On July 2, 2013 I was honored to talk with Bob McCormick of Los Angeles radio station KFWB on the subject of student loan law. We chatted about the rise in student loan interest rates on July 1, 2013, income-based repayment, and more.
Listen to the show here on the website or download it to your computer by right-clicking here and saving the file.
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Currently, the only way you can avail yourself of the IBR process is to consolidate loans first. “Isn’t this backwards!??” Consolidating loans seems