2006-06-23 05:02:20 · 7 answers · asked by Nickname 2 in Education & Reference ➔ Other - Education
First they will take your federal tax returns. Then, if you still don't pay off the balance, they will garnish your wages. 15% of your take-home pay. You must pay the principal of the debt (the amount you actually borrowed) plus the finance charges & any "collection/administrative" costs they accrue, trying to get you to pay the debt.
2006-06-23 05:16:55 · answer #1 · answered by coffeevonhelle 3 · 1⤊ 0⤋
Not paying the loans will result in a very bad credit rating, which in turn will make it so you won't be able to buy a car, won't be able to rent a house or get a credit card. Without a credit card, no on-line purchases.
You'll have creditor's hounding you, calling you, and you'll be feeling awful explaining to friends and family why they have to lie and say you aren't there when you are.
Pay the bills. Get a job. You may be able to defer the loans longer, or combine them and make smaller payments. Call them. Don't ignore the bills.
You signed the papers for the loans, and someone loaned you the money. Don't ignore the debt. You signed the paperwork. Do you consider yourself an honest person? Don't use your education by cheating the bank out of their money... pay them, but in smaller increments. Get 2 jobs.
Having good credit is a good thing. Bad credit can make it so you can't rent the apartment you want. It can make it so you can not buy anything on payments, or if you do get credit, the rates will be incredibly high.
Pay the loans.
I know. I had student loans. I payed them off and it took many years and was difficult financially, but I did. You can too.
2006-06-23 18:49:03 · answer #2 · answered by mw 4 · 0⤊ 0⤋
It depends on why you don't have the money. Contact the service that handles your loan. You always have an option. You can request that your loan be deferred due to unemployment or pay only a small portion until you get a better job. You don't even have to pay the interest portion of the loan. They will accept less than that. I know. It happened to me. The worse thing you can do is ignore your debt and ruin your credit. You also will not be able to get another student loan. So make an agreement to pay what you can until you either go back to school or get a better job.
2006-06-23 12:19:16 · answer #3 · answered by Superstar 5 · 0⤊ 0⤋
I am not for sure, but I know that you're interest rates will continue to skyrocket making it seem as if though you are not paying. And if you start working, they will garnish each and every one of your paychecks, and there is nothing you can do about it, and your employer must comply. If you have not made arrangements now is the time they will give you something called a deferrement for so many months, and if I am not mistaken they may grant you another. However, if you contact the Department of Education they will work with you to come up with a monthly plan that will fit your budget. I know because I am one of those students who is experiencing this right now. Good Luck to you and I hope this is helpful information.
2006-06-23 12:16:05 · answer #4 · answered by Dot 1 · 0⤊ 0⤋
It will go on your credit and stay there forever until you pay them off or they write it off! Either way, it's bad news! If you can't afford the payments, call them and see if they can help you out. They want you to repay them, so they're usually eager to set up arrangements.
2006-06-23 12:06:17 · answer #5 · answered by tom8o 3 · 0⤊ 0⤋
it's probalby cheeper to go to school than pay off your loans. keep going until you get a degree that will help you get a decent job.
2006-06-23 12:12:55 · answer #6 · answered by Gabby_Gabby_Purrsalot 7 · 0⤊ 0⤋
I am not sure, but I would not want to be in your shoes
2006-06-23 12:07:50 · answer #7 · answered by Anonymous · 0⤊ 0⤋