easier to apply for. Just call up your lender and state your case. Usually these can be taken care of over the phone and you don't need to fill out a lot of paperwork.

    PROTECTING YOUR CREDIT

    Managing your credit while in college is as difficult as managing it after college. If you think you'll accumulate consumer debt and will, or already have student loans, consider their overall effects. Make careful decisions based on long-term goals as these debts are reflected on your credit report and can have a long-standing impact on your future goals.

    Credit cards
    Obtaining and using credit wisely

    Select the right card : Bankrate.com is one online tool that will compare cards for you.

    Opt out of pre-approved offers
    You can stop the barrage of offers in your mailbox by simply calling 888.5.OPTOUT to remove your name and address from the prescreening lists used by the three major credit bureaus -- Transunion, Experian and Equifax.

    Know your cards (credit limit, know the grace period (interest free period, interest rate)

    Pay on time, every time! Consider auto-debit and terms and conditions-late penalties.

    Rebuilding credit
    If you are unable to resolve your credit problems on your own, ask a credit counselor for help or go to the National Foundation for Credit Counseling .

    Credit reports
    Unraveling the mysteries of credit reporting

    How to maintain a good credit score:

    • Pay bills on time. Delinquent payments will have a negative impact on your score.
    • Maintain low balances on credit cards and other revolving credit. High balances may scare a lender.
    • Avoid an excessive number of open accounts. They won't necessarily raise a score.
    • Check your credit report for errors and protect yourself from fraud.

    Order your report: Explain ordering 1 every 4 months ( www.freecreditreport.com )

    Card fraud and identity theft
    Preventing and coping with fraud and identity theft

    • Don't carry your Social Security card.
    • Never pre-print your driver's license number, phone number or Social Security number on checks.
    • Shred anything that shows your name, address, and date of birth, Social Security number or personal account numbers.
    • Follow-up with creditors when bills don't arrive on time. A missing bill could mean someone has used your credit card account and changed your billing address in an attempt to cover their tracks.
    • Minimize the number of credit cards you carry. If your wallet is stolen it will mean fewer headaches.
    • Order a copy of your credit report every year. Make sure all information is accurate and includes only those activities you have authorized.

    If you become a victim of identify theft, the Federal Trade Commission recommends the following:

    • Contact the fraud departments of each of the three major credit bureaus. Ask them to flag your file with a fraud alert including a statement that creditors should get your permission before opening any new accounts.
    • Contact the creditors for any accounts that have been tampered with or opened fraudulently.
    • File a report with your local police or the police in the community where the identity theft took place. Keep a copy for yourself or to provide to future creditors.

    If you suspect you are the victim of identity theft, contact the Federal Trade Commission's Identity Theft Hotline at 877.ID.THEFT. For more information about account fraud and identity theft visit the Federal Trade Commission . They offer an extensive library of resources and information.