Student Loans-Student Loan Guidance

Example

Assisting a user in comparing the monthly payments and long-term costs between the Standard Repayment Plan and an Income-Driven Repayment Plan.

Scenario

A recent graduate, uncertain about the best repayment strategy for their $30,000 student loan debt, receives a breakdown of available plans, including estimated monthly payments, total interest paid over time, and eligibility criteria for each option.

Example

Providing detailed information on the Public Service Loan Forgiveness (PSLF) program, including eligibility requirements and application process.

Scenario

A public school teacher with 5 years of service, carrying a student loan balance of $45,000, learns how to qualify for PSLF, the documentation needed, and the steps to ensure their remaining balance is forgiven after 10 years of qualifying payments.

Example

Explaining the differences between loan consolidation and refinancing, and advising on which option could be more beneficial based on the user's current loans and financial goals.

Scenario

An individual with multiple federal and private student loans totaling $60,000 is guided through the pros and cons of consolidation versus refinancing, including how each affects interest rates, repayment terms, and federal loan benefits.

Example

Highlighting the key differences between federal and private student loans, including interest rates, repayment options, and borrower protections.

Scenario

A prospective college student weighing their loan options receives comprehensive advice on choosing between federal loans, which offer fixed rates and income-driven repayment plans, and private loans, which may have variable rates and fewer repayment protections.