Tag: income-driven repayment

Ameritech Financial: What Low Unemployment and Low Wage Growth Could Mean for Student Loan Borrowers

ROHNERT PARK, Calif., November 21, 2018 (Newswire.com)
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Since the 2008 recession hit, the labor market has been slowly gaining traction in an attempt to get back to those glory days. While the market is doing very well, with a low unemployment rate, there is surprisingly a very low amount of wage growth accompanying it. What does this mean exactly? It shows that while everyone can seem to get a job and stay employed, wages are not increasing at the same rate. This can mean many things, but for student loan borrowers it could mean not being able to stay on track for student loan repayment. Ameritech Financial, a document preparation company, assists student loan borrowers in applying for income-driven repayment plans (IDRs), which may be especially important during times of low wage growth.

“The reasoning behind low unemployment and low wage growth is largely a mystery, but it is something worth watching and being aware of in the short term,” said Tom Knickerbocker, executive vice president of Ameritech Financial. “What we do know is that when people make more money, they may be able to pay off their student loans at a higher rate. Low wage growth doesn’t help that.”

The reasoning behind low unemployment and low wage growth is largely a mystery, but it is something worth watching and being aware of in the short term.

Tom Knickerbocker, Executive Vice President of Ameritech Financial

If the U.S. has a strong employment rate, why would wage growth be down? The New York Times early last month wrote about this topic and laid out a couple hypotheses. One is that while some may blame an actual decline in inflation, it is not the sole culprit. In theory, with inflation, we would see wages grow in order to cover the inflation and a decline in inflation would cause a decline in wage growth. However, the decline in inflation is not nearly close enough to that of the decline in wage growth. Another hypothesis is the workforce is now older than it was in 2001, meaning the main cohorts are less likely to have an increase in their wage. However, wage growth is still lower for everyone (no matter age, gender or education) than pre-recession. Okay, so if not inflation or the fact everyone is older, how about productivity? But this year even the most skilled workers, and those who are typically the most productive, still did not see any bump in wage growth. Wage growth is still down across jobs of all skill levels.

While all these hypotheses hold some possibility, one does not stand out above the rest as the sole reason for lower wage growth. For student loan borrowers, low wage growth might mean difficulty staying on track for repayment because borrowers may possibly be experiencing a strain on their finances. If this is the case, borrowers could turn to an income-driven repayment plan (IDR) in order to stay on top of repayment. IDRs allow borrowers to repay what they can based on income and family size, which can help when faced with low wages.

“One thing is certain — in order for student loan borrowers to feel secure about staying on track for repayment, there needs to be wage growth. We want to help our clients navigate what some may consider to be a complex process of applying to enroll in IDRs so they are able to do what they can with what they have,” said Knickerbocker. “We want to help them worry less about what they don’t have and focus more on the goals they want to achieve with what they do have.”

About Ameritech Financial

Ameritech Financial is a private company located in Rohnert Park, California. Ameritech Financial has already helped thousands of consumers with financial analysis and student loan document preparation to apply for federal student loan repayment programs offered through the Department of Education.

Each Ameritech Financial telephone representative has received the Certified Student Loan Professional certification through the International Association of Professional Debt Arbitrators (IAPDA).

Ameritech Financial prides itself on its exceptional customer service.

Ameritech Financial Newsroom

Contact

To learn more about Ameritech Financial, please contact:

Ameritech Financial
5789 State Farm Drive #265
Rohnert Park, CA 94928
1-800-792-8621
media@ameritechfinancial.com

Source: Ameritech Financial

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November 21, 2018
ATF: The Struggle Towards College Starts for Some People Before They’re Even Enrolled in School

ROHNERT PARK, Calif., November 20, 2018 (Newswire.com)
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Gearing up for college doesn’t just begin in high school for a lot of people. Sometimes it begins before they’re even born. Parents saving up for college may begin as soon as they hear they’re expecting, especially if they have multiple children they hope will attend college. Even with years of saving, and years of extracurricular activities to try and spruce up a college application in hopes of scholarships, individuals still often struggle to afford college. Ameritech Financial, a document preparation service company, says that even with extra activities early on, many college hopefuls will have a hard time affording a higher education.

Continual sports games mixed with never-ending practices, music lessons, volunteer work, almost anything that can be added later on to a college application story and letter, wind up being a focal point of many children’s lives. Cramming in something to every possible moment fits in well with the narrative of the hardworking American, but children often don’t take well to the extreme stress of being overloaded like that. Some parents who have their children’s schedules filled up do understand that it’s extreme, but their driving need to help them succeed in life makes it difficult to stop.

Wanting the best for your kids is the sign of a good parent, and a lot of hard work goes into trying to get the best things for them.

