Dated: 02/10/2018

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I have had experience in dealing withoutstanding student loans showing on your credit. Most of us at onetime or another has had issues with paying our bills, and for most ofus paying the student loans is last on our list. If it comes down topaying a student loan or feeding my family, I am going to feed myfamily, but that in the end puts a bad mark on your credit. If youhave a student loan not in good standing on your credit, no matterhow good your credit score is, or how low your debt to income ratiois, you will not get a loan for a home.

There is hope! There are a coupleoptions for you as a home buyer. One is called student loanconsolidation program. This is a program that takes all of yourstudent loans and consolidates them into one, with a payment that isbased off of your income. If you are wanting to start this processhere is a link to get you started:



Consolidationmay be the right option if you:

    Haveloans with multiple servicers

    Havesignificant student loan debt

    Havemore than one type of federal loan

    Haveloans with variable interest rates

    Havetrouble paying the amount due on your loans and need a lower payment

Realizethere are advantages and disadvantages to loan consolidation.


    One servicer, one bill, one payment

    Lower monthly payments

    Fixed interest rate


    More monthly payments

    More interest to pay

    Loss of loan incentives

    Risk of ineligibility for some military benefits

Another option for you might be studentloan forgiveness. I had the consolidation process myself, as thestudent loan debt forgiveness was not available when I completed mecredit repair. I have done a little research and am understandingthis process is just as easy as consolidation and works out betterthan consolidation in the end. Following is a chart that is providedby:


LoanForgiveness and Discharge Programs


Who it's for

What it does

PublicService Loan Forgiveness
(forDirect Loans only)

You may qualify if you:

    Work full-time in a public service position (and meet othereligibility requirements).

Forgives part of your educational loan debt, provided you fulfillcertain work-related requirements.

TeacherLoan Forgiveness

You may qualify if you teach:

    Full-time at a low-income elementary or secondary school.

Seeif you qualify.

Forgives part or all of your educational loan debt, provided youfulfill certain work-related requirements.

Totaland Permanent Disability

You may qualify if you:

    Can't work for pay when the work involves significant physicalor mental activities.

    Are a veteran who has been determined to be unemployable due toa service-connected condition.

Cancels your obligation to repay the balance of your studentloans.


You may qualify if your school:


    Falsely certified your ability to benefit from education.

    Signed your name without your authorization.

    Failed to pay a tuition refund.

You may also qualify if:

    Your loan was falsely certified as a result of a crime ofidentity theft.

    You're the spouse or parent of victims of the 9/11/01terroristattacks.

Dismisses your monthly loan payments and refunds payments youhave already made.

There is also:



Ifyou can't afford your student loan payments, don't wait until youfall behind to seek assistance. We offer options that can help.

Youmay be able to lower your monthly payments by changing your paymentplan. You may even qualify for a monthly payment as low as $0 on anIncome-Driven Repayment (IDR) plan. IDR plans are a greatlong-term solution that can make managing your loans a little biteasier because they offer:

    Paymentsas low as $0 per month

    Paymentamounts based on your income and loan debt

    Extendedrepayment periods


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Blogsubmitted by: Cyndi Cobb of That Realty Place –Servicing the Greater Fort Hood and surrounding areas which includes:Killeen, Harker Heights, Temple, Belton, Copperas Cove, Lampasas,Kempner, and Nolanville. Feel free to call if you have any questionsregarding Central Texas Real Estate.

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