Help!

[marnie_skip]

I just received a phone call from the company hired by American Student Assistance to do my student loan rehab. The gentleman said that the program has basically fallen through and I will continue to make payments to them for at least 6 additional months, although I have never been late. He said that there is no bank that will buy back the loans due to the economy. I was counting on being done with rehab and enrolling in school again this summer to finish my degree. They said that I can enroll in school, but will have to continue making the same payment I am making now. The payment is too high for me to be a ble to do that. Any suggestions? I really want to finish my degree.

 

Thanks in advance!

[LynnInMN]

A lot of guarantors are stuck in this situation right now...texas has been without a rehab lender for about six months now.

 

If you stop making payments now, you loose financial aid eligibility.

 

Ony other option is to consolidate now. It wont help your credit but you will regain educational deferments and affordable payments under the income contingent repayment plan. I always recommend direct loans.