Tom Knickerbocker, Executive Vice President of Ameritech Financial

All the work parents and children put in to be accepted into the top schools then comes with the price tag of an elite school. The majority of college attendees need financial assistance of some sort to attend, leading to the $1.5 trillion debt for student loans in America. Many of those student loan borrowers will struggle at one point or another with repayment. Ameritech Financial helps struggling student loan borrowers apply for federal income-driven repayment programs, which can potentially lower their monthly payments and get them on track for forgiveness after 20-25 years of being in the program. “We believe student loan repayment shouldn’t have to be a struggle, that’s why we’re so committed to our clients and being a student loan advocate,” said Knickerbocker.

About Ameritech Financial

Ameritech Financial is a private company located in Rohnert Park, California. Ameritech Financial has already helped thousands of consumers with financial analysis and student loan document preparation to apply for federal student loan repayment programs offered through the Department of Education.

Each Ameritech Financial telephone representative has received the Certified Student Loan Professional certification through the International Association of Professional Debt Arbitrators (IAPDA).

Ameritech Financial prides itself on its exceptional customer service.

Ameritech Financial Newsroom

Contact

To learn more about Ameritech Financial, please contact:

Ameritech Financial
5789 State Farm Drive #265
Rohnert Park, CA 94928
1-800-792-8621
media@ameritechfinancial.com

Source: Ameritech Financial

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November 20, 2018
Be Aware of Short-Term Financial Choices in College That Could Have Long-Term Impact, Advises Ameritech Financial

ROHNERT PARK, Calif., November 19, 2018 (Newswire.com)
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College is a series of choices a student must make. From the big decisions like what subject to choose as a major, to the daily “what am I going to eat for lunch” question, college presents a never-ending stream of trade-offs. Majoring in Art means not majoring in Engineering. Getting a taco for lunch means no sandwich. The toughest choices a college student may have to make, however, will likely revolve around finances. Ameritech Financial, a document preparation company, advises students to make informed decisions concerning their student loans and overall financial situation.

Tom Knickerbocker, executive vice president of Ameritech, explains that “It’s kind of too bad, but the system we have right now requires teenagers to make financial decisions that might affect them for decades or even the rest of their life. We want them to have at least a rudimentary understanding of where their loan balance will stand when they’re done with school.”

It’s kind of too bad, but the system we have right now requires teenagers to make financial decisions that might affect them for decades or even the rest of their life.

Tom Knickerbocker, Executive Vice President of Ameritech Financial

According to the U.S. Department of Education, 60 percent of students borrow money annually for college. That means three out of every five college students must face decisions about the money funding their education before they know how much money they will earn in the job market. In this situation, there are some common trade-offs students make that could end up costing them in the long run.

One common mistake is to borrow too much money. The money is available, so temptation can lead a person to get as much cash on hand as possible. Unless that money is vital to a borrower’s finances, though, it should be left on the table. Establishing and understanding a personal budget is crucial. Borrowing those extra few hundred dollars a semester might seem like a good idea, but the trade-off could potentially be thousands of dollars in student loans owed because of hundreds of dollars borrowed.

Moreover, if borrowers make small monthly loan payments while attending college, they can potentially save thousands of dollars in the long run. In today’s gig economy, $50 weekly payments are a fairly modest and attainable goal. If a student takes 10 semesters to graduate and pays back just $50 dollars a week to their loans, they could pay back $13,000 over the course of their education. Graduating with that much less student debt is a trade-off all students should consider.

If federal student loans do become a thorn in a borrower’s side, Ameritech offers assistance in applying for federal programs intended to reduce monthly payments down to an affordable level. Income-driven repayment plans, or IDRs, cap loan payments based on income level and family size so that a borrower only pays 10 to 15 percent of discretionary income.

“Enrolling in an IDR is another trade-off college students and grads should mull over,” Knickerbocker began, “and we can help them find their way through the paperwork that may get a little confusing at times.”

About Ameritech Financial

Ameritech Financial is a private company located in Rohnert Park, California. Ameritech Financial has already helped thousands of consumers with financial analysis and student loan document preparation to apply for federal student loan repayment programs offered through the Department of Education.

Each Ameritech Financial telephone representative has received the Certified Student Loan Professional certification through the International Association of Professional Debt Arbitrators (IAPDA).

Ameritech Financial prides itself on its exceptional customer service.

