Get Out of Debt Guy - Steve Rhode

I Went to a Private University on Sallie Mae Loans. I Can’t Afford the Payment. – Aline


“Dear Steve,

I went to a Private University and took out a loan from Sallie Mae. They are asking me to pay back almost $1,000 a month … money i physically do not have and cannot afford to give. I told them i was willing to pay $300 a month, while it would still put me in a difficult financial situation, that is what i could afford based on my rent and other bills. They said the lowest they would take from me was $720 – still does no help. They said if i sent them $300 a month that it would still show past due and it would be reported to the credit bureau which really defeats the purpose of sending the $300 a month.

Do i have any options – sallie mae is telling me that i cannot do $300 a month its the $720 min or nothing. is this possible? how can they not offer any other assistance? i am trying to see who in sallie mae can make the decision to make an exception to allow me to pay the $300 for a year or 2 monthly and then increase the payments as i bring in more income.


Dear Aline,

I’m sorry to say, your options are limited at best.

Since Sallie Mae is not a government backed lender none of the special graduated repayment programs apply to you. Sallie Mae makes no special programs available and only what you can work out with the servicer is the extent of your options.

Private student loan debt is the worst kind of debt to have these days since it can’t even be discharged in bankruptcy.

I know that information isn’t what you are looking for but it is what it is.

Please post your responses and follow-up messages to me on this in the comments section below.

Big Hug!
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