What's The Catch?: Student Loan Forgiveness Or...
What if you were a student loan borrower struggling to make your monthly payment and saw this ad pop up on your computer screen one day:
Or maybe this one:
When you called the customer service phone number, you hear assurances like…
- “Let me enroll you in a student loan forgiveness program and we will get your monthly payment reduced and even get your loan forgiven.”
- “We will get you pre-approved for Federal government programs that will forgive or eliminate your Federal Student loan.”
When the question of fees comes up, you get an email detailing the terms…
- “There’s an initial fee ranging from $599 to $1,200 and a monthly fee of $49/month that we apply to your loan. Make these monthly payments for 3 years and your loan will be forgiven.”
What’s your decision: Do you sign up or look for other options?
Like to solve mysteries like this, be sure to check out the NGPF Case Study: What’s the Catch?
About the Author
Tim's saving habits started at seven when a neighbor with a broken hip gave him a dog walking job. Her recovery, which took almost a year, resulted in Tim getting to know the bank tellers quite well (and accumulating a savings account balance of over $300!). His recent entrepreneurial adventures have included driving a shredding truck, analyzing executive compensation packages for Fortune 500 companies and helping families make better college financing decisions. After volunteering in 2010 to create and teach a personal finance program at Eastside College Prep in East Palo Alto, Tim saw firsthand the impact of an engaging and activity-based curriculum, which inspired him to start a new non-profit, Next Gen Personal Finance.
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