Ameritech Financial Newsroom

Contact

To learn more about Ameritech Financial, please contact:

Ameritech Financial
5789 State Farm Drive #265
Rohnert Park, CA 94928
1-800-792-8621
media@ameritechfinancial.com

Source: Ameritech Financial

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November 19, 2018
Being Lazy Could Cost Too Much When It Comes to Student Loan Repayment, Says Ameritech Financial

ROHNERT PARK, Calif., November 19, 2018 (Newswire.com)
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Putting something on the back burner may feel temporary. But for some, it can manifest into a way of life. Being lazy isn’t a crime, but it definitely isn’t a mentality that will save anyone money. When it comes to student loans, forgetting or simply failing to recognize their importance can cause individuals to fall behind on payments. Ameritech Financial, a document preparation company, helps thousands of people across the country find potential solutions to overwhelming student loan debt. They skillfully guide clients through the processes of applying for and maintaining enrollment in federal programs, such as IDRs, that can possibly lower suffocating monthly payments.

“Being lazy could really be costing you, and not just when it comes to having to get your favorite coffee drink over making it at home,” said Tom Knickerbocker, Executive Vice President of Ameritech Financial. “What really can drag you down is the compounding of all your lazy activities. If you don’t want to walk somewhere, you can get a taxi. If you don’t want to make dinner, you can eat out. Those small expenses can add up and affect your ability to pay bills like student loans.”

Those small expenses can add up and affect your ability to pay bills like student loans.

Tom Knickerbocker, Executive Vice President of Ameritech Financial

According to the Washington Post, there are quite a few things individuals could be overspending on and just downright being lazy about. The article mentions different ways to save money including the rule of five, comparison shopping, and bringing lunch from home. Follow the five-minute rule by asking, can this be made in five minutes at home? If so, it may not be worth paying extra for elsewhere. Shopping without a list is another mistake that can be grouped under laziness. Without a list there is the possibility of overspending on food that may not be needed. Take the time and write out a list in order to save. How much does it really cost to go get a sandwich from the corner store, instead of bringing one from home? Well, those almost homemade sandwiches sure can add up. For example, if someone spends an average of $10 each workday on lunch, that is about $2,400 annually that could be saved.

The list can go on, but the bottom line is that laziness costs more than previously thought. If someone is already on a tight budget, income-driven repayment plans (IDRs) may be able to give some relief. For student loan borrowers, IDRs allow them to repay their loans based on their income and family size.

“Not being able to pay your student loans because your funds are being funneled elsewhere may lead borrowers to venture off track. In order to stay on track for student loan repayment they may have to evaluate if laziness is partly to blame,” said Knickerbocker. “We are here as an option for student loan borrowers who may need help getting back on track. We want borrowers to know all the options available to them, and know that they have an advocate to assist them in applying for what may be the best repayment options for them.”

About Ameritech Financial

Ameritech Financial is a private company located in Rohnert Park, California. Ameritech Financial has already helped thousands of consumers with financial analysis and student loan document preparation to apply for federal student loan repayment programs offered through the Department of Education.

Each Ameritech Financial telephone representative has received the Certified Student Loan Professional certification through the International Association of Professional Debt Arbitrators (IAPDA).

Ameritech Financial prides itself on its exceptional Customer Service.

Ameritech Financial Newsroom

Contact

To learn more about Ameritech Financial, please contact:

Ameritech Financial

5789 State Farm Drive #265

Rohnert Park, CA 94928

1-800-792-8621

media@ameritechfinancial.com

Source: Ameritech Financial

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November 19, 2018
Ameritech Financial: Concurrent Enrollment Saves Money, Lessens Student Loan Debt

ROHNERT PARK, Calif., November 18, 2018 (Newswire.com)
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More than 36,000 high school students are concurrently enrolled in college courses, a fifteen percent increase over the previous years. Concurrent enrollment allows students to experience the increased rigors of higher education while also saving on total college cost. The Utah System of Higher Education (USHE) suggests that this will save these students more than $48.7 million in future tuition — and this does not even take into consideration the amount of money that can be saved by graduating a semester or two early. USHE is boasting of this development because the cost of college has become a huge part of a national debate about how to deal with student loan debt. With more than 44 million borrowers owing more than $1.5 trillion, concurrent enrollment can help individuals significantly cut cost and lessen overall debt. Ameritech Financial, a document preparation company, guides borrowers overwhelmed by student loan debt through the process of applying for and maintaining enrollment in federal programs, such income-driven repayment plans (IDRs), which can possibly lower payments based on income and family size.

“It is always encouraging to see students find ways to lessen the financial burden of going to college,” said Tom Knickerbocker, Executive Vice President of Ameritech Financial. “If you have already run into trouble repaying your student loans, we can help you navigate various federal repayment options to help you choose your best option for your circumstances, then assist you in recertification, making sure you are maximizing the benefits available to you.”

It is always encouraging to see students find ways to lessen the financial burden of going to college.

Tom Knickerbocker, Executive Vice President of Ameritech Financial

The National Alliance of Concurrent Enrollment Partnerships (NACEP) advocates for high school students to concurrently take college courses because it is a “low-cost, scalable” model to gain college exposure and earn college credit. In concurrent enrollment, high school instructors teach college courses. NACEP suggests that concurrent enrollment helps students transition to college, since 63 percent of colleges report that concurrent enrollment improves the likelihood of being accepted to college.

