There are many Americans who have been devastated by the effects of a flat lining economy. Whether it is through the loss of their job or the simple need to cut back in spending, people from all walks of life are taking a hit in various ways. One common problem faced by many of the new generation is the problem of student loans. Students graduated from high school and went on to college being told they could be anything. Once the economy took a dive not only did it become harder for many of those students to pursue their dream career, many of them had difficulty landing a job at all.
The Bureau of Labor Statistics reported that since the 1970s, the cost of college has increased by about three times the rate of inflation. College is a large expense that many students are burdened to meet and for those facing the effects of it, a New York City debt collection defense attorney may be able to help. In 2011, the Department of Education stated that the number of borrowers who defaulted in their student loan repayment within their first two years had increased from the previous year to reach 8.8 percent. Student loans have often been called “good debt.” A Loan worth taking out because it would pay itself back through the job and education received. Many Americans may have taken out more loans than they could handle as a result of the promise and benefits they had been told would follow. Now they have found themselves in a mediocre paying job with large sums of owed expenses that are only racking up interest as the time goes on.
A large trend occurring is student who graduate from universities with their degrees and are unable to find higher paying jobs cannot meet their living expenses let alone begin chipping away at their student loans; as a result many are forced to move back home with their parents. Lenders offer options such as deferment of loans and forbearance, allowing borrowers some breathing room to give themselves further time to pay. Interest can still be accrued in some cases however, and these options do not free the borrower of the obligation to pay their loans. If you are one of the many who are facing large amounts of student loans that you are unable to pay, or you are facing harassment from collectors as a result, at the Law Office of Abel L. Pierre, Attorney at Law, P.C., we can help. Contact a New York City debt collection defense lawyer from our office to assist you in your financial needs.