How borrowers can stay ahead of student loan payments
PHOENIX (Consumer Reports) — If you’re struggling with student loans, you’re not alone
More borrowers are missing payments, and confusion about overdue dates isn’t helping. On top of that, interest on SAVE plan loans is back, affecting millions of Americans.
For borrowers, the stress isn’t just numbers on paper. It’s tens of thousands of dollars in debt that shape everyday choices about housing, transportation, and even long-term goals.
If you’re facing this tough reality, Consumer Reports says call your loan servicer. Ask about your options and find the repayment plan that best matches your current financial situation.
And if you’ve already slipped into default, the Department of Education says there are two main ways out.
Whichever path you choose, Consumer Reports says the key is not to ignore the problem. The sooner you act, the more options you’ll have to get back on track and regain control of your loans.
The other option is loan consolidation. It lets you roll one or more defaulted loans into a single new loan, meaning one monthly payment. But keep in mind, you could end up paying more in interest over time.
Consumer Reports also warns about student loan scams. Watch out for anyone promising fast debt relief. They may charge big fees or even steal your personal information. Always check with your loan servicer before agreeing to anything.