Moratorium Opportunity

The current moratorium on student loan payments has created a “safe haven” period for debtors’ non-payment but this will close on December 31, 2022. PEW surveys found that the majority of student loan borrowers were worried about making their monthly payments in the future.

• If you cannot afford your payments, the worst thing that you can do is to ignore your payments. After a 90-days delinquency, non-payments are reported to all three credit agencies.
• Thirty-five percent (35%) of your credit score is affected by a single 30-day delinquency. A reduction in your credit score affects everything – the availability of home and auto loans, lower interest rates and your future potential.
• If you believe that you cannot pay your January, 2023 payments when due, our advice is to immediately seek an income-driven repayment plan (IDR). You can use reductions in your 2022 income as evidence to qualify for an IDR. Your payment could be reduced to zero and still be in compliance with Department of Education requirements.
• If a principal amount is forgiven in the future, this will merely lower your monthly payment. An IDR can reduce it to match your current income.
• It is important to start this process now as it takes time to be approved. To begin, you submit an application for an income-driven repayment plan (IDR). If approved, you will pay the lowered payment for the next year.

To find out if you qualify, go to our website and request a free evaluation of your possibilities. We will analyze your situation for free and advise you of your best options. We can assist you to prepare all of the needed documents for a flat fee.

In any event, please apply for you to receive an income-driven repayment plan (IDR) as soon as possible.