Resources if You’re In Crisis
Gerald, age 50, went to school 3 years ago in mid-life. After illness, he felt so far behind that he dropped out. Soon he was trying to pay off student loans with the same old low-paying jobs. Feeling overwhelmed, he didn’t act fast when he got a notice of student loan default. Now, he makes monthly student loan payments to a collection agency, but it feels hopeless. His debt keeps growing because he can’t keep up with the interest charges.
Shauna, age 23, is in school full-time. Her income is low but she can’t get student loans or loan repayment aid because she defaulted on student loans when she took two years off school. Since Shauna’s part-time job won’t cover her costs, she’s using credit cards to hang in while she tries to finish her degree. She has maxed out all but one card -- and if she took advice from Debt 101, she would seek immediate help from a debt or credit counsellor.
Gerald is still paying his student loan. Shauna is still in school. So they should use our other resources as well. But they also need "In Crisis" resources because:
- They’re in financial trouble
- Loss of ‘good standing’ has disqualified them for the student loan repayment aid described in "In Payment".
If you've defaulted on your student loans like Gerald or Shauna, use these "In Crisis" resources -- even if you're also in school or paying student loans. But even if you are "in crisis," remind yourself that this will pass.
Don't beat yourself up -- and don't give up. Use our In Crisis resources to get back in control. Then you can choose your best path out of student loan debt!