Since concurrent enrollment is taught by high school teachers, instructors must be certified to teach college-level courses. This requires states to prepare teachers for this certification. USHE recently awarded Dixie State University, in St. George, Utah, a $250,000 grant to increase the number of high school teachers eligible to teach college-level math. The grant includes funding that will go directly to high schools to teach courses, and also to fund a college faculty member who will be a resource for high school teachers who want to teach concurrent enrollment classes.

The concurrent enrollment program began as a small North Carolina program encouraging less than 200 high school students to enroll in college-level courses in 2002. Hundreds of thousands of students across the nation now can save up to $44,000 in tuition expense, drastically cutting tuition and living expenses for students. This dramatically lessens the long-term negative impacts of student loan debt for participating students.

“The depth and impact of the student loan debt crisis is motivating governments and institutions to find solutions for hard-hit students and their families,” said Knickerbocker. “We remain committed to finding individual solutions for each borrower overburdened by student loan debt. We can help with all the paperwork so that you might finally have some reprieve, based on disposable income and family size, from the pressure of high monthly payments.

About Ameritech Financial

Ameritech Financial is a private company located in Rohnert Park, California. Ameritech Financial has already helped thousands of consumers with financial analysis and student loan document preparation to apply for federal student loan repayment programs offered through the Department of Education.

Each Ameritech Financial telephone representative has received the Certified Student Loan Professional certification through the International Association of Professional Debt Arbitrators (IAPDA).

Ameritech Financial prides itself on its exceptional Customer Service.

Ameritech Financial Newsroom

Contact

To learn more about Ameritech Financial, please contact:

Ameritech Financial

5789 State Farm Drive #265

Rohnert Park, CA 94928

1-800-792-8621

media@ameritechfinancial.com

Source: Ameritech Financial

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November 18, 2018
American Financial Benefits Center: After-Midterm Election Ramifications and Student Loans

SAN RAMON, Calif., November 16, 2018 (Newswire.com)
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History has been made with this most recent election period, now drawn to an end and the dust is settling out. Colorado has its first black congressman, 117 women won congressional seats, and Nevada elected a man who had passed away about a month prior. Many recently elected officials spoke on the topic of student loans which clearly many voters related to. American Financial Benefits Center (AFBC), a document preparation service company that has helped many struggling student loan borrowers apply for federal repayment programs, says this recent midterm election will bring with it changes to the student loan playing field, one way or another.

After the past couple of years, many policies from the previous presidential era have come, gone, and been changed. As usual, some people have benefited from certain policies more than others. Recently, an Obama-era rule was reinstated, giving more borrowers a chance to better help themselves. It will take time to see how well these newly elected officials hold to their goals and promises, keeping in mind that there is only so much each individual can do within a political sphere, but for many, this midterm season has been seen as a sign of hope. “Big changes are likely coming for student loans from this election, even if they’re changes that won’t really take effect for a few years yet,” said Sara Molina, manager at AFBC.

Big changes are likely coming for student loans from this election, even if they’re changes that won’t really take effect for a few years yet.

Sara Molina, Manager at AFBC

For borrowers that have needed help before these recent elections, companies like AFBC have been doing their part. Helping clients apply for federal income-driven repayment programs that have potentially lowered their monthly payments and gotten them on track for student loan forgiveness after 20-25 years of being in the program is just a part of the good AFBC has done for student loan borrowers. “We believe student loan repayment shouldn’t have to be a struggle. That’s why we’re so dedicated to helping our clients and being a student loan advocate,” said Molina.

About American Financial Benefits Center

American Financial Benefits Center is a document preparation company that helps clients apply for federal student loan repayment plans that fit their personal financial and student loan situation. Through its strict customer service guidelines, the company strives for the highest levels of honesty and integrity.

Each AFBC telephone representative has received the Certified Student Loan Professional certification through the International Association of Professional Debt Arbitrators (IAPDA).

American Financial Benefits Center Newsroom

Contact

To learn more about American Financial Benefits Center, please contact:

American Financial Benefits Center

1900 Powell Street #600

Emeryville, CA 94608

1-800-488-1490

info@afbcenter.com

Source: American Financial Benefits Center

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November 16, 2018
ATF: Differences in Student Loan Types Can Be Confusing, and May Have Detrimental Consequences for Borrowers Who Are Left With Questions

ROHNERT PARK, Calif., November 16, 2018 (Newswire.com)
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Sometimes the differences between private and federal student loans, tools often necessary to attend college, aren’t made explicitly clear to borrowers. Borrowers could look up the needed information, but if they don’t know that they don’t know something, it gets especially difficult in finding information for repayment when questions come up. Ameritech Financial, a document preparation service company, has some information that aims to help clear up some questions that borrowers may not even know they have.

