The majority of U.S. college graduates have student debt. In fact, American adults are currently straddled with more student debt than credit card debt or car loans. Although you may dread 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 in your own journey that leaves you out of options; your debt is too high, you can’t make payments or you may even be at risk of defaulting. A student loan lawyer 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 You from Financial Ruin
A student loan lawyer doesn’t absolve student debt as it is an expense you willingly take out. However, they can act on your behalf to negotiate crippling interest rates, get rid of late fees and rearrange payment plans to help you stay current. The federal and private student loan systems differ significantly, and this type of legal professional knows the ins and outs of both. They offer counsel as well as direct services, including lawsuits.
Helping You Choose What’s Right for You
If you are contemplating borrowing, you need to understand your limits as well as the limits on any loan you take out. Start by researching what is the most you can borrow for student loans to get an idea of how much money you could borrow and consider what you can reasonably pay back. Remember that student loans are more than just borrowed amounts. There is also interest to account for, which can make your monthly payments much higher than you anticipated. A lawyer can offer legal consultation before you even take out loans that help you make the best choice for your budget. If you run into a problem with creditors later, the same lawyer can oversee your repayment plan to ensure you are not being overcharged.
A defense to repayment lawsuit can waive 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. Generally, this lawsuit is used when a school violates state and/or federal law by misappropriating loan money. Debt forgiveness is more than just not having to pay any more money; if you raise defense to repayment against a school, you are also entitled to a reimbursement of any money you’ve paid toward your debt.
It is important to note that defense to repayment does not cover any personal injuries, illness or harassment claims, even if they had a direct impact on your ability to complete your education. Instead, this is a specific type of lawsuit that seeks to help students whose school’s actions affected their loans or educational services. A lawyer can help you gather all the required materials to submit a borrow defense to repayment application, and they can also represent you formally in court. When it comes to suing a school, especially for large sums of money, having a professional on your side is always best.