5 Ways to Get Out of Student Loan Debt

Education is a significant part of many people’s life. It has become essential for anyone who wants to reach high in life, attain their goals and aspirations, and land a successful job, career, or business.

Although everyone has a right to education, there is no denying the sad fact that not everyone is privileged to have it. Let’s face the facts- education is expensive and not everyone can afford it. Most top-tier colleges and universities, particularly the Ivy League schools, are inaccessible to people who have low income or struggling with financial matters.

The financial hurdle to higher education is evident in the huge amount of student loan debt incurred by many people. As such, most campuses and higher educational institutions have debt relief programs and similar options to allow a student to study and deal with the student debt after graduation. But the lonely side of this story is that, after graduation, many continue to struggle with student loan debt. Other students may seek a consulting firm as professionals there will provide customized financial solutions for each graduate.

Here’s a rundown of five ways to get out of student loan debt:

  1. Seek the assistance of your state

Most, if not all, states offer student loan forgiveness programs that can cover a wide variety of loan types and employment. Such programs could amount to thousands of dollars depending on which state you are in and supports many academic fields such as medicine, dentistry, health, science, academe, and law. It is best to check on your state or region and see the assistance and incentives they offer.

  1. Pursue public service

Sometimes it takes decades to get rid of the balance with your student loan debts. If you find it too long for you, one way to get rid of it quickly is to consider serving in the public sector. This will reduce the 20- to 25-year wait to just 10 years. You should check if you qualify for public service loan forgiveness or PSLF.

  1. Serve your country

Aside from public service, you can decide to serve in the military. Most branches of the military- Navy, Air Force, Army – have programs that offer loan repayment and forgiveness. Of course, this is not the smartest choice you have if you have no interest, but if you consider yourself enlisting, it will be a nice privilege. Another alternative option is that you can volunteer with the Peace Corps as well.

  1. Get a graduated repayment plan

This option works well if you expect your income to increase over the next few years. Your payment increases proportionally to your income. This is a great thing to consider and does not incur a lot of interest as compared to 25-year plans.

  1. File Chapter 7

It is not exactly a walk in the park, but you can file for chapter 7, which is another connotation for bankruptcy. Do this if and only if all other options have been exhausted, and you can do nothing more but this as a last resort. You will have to proceed by filing a Complaint to Determine Dischargeability and then it is up to you to prove and back up your statements.

Published by Kidal Delonix (1197 Posts)

Kidal Delonix is a contributor to Mr. Hoffman's blog. The views and opinions are entirely his/her own and may not reflect Mr Hoffman's views.

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