Both loan types have loan servicers, the companies that collect the owed money. Private loans come from banks, rather than the government, and have the ability to be refinanced, which can help a borrower get a lower interest rate on their loans later on. Private loans do not currently have repayment programs, but they do have a statute of limitations to them. After a certain amount of missed payments, the loans may be written off so to speak, and a borrower will no longer be responsible for repayment. However, a significant amount of damage can be done to a borrower’s credit and financial situation before that, and in some extreme cases servicers may send out a warrant for arrest due to unpaid loans. Or in some cases, there may be some less than scrupulous tricks servicers that are willing to try to attempt to get borrowers to pay back their loans. “When struggling with handling a loan situation, if possible, it may be best to seek out professional help,” said Tom Knickerbocker, Executive Vice President of Ameritech Financial.

When struggling with handling a loan situation, if possible, it may be best to seek out professional help.

Tom Knickerbocker, Executive Vice President of Ameritech Financial

Sometimes even just browsing the Federal Student Aid website can give helpful answers to quick questions for federal loans. Federal loans have repayment programs for when payments become too much for a borrower to handle. Companies like Ameritech Financial help qualified student loan borrowers apply for federal income-driven repayment programs, that can potentially lower their monthly payments and get them on track for student loan forgiveness after 20-25 years of being in the program. “We believe student loan repayment shouldn’t have to be a struggle. That’s why we’re so committed to helping our clients and being a student loan advocate,” said Knickerbocker.

About Ameritech Financial

Ameritech Financial is a private company located in Rohnert Park, California. Ameritech Financial has already helped thousands of consumers with financial analysis and student loan document preparation to apply for federal student loan repayment programs offered through the Department of Education.

Each Ameritech Financial telephone representative has received the Certified Student Loan Professional certification through the International Association of Professional Debt Arbitrators (IAPDA).

Ameritech Financial prides itself on its exceptional Customer Service.

Ameritech Financial Newsroom

Contact

To learn more about Ameritech Financial, please contact:

Ameritech Financial

5789 State Farm Drive #265

Rohnert Park, CA 94928

1-800-792-8621

media@ameritechfinancial.com

Source: Ameritech Financial

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November 16, 2018
Experiences Don’t Have to Be Limited Due to Student Loans, Says Ameritech Financial

ROHNERT PARK, Calif., November 15, 2018 (Newswire.com)
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Adulthood is full of new experiences and the desire for even more. But student loans may be stifling the ability to gain experiences. Ameritech Financial, a document preparation service company, says that even with student loans, there are ways to go out and experience life for personal betterment without going broke.

Traveling is among the top things people say they wish they could do, but there’s always a list of reasons they can’t. Up at the top of that list is affordability. Taking time off of work might mean foregoing incoming pay for the days gone, and actively spending money. Airfare prices aren’t going down, but simple tricks like disabling tracking cookies when comparing ticket prices, and planning out trips like locals going home would, rather than tourists, can also make the trip more affordable. “The amount of borrowers’ paychecks that go to repaying student loans often limits their focus to their current loan situation and not much else,” said Tom Knickerbocker, Executive Vice President of Ameritech Financial.

The amount of borrowers’ paychecks that go to repaying student loans often limits their focus to their current loan situation and not much else.

Tom Knickerbocker, Executive Vice President of Ameritech Financial

Homeownership and starting a family is also an experience that is being delayed for student loan borrowers. Many people know the hardships of parents struggling to make ends meet. It’s often why people go to college, so they can get a better paying job so that their own children won’t have the same issue. Instead, they’re often stuck struggling to repay loans, which could take decades. Entering into a federal income-driven repayment plan, which can potentially lower a borrower’s monthly payments and get them on track for student loan forgiveness after 20-25 years of being in the program, maybe something that helps borrowers better afford the experiences they want from life. Ameritech Financial is a company that helps struggling borrowers apply to some of those federal programs, for a better chance at personal and financial wellness. “We believe student loan repayment shouldn’t have to be a struggle. That’s why we’re so dedicated to helping our clients and remaining a student loan advocate,” said Knickerbocker.

About Ameritech Financial

Ameritech Financial is a private company located in Rohnert Park, California. Ameritech Financial has already helped thousands of consumers with financial analysis and student loan document preparation to apply for federal student loan repayment programs offered through the Department of Education.

Each Ameritech Financial telephone representative has received the Certified Student Loan Professional certification through the International Association of Professional Debt Arbitrators (IAPDA).

Ameritech Financial prides itself on its exceptional Customer Service.

