Florida law firm deciphers student loan regulations to provide debtors with affordable repayment, deferment, settlement, forgiveness or cancellation options.
Thursday, December 19, 2013 -- Winter Park, Florida – Attorneys Eric Lanigan and Roddy Lanigan introduce a new website video series on managing student loan debt.
The series is available to be watched on the Lanigan and Lanigan YouTube channel. The first video in the series is called, “What CAN Be Done With Student Loan Debt Part 1 in a Series.”
Laniganand Lanigan, P.L., a business and civil, real estate, and financial practice law firm explains in an online video series about how to manage student loan debt.
Lanigan and Lanigan began to research methodology for tackling student loan debt when a trend was spotted in the midst of client bankruptcy and foreclosure cases.
“I’ve been continuously shocked over the last several years at the amount of student loan debt people will come in with when we talk with them about bankruptcy or foreclosure,” Eric Lanigan said. “It’s just staggering and I don’t know how they could ever possibly be able to pay it all back.”
Lanigan researched student loan debt regulations and the options for clients asking to reduce student loan payments to be proportionate to income. Clients came to the Lanigan and Lanigan offices because they believed that student loan debt could be forgiven or folded into bankruptcy.
“Student loan debt, like delinquent taxes or child support, cannot be included in bankruptcy,” Lanigan said. “Using our experiences negotiating with lenders to lower mortgage loans for homeowners, we discovered that lenders would rather provide financial relief to a homeowner, and to receive some revenue, than not negotiate and lose an entire loan to foreclosure.”
Lanigan explained that student loan lenders differ greatly from mortgage loan lenders, but negotiating and finding debtor loan options takes investigation and careful documentation.
While student loans cannot be eliminated through bankruptcy, there are many options available to debtors if the loan has not gone into default. Time is not on the side of the debtor, particularly a debtor who fell into default on a student loan. However, depending on the type of loan and the profession of the debtor, there are deferments available, and there is cancellation and even forgiveness for some student loans.
Student Loan Debt Repayment Options
There are several options for debtors seeking a way out of student loan debt repayment.
There is student loan deferment which is available based on the type of loan, and when the loan was granted. The deferment type and the amount of time for deferment varies by student loan deferment can be given for:
· Active duty
· Economic Hardship
· Head Start Staff
· Graduate Fellowship
· Full-time, or Part-time School
· Medical Internship or Residency
· Law Enforcement or Corrections
· Military Service
· Nursing or Medical Technicians
· Parental Leave
· Professional Provider for the Disabled
· Public Health Services
· Public or Non-profit Child or Family Service Agency Employee
· Rehabilitation Training
· Teacher Forgiveness
· Temporary Total Disability
· Volunteer Peace Corps
· Volunteer Tax Exempt Organization
· Working Mother
Student loan debt deferments can last for up to 36 months.
Student Loan Debt Cancellation
There are loan cancellations or student loan debt forgiveness for the following reasons:
· Closed School
· Ability to Benefit
· False Certification by School Cancellation or Identity Theft Cancellation
· Public Service Employees Loan Forgiveness
· Spouses & Parents of 9/11
· Service in Areas of National Need Loan Forgiveness
· Legal Assistance Attorney Forgiveness
· Fire Fighter Forgiveness
· Librarian Forgiveness
· Pre-K/Child Care Forgiveness
· Speech-Language Pathologist Elementary/Secondary Forgiveness
· Tribal College or University Faculty Forgiveness
· Education Component of Head Start Program
· Law Enforcement or Corrections Officer
· Military Service
· Nurse or Medical Technician
· Professional Provider of Early Intervention Services for the Disabled
· Public or Non-Profit Child or Family Services Agency Employee
· Vista or Peace Corps Volunteer
· Disabled Education Teacher
Many people who carry a heavy amount of student debt just want to get an affordable payment that is an income-based repayment plan.
And this is simply a plan where your payment is based on your income and not on the amount of debt you have. This way the debtor can at least afford the loan payment.
Everybody Must Be Aware of This Loan Rule
Lanigan said there is one principal that everybody can apply to student loan situation which is very simple, don't delay. Get help before you go into default. The longer a debtor waits, the fewer options that will be available to relieve the financial burden that debt can cause.
In order to find out if a debtor qualifies for any of the repayment alternatives available, and not every debtor will qualify, the best method is to set an appointment to meet with Eric Lanigan and Roddy Lanigan of Lanigan and Lanigan in Winter Park, Florida.