What if You Can’t Afford Your Student Loan Payments Now That Biden’s Forgiveness Plan Has Been Turned Down?
Student Loan Refinancing
Debt cancellation is no longer an option.
Biden’s Student loan forgiveness plan has been struck down. The plan would have made some borrowers eligible for $10,000 in loan cancellation. Without this debt cancellation, many will be searching for new options because they cannot afford their payments.
Student Loan Refinancing Could Save You Thousands
Choose from a range of refinancing options and receive a special rate discount. Medical resident and fellow programs are available.
So even if you receive federal loan forgiveness, chances are you would’ve still been in debt.
If you’re still struggling to make ends meet even after receiving government assistance, don’t fret just yet. You have options!
- Consider refinancing. You may be able to reduce your monthly private student loan payments and possibly your interest rates. But it’s important to act soon—before you incur more interest and rates rise yet again.
- Find an income-driven repayment plan. Search for repayment plans from the Department of Education that could reduce your monthly payment to a smaller percentage of your discretionary income.
- Consolidate federal loans. Replace your current loans with one of equal value to extend the repayment term up to 30 years.
- Request forbearance or deferment. Pause your monthly payments until you’re financially stable. While this may provide needed temporary financial relief, be aware that interest will continue to accrue.
- Reign in your expenses. Consider cutting back on how much you spend on restaurants, travel, and entertainment (including streaming services or cable).
With these 5 suggestions in mind, it is still important to consider the bigger picture. Although Biden’s plan has been turned down, making the most responsible decisions while facing debt is important.
Learn more about student loan refinancing opportunities.
1“Student Loan Debt Statistics 2022,” Nerd Wallet, August 2022.