Ameritech Financial Newsroom

Contact

To learn more about Ameritech Financial, please contact:

Ameritech Financial

5789 State Farm Drive #265

Rohnert Park, CA 94928

1-800-792-8621

media@ameritechfinancial.com

Source: Ameritech Financial

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November 15, 2018
American Financial Benefits Center: Why Federal Student Loans Are Often Better Than Private Student Loans

EMERYVILLE, Calif., November 15, 2018 (Newswire.com)
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Many students feel they need to borrow money for higher education, but which student loans are the right ones to take? With federal and private loans available to many borrowers and the average cost of college leading to $37,172 of debt, the decision on which loan to take may lead to interesting decisions that can dictate a borrower’s financial future. However, since many borrowers feel they must take out loans to participate in their education, it is important to know which loans benefit borrowers the most. American Financial Benefits Center (AFBC), a document preparation company, advises that borrowers should generally seek out federal loans before getting private student loans.

“Not all loans are equal,” said Sara Molina, manager at AFBC. “Federal loans often have a variety of flexible repayment options and often have a lower interest, overall.”

We hope that all borrowers are able to understand the benefits from choosing federal loans, but are able to know their options and form a solid repayment strategy regardless of their loan type.

Sara Molina, Manager at AFBC

Federal loans are generally better for borrowers for many reasons. Federal loans for the 2018-2019 school year have an annual interest rate of 5.05 percent for undergraduate direct subsidized and unsubsidized loans, 6.6 percent for graduate subsidized or unsubsidized loans, 7.6 percent for direct PLUS loans and five percent for Perkins loans, with interest rates set each year. Compare that to private loans which vary from company to company but have a range between 3.69 and 13 percent interest with variable rate loans and 5.35 and 14.05 percent interest for fixed-rate loans at top lenders. Private loans can have either variable or fixed interest rates, and the rates that borrowers get depend on their credit score or their cosigner’s credit score. With limited exception, no student loan, either federal or private, can be discharged through bankruptcy.

Since the average private loan interest rate in 2017 was 7.81 percent for variable rate and 9.66 percent for a fixed rate, and it is likely those rates have gone up, it is easy to see why most would prefer federal loans from the perspective of interest. This difference can affect the size of the monthly payment that is given to a borrower. In addition, federal loans have alternative repayment methods like income-driven repayment plans (IDRs), which can potentially reduce a student loan borrower’s monthly repayment to 10 to 15 percent of their monthly discretionary income. IDRs end in federal loan forgiveness after 20 to 25 years, which means that they are a long-term, flexible repayment strategy for those who need such a thing.

By comparison, borrowers with private loans often have a fixed repayment schedule with higher interest. Private borrowers are often confined by the terms of their loan, which often restrict flexibility for borrowers in financial hardship. Private loans can force borrowers into repayment strategies that require extra payments, making refinancing the only recourse for struggling borrowers. Refinancing lumps all of the student loans together into one new loan with a potentially lower interest rate dependent on a good credit score or cosigner. Borrowers with federal loans can also refinance their loans, but doing so removes access to alternative repayment options like IDRs or deferment, so it should be considered only when the borrower is sure that they can remain on a fixed repayment schedule.

“Some borrowers may be putting off their FAFSA or the necessary paperwork required for federal loans. That decision may affect them years down the line,” said Molina. “We hope that all borrowers are able to understand the benefits from choosing federal loans, but are able to know their options and form a solid repayment strategy regardless of their loan type.”

About American Financial Benefits Center

American Financial Benefits Center is a document preparation company that helps clients apply for federal student loan repayment plans that fit their personal financial and student loan situation. Through its strict customer service guidelines, the company strives for the highest levels of honesty and integrity.

Each AFBC telephone representative has received the Certified Student Loan Professional certification through the International Association of Professional Debt Arbitrators (IAPDA).

American Financial Benefits Center Newsroom

Contact

To learn more about American Financial Benefits Center, please contact:

American Financial Benefits Center
1900 Powell Street #600
Emeryville, CA 94608
1-800-488-1490
info@afbcenter.com

Source: American Financial Benefits Center

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November 15, 2018
American Financial Benefits Center: Increasingly, Borrowers Feel Imprisoned by Their Student Loan Debt

SAN RAMON, Calif., November 14, 2018 (Newswire.com)
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Student loan borrowers feel imprisoned by debt, according to a recent Forbes article. Recent studies show that nearly 90 percent of borrowers struggle to keep up with monthly payments. Of these borrowers, 44 percent said their next payment will be extremely difficult to make and another 20 percent said that they would be unable to make the next payment. Nearly 60 percent reported that student loan debt had decreased their credit score. Moreover, resulting poor credit checks caused 10 percent to fail job interviews, while 13 percent were denied apartments. Stunningly, nearly one-third said that their student loan bill is higher than their rent and two-thirds said they spent more on student debt than on groceries. American Financial Benefits Center (AFBC), a document preparation company, specializes in helping its clients secure and maintain enrollment in federal programs, such as income-driven repayment plans (IDRs), that can possibly lower monthly payments based on income and family size.

