We are hearing numerous reports of surprise billing by student loan servicers especially now that SAVE is no longer an option. Or the checking account is being hit with a standard repayment amount rather than an IBR payment based upon someone’s income. If f you have permitted auto billing in…
Folks are reporting that they are being asked to make a large student loan payment – but they in in a long queue waiting for their Income Driven Plan (IDR) application to be processed. This is happening because if a payment isn’t being made, the loan defaults to the Standard…
So 7.7 million borrowers are in a SAVE forbearance. That means no payment, no interest since the courts applied the SAVE injunction last July (2024). Lots of questions about what borrowers should do now. We just did an interview with ABC Action News this a.m. that will run tonight. Here’s…
If you are encountering collections calls or even a collection lawsuit, sometimes taking the offense is the better route. For instance, we are seeing usury violations where the rate of interest being charged on its face is 90% APR. The lawsuit may be filed by a smaller player who you’ve…
Buy now, pay later options are on the rise. The most popular players in this space – Klarna, Afterpay, Affirm, and Zip – are everywhere. They’re not just options. They’re default features, embedded into the checkout flow of almost every major retailer. Even Door Dash now has options which allow…
Those with federal student loans have had a five year reprieve for collections on federal student debt. We are seeing more delinquencies as people do not not realize they were due to make a payment and for those borrowers who cannot afford to make a payment now. There may be…
The IDR payment tracker was removed from many if not all borrower’s studentaid.gov sites today. You can still find your payment count however. Write your servicer directly for it or use this direct link after you’ve logged onto StudentAid.gov: https://studentaid.gov/app/api/nslds/payment-counter/summary. This link shows in a computer code format called JSON…
We are hearing from multiple sources that federal student loan borrowers IDR progress will be removed from the government site next week. It’s imperative that you screenshot your IDR progress in case you need it down the road. This is on studentaid.gov and looks like this: Go ahead and view…
We’re hearing a lot of people are finding out their student loans are delinquent – another today that received a 90 day late and had no idea they were out of deferment. The dings to your credit are not small — we had a client recently who had four student…
The IDR online application is back up, though a demo revealed there are some big new restrictions on enrollments: No enrollment in SAVE No opportunity to request enrollment in the plan with the lowest monthly payment No new enrollments in PAYE (ok for those already enrolled) No new enrollments in…