I Graduated With PSU Student Aid But Struggling to Pay My Student Loans. – Dricka

“Dear Steve,

I am currently a graduate school recently I gather information and gave information to a debt collect agency which I was referred to and now their calling me and threaten to garnish my wages.

I am in graduate and I called because I found out that my loans from undergrad were no longer in deferment and is in now in default.

I don’t know what to do; I am paying for graduate school month to month along with my others bills.

I really feel some times it was easier to be worthless. Please help me with some guidance and information. I am depressed and at the point where I don’t attend classes in my current university as I should.

P.S. when I graduated from Penn State University in 2008 I was unable to find a job for one year and 7 months and I am an independent constructor that does not work full time.

Do You Have a Question You'd Like Help With? Contact Debt Coach Damon Day. Click here to reach Damon.

What should I do about the garnishment recommendation I am told is being considered from my debtors?


Dear Dricka,

Let’s start with the basics:

  1. I Want You to Go to Class – You are already obligated to pay for the classes you are currently in so let’s compartmentalize this issue. On one hand you have your current obligations to school. Focus on those and excel at them.

    No more skipping class. instead I want you there early and prepared. It’s time to focus on maximizing your investment you are currently making.

  2. What Kind of Student Aid? What kind of student loans did you take out? Are these private loans or government backed loans? It makes a big difference as to what options you have.
  3. Financial Aid Office Go by your current college financial aid office and explain the situation to them. They may know of a consolidation program that can wrap all of your loans into one package and defer them till you graduate. Don’t be afraid of them judging you, they see this type of situation all the time. Their motivation is to keep you in school.

Post an update for me about your loans in the comments section below.

Damon Day - Pro Debt Coach

Follow Me
Steve Rhode is the Get Out of Debt Guy and has been helping good people with bad debt problems since 1994. You can learn more about Steve, here.
Steve Rhode
Follow Me