“We understand the pressure that student loan debt puts on the lives of borrowers, and we see it every day,” said Sara Molina, manager at AFBC. “But we focus on solutions, acting as trusted advocates for our clients as they deal with loan servicers, making sure they stay up to date with recertification and that they are maximizing the benefits they are entitled to.”

We understand the pressure that student loan debt puts on the lives of borrowers, and we see it every day. But we focus on solutions, acting as trusted advocates for our clients as they deal with loan servicers, making sure they stay up to date with recertification and that they are maximizing the benefits they are entitled to.

Sara Molina, Manager at AFBC

The reason that student loan debt feels like a prison to these students is because the burden and endlessness of student loan debt are so confining. Nearly 40 percent of borrowers felt that student loan debt stood between them and their career goals, and another 28 percent said it had stopped them from starting their own businesses. Borrowers also felt hindered in attaining life plans like getting married and starting a family. Nearly 20 percent of respondents said that they had delayed marriage and another 26 percent said they had put off having children because of student debt.

Unfortunately, most borrowers said that their loan servicer was not helping them get out of their student loan debt confinement. Almost 60 percent of borrowers said that their loan servicers had provided “confusing” or “unhelpful” information about their student loans. More than 25 percent of borrowers had experienced servicers adding unexpected fees to their balances. After sudden, unexpected changes in loan servicers, 57 percent of borrowers experienced unanticipated demands from the servicer. And when borrowers attempted to work with their servicer after running into financial hardship, 42 percent had trouble negotiating changes to their repayment plans.

“As our clients know, we take their financial hardships very seriously,” said Molina. “We know the negative impacts of overwhelming student loan debt, and also know how good it can feel to get some financial freedom after feeling fenced in. We remain laser-focused on our clients’ needs, so they don’t have to feel imprisoned by student loan debt again.”

About American Financial Benefits Center

American Financial Benefits Center is a document preparation company that helps clients apply for federal student loan repayment plans that fit their personal financial and student loan situation. Through its strict customer service guidelines, the company strives for the highest levels of honesty and integrity.

Each AFBC telephone representative has received the Certified Student Loan Professional certification through the International Association of Professional Debt Arbitrators (IAPDA).

American Financial Benefits Center Newsroom

Contact

To learn more about American Financial Benefits Center, please contact:

American Financial Benefits Center
1900 Powell Street #600
Emeryville, CA 94608
1-800-488-1490
info@afbcenter.com

Source: American Financial Benefits Center

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November 14, 2018
Ameritech Financial: How Much Student Loan Debt is Worth It?

ROHNERT PARK, Calif., November 14, 2018 (Newswire.com)
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A college education is considered one of the necessary tools to do well in life, but it’s one of the most expensive tools there is. Most people will need some sort of financial assistance to attend. But when it takes decades to pay off student loans for the majority of borrowers, many are likely left feeling that their loans weren’t worth the price. Ameritech Financial, a document preparation service company, wonders how much student loan debt is worth it?

Now the answer to that question is mostly subjective. If it takes outside funding to attend college, a simple answer would be that whatever amount it takes to cover college is the amount that it is worth. Or an amount that is realistically possible to repay – that would be a good amount of student loans to take out. But too many factors play into the repayment period to make it easy to figure out what will actually be affordable. “It would be difficult for every single person to know the ins and outs of student loans and the repayment process. And because they don’t know every detail, borrowers can accidentally get into some trouble down the road with handling their loans,” said Tom Knickerbocker, executive vice president of Ameritech Financial.

It would be difficult for every single person to know the ins and outs of student loans and the repayment process. And because they don’t know every detail, borrowers can accidentally get into some trouble down the road with handling their loans.

Tom Knickerbocker, Executive Vice President of Ameritech Financial

More jobs are offering assistance with student loan repayment as an employee benefit, making it a bit easier to handle repayment after college. Employers like Netflix and Delta Air are some of the big-name companies to add that benefit, and even some states are offering assistance for moving there. There’s also the option for qualified borrowers of entering federal programs. Ameritech Financial helps struggling student loan borrowers apply for federal income-driven repayment programs that can potentially lower monthly payments and get them on track for student loan forgiveness after being in the program for 20-25 years. “We believe student loan repayment shouldn’t have to be a struggle. That’s why we’re so dedicated to helping our clients and remaining a student loan advocate,” said Knickerbocker.

About Ameritech Financial

Ameritech Financial is a private company located in Rohnert Park, California. Ameritech Financial has already helped thousands of consumers with financial analysis and student loan document preparation to apply for federal student loan repayment programs offered through the Department of Education.

