I want to go back to school, but i have defaulted student loans. How do i go about getting financial aid
Answer by Mrs. Clemons
Unfortunately, you will have to pay back the student loan before you are able to receive another one.
You can try to apply for a personal loan, but I WOULD NOT recommended that! Because of your default on the school loan, it was reported to the 3 major credit beaus. Nevertheless, if you are approved for a personal loan you will be paying a ridicules interest rate!
You should arrange a payment plan with your student loan ASAP! If not, you WILL face wage garnishments (if you work), law suits, and your income tax return will be defaulted each year until your student loan is paid in full.
Also, if you are surfing the web for an answer to receive money for school, BEWARE of scammers! If you can afford another loan, why not pay off your FEDERAL Student Loan? Why pay for two loans, when you are unable to pay for one?
My advice to you is to call your student loan back and ask for a repayment plan. Once your repayment plan has been accepted and you have made 11 on time payments, they will resubmit your loan back to the original creditor and thus, removing your default status. You will be able to apply for another loan, but will still be expected to pay back your previous loan WHILE you are attending school. If you default on the previous loan while attending school, you will be automatically discharge/dropped from all classes …..
In the future, if you are having a difficult time paying back your loan, ask for help before default. Apply for forbearance or lower payments temporally until you are able to make regular monthly payments again.