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How To Account for Growing Student Loan Delinquencies

Micro Bilt

In the current high-risk economy, where student loans constitute a significant portion of many individuals' debt, lenders increasingly recognize the need for a more nuanced approach to customer relations and debt management.

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Keeping Your Student Loan Out of Default

Debt Guru

But if you can’t pay and remain in delinquency for a certain amount of time (for federal loans, the time frame is typically nine months without making a payment), your lender will declare the loan in default. . Consolidate your debt. Reach out right away. Sometimes it’s even possible to postpone your payments.

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9 Apps That Will Help You Manage Your Debt

Credit Corp

Whether you make your debt payments on time makes up 35% of your credit score. Making on-time payments is one of the smartest ways to use your debt to your advantage. If you need a little help, debt management apps can help you organize and manage all of your debts in one place. Debt Manager .

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Debt After Death: 9 Things You Need to Know

Credit Corp

If no one is able to pay off the loan, the lender may repossess it. Credit Card Debt . Joint credit card debt passes straight to the other borrower. Credit cards with authorized users on them are different, however—unlike cosigners, authorized users aren’t responsible for debts. Student Loan Debt.

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Debt Consolidation vs Bankruptcy: Which is Better?

Sawin & Shea

However, it’s important to remember that this does not eliminate debt. You still owe everything you owed before– you just have a new lender to repay. Also, if your credit score is already quite low, you may not be able to qualify for low interest which makes debt consolidation a useful method of debt management.

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Determining Your Debt-to-Income Ratio

Debt Guru

Start by determining how your debt compares to your income. Use the same formula that lenders rely on when evaluating a loan application. It’s called your debt-to-income ratio, and it’s your total monthly debt payments divided by your gross monthly income. You could afford to shoulder more liability.

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Can I File Bankruptcy on Just My Credit Cards?

Sawin & Shea

Creditors cannot reclaim any of your property if you default on a loan. However, secured debt means the borrower has put up collateral (e.g. a car or their home), and agrees that they will repay the loan in a timely fashion or else the lender will gain ownership of the collateral they used to get the loan.