40-50K in Federal Student Loan Debt...Opinions?

[El_Mero_Mero]

I owe somewhere between $40,000 and $50,000 in a Federal school loan. This loan was taken out over 10 years ago. The "why" of me not paying any money on it thus far is not important for this particular question, but I'm just trying to figure out what my best option is here.

I had another loan through Sallie Mae that I'm paying $100 a month on in a fixed settlement and that will be paid off by November 2021. That particular loan does no damage to my pockets whatsoever and I barely notice when they make their monthly deduction of $100. Should I wait around to see if there will be any Student Loan Forgiveness from this next President (this is a serious question) or should I just contact the Debt Collectors and see what we can work out?

I've never had anyting garnished, and part of that reason might be because I'm an Independent Contractor and haven't had a salaried job during all this time.

For th Sallie Mae loan that I'm paying back, I had to go to small claims court, and that is where we came to the agreement that we did. Initially, I wanted to wait until this Federal Loan summons me to court, but because it is for a larger amount, I am starting to get worried that it will get to a point where the figure amount is too much of a burden.

Please share your opinion on what I should do?

 

[Primetime21]

pray that Warren or Sanders gets elected.

 

[El_Mero_Mero]

I'm pretty sure that Trump is going to get reelected, but even if one of the other two did get elected, would it be forgiveness for everyone?

Also, since my loan is over 10 years old, would I still qualify despite being in my mid-thirties?

Also, I'm sure you guys understand how I would feel stupid if I started to pay this off, and then the student loan forgiveness thing was announced, but it will be too late for me to qualify for that since I already got into a settlement agreement with the Federal Loan Lenders.

 

[Panther]

I dont think its wise to put a portion of your financial future in the hands of these presidential candidates.

Just start making payments to get rid of it as fast as possible.

 

[phcitywarrior]

Just start paying that thing off as soon as possible. Worry about the student loan forgiveness if and when that will occur. Take control of what you can now, and worry about the rest later. You wouldn't want to hedge your bet on a bill that may or may not get passed and you'll be 3-4 years down the line but still at the same starting point.

 

[El_Mero_Mero]

I just posted the same question on Reddit because I just wanted to see how different communities of people respond to this question. I just posted it, so I'm not sure what they will say.

I just want to say that the responses here though are great (just straight facts without criticizing). I appreciate it.

 

[MillionMills]

The "why" of me not paying any money on it thus far is not important for this particular question, but I'm just trying to figure out what my best option is here.

 

[El_Mero_Mero]

I mean, regardless of how you look at it it's 100% my fault even if it's partially somebody else's fault , because I allowed myself to get in this position. So discussing the "why" of it won't really change the situation.

If it was due to bad spending habits, then discussing the "why" of it could potentially prevent me from getting deeper into debt, but I didn't really have too many bad spending habits either. I know that I'm at fault and I need to take care of this. Either way you look at it, I am responsible for this situation.

 

[⠀X ⠀]

Just start paying. You can get rid of that in around 7 years.

 

[Freedman]

10 years of interest on 50K

 

[El_Mero_Mero]

10 years of interest on 50K

It's between 40-50k now because of the interest. The initial loan was for much less.

Someone had mentioned to me that I could possibly try to get the loan "re-habbed", but is that even an option for me since I've ignored it for so long?

 

[NeilCartwright]

I’ll be 100% honest, bc I’m In a similar situation. I would refinance, make the minimum payment, and take what money I would’ve been putting towards it and buy something that produces income.

Whether that’s a property, a semi-truck, etc. Something.

At the end of the day ppl will make their own decisions but I feel like the money being used to pay those loans could be used In a better way somewhere else.

 

[El_Mero_Mero]

...but I feel like the money being used to pay those loans could be used In a better way somewhere else.

I definitely feel you on that, but I think that I'm in a situation where I can attack both. I don't exactly know 100% what refinance or rehab mean in terms of federal student loans, but I don't want it to be a case where interest keeps piling up, so if I can just get one specific number that I owe (that will be an unchanging number), then I will work towards paying that, and also still work towards Investments.

I don't see it as any thing to be "proud" of to pay off student loans, but not have any money to accomplish anything else.

 

[se1f_made]

Make the minimum payment and pray for the loan forgiveness that I’ve heard of after 100 straight payments. Invest in yourself or take the risks to where 50k won’t be shyt

 

[newarkhiphop]

pay the loan there will never be student loan forgiveness