How To Deal With Student Loan Debt.
Student Loans are government-guaranteed loans offered to students to pay for their post-secondary education. An education is a necessity in today’s world and virtually everyone who gets a student loan intends to repay it. However, the loans are government-sponsored because students are too high risk for lenders to deal with, simply because they are unemployed and plan to be unemployed for a while.
The student’s ability to repay the loan depends on completing school and getting a job that pays well enough to pay future living expenses, and hopefully there is enough money left to repay the student loan. Unfortunately sometimes things don’t go that well.
Some tips on managing student loans
Keep all your records
We urge you to keep records of all your dealings with student loans, such as: when the loan was received; what the funds were used for; payment arrangements made; payments made; all collection actions they take; a record of your household income and expenses; and other circumstances that affect your finances.
Problems paying your Loan
If you are having financial difficulties, student loans are a challenge to deal with. First, know the rules regarding interest relief, revising repayment arrangements, and other options available to you. Check out the government websites identified above, and contact your loan officer. If things have become out of control and the loans have been turned over to a collection agency, your options are very limited.
Check out our page regarding collection agencies to ensure that you are being treated fairly. If not, you may wish to contact your Member of Federal Parliament and/or your Member of Provincial Parliament and/or the Canadian Federation of Students.