Each Ameritech Financial telephone representative has received the Certified Student Loan Professional certification through the International Association of Professional Debt Arbitrators (IAPDA).

Ameritech Financial prides itself on its exceptional customer service.

Ameritech Financial Newsroom

Contact

To learn more about Ameritech Financial, please contact:

Ameritech Financial
5789 State Farm Drive #265
Rohnert Park, CA 94928
1-800-792-8621
media@ameritechfinancial.com

Source: Ameritech Financial

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November 14, 2018
Ameritech Financial: The People Have Voted and the Result for Higher Education is Undecided

ROHNERT PARK, Calif., November 14, 2018 (Newswire.com)
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Policymakers and educators have been looking at the fallout from the recent midterm elections and see a number of higher education issues that may be affected. Betsy DeVos, Secretary of the Department of Education (DOE), has moved to undo or limit many Obama-era regulations. This includes weakening rules aimed to hold colleges accountable for the repayment of federal loan debt of their students. Until now, DOE regulatory changes have been encouraged by the administration but held up in state and federal courts. Now, with a Democrat-controlled Congress that is invested with the “power of the purse,” these regulatory changes could be further delayed by withheld congressional funding. Depending on perspective, limiting the DOE might result in less educational choice or upheld standards for colleges that produce students unable to keep up with their student loan debt. No matter the outcome, Ameritech Financial, a document preparation company, will continue to help borrowers overwhelmed with student loan debt apply for and maintain enrollment in federal programs, such as income-driven repayment plans (IDRs) that can possibly lower monthly payments based on income and family size.

“The political climate is intense and deeply divided, but our goals remain clear,” said Tom Knickerbocker, executive vice president of Ameritech. “We help borrowers who are unable to keep up with their student loan debt. We guide our clients through the sometimes overly complex processes and act as their trusted advocate as they deal with their loan servicers.”

The political climate is intense and deeply divided, but our goals remain clear.

Tom Knickerbocker, Executive Vice President of Ameritech Financial

Aside from oversight on institutions to be accountable for the ability of students to repay their student loans, a Democratic Congress might also oppose DOE changes to how colleges handle cases of sexual misconduct under Title IX and plans to rewrite college accreditation regulations. Democrats, such as Patty Murray of Washington, have been bitterly critical of DeVos and will have more power since her party now has agenda-setting power in the house. Unfortunately, bitter partisan fights will make larger bipartisan legislation, such as a bill to reauthorize the Higher Education Act, more difficult to achieve. Tensions between Republican Senator LaMar Alexander of Tennessee and Murray are already high and may get in the way of any possible dealmaking between Congress and the Senate.

Though voter numbers are not yet finalized, it appears that students voted in higher numbers than in previous midterms. In Alachua County, home of the University of Florida, voting numbers jumped from half of registered voters in 2014 to 63.6 percent of voters. In Monroe County, where the Indiana University of Bloomington calls home, they ran out of preprinted ballots and had to rush more to the polls after an unprecedented turnout. On some colleges, shuttles bussed students to polling places, while student walkouts across the country sent young voters to county voting locations.

Two races for governor, in Ohio and Wisconsin, were closely associated with higher education. Ohio Democratic candidate Richard Cordray lost his race against Republican candidate Mike DeWine, despite running on his record of being chief of the Consumer Financial Protection Bureau, which aggressively sued for-profit colleges and questioned colleges making deals with particular banks for student debit cards. On the other hand, Wisconsin governor Scott Walker lost to Democratic rival Tony Evers after being highly criticized for applying stringent austerity measures to the state’s public universities and technical schools, which increased the burden of tuition on families and students, resulting in increased student loan debt.

“It’s always difficult to predict what will happen, though it may be possible to guess that bipartisan political solutions will be hard to come by with parties and people so divided,” said Knickerbocker. “We will continue helping our clients, working with them for years to come and assisting them in applying for certain repayment programs and recertifying their family sizes and income in their efforts to keep their payments as low as possible. Through such programs, hopefully, they will enjoy more financial breathing room they so desperately need.”

About Ameritech Financial

Ameritech Financial is a private company located in Rohnert Park, California. Ameritech Financial has already helped thousands of consumers with financial analysis and student loan document preparation to apply for federal student loan repayment programs offered through the Department of Education.

Each Ameritech Financial telephone representative has received the Certified Student Loan Professional certification through the International Association of Professional Debt Arbitrators (IAPDA).

Ameritech Financial prides itself on its exceptional customer service.

Ameritech Financial Newsroom

Contact

To learn more about Ameritech Financial, please contact:

Ameritech Financial
5789 State Farm Drive #265
Rohnert Park, CA 94928
1-800-792-8621
media@ameritechfinancial.com

Source: Ameritech Financial

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November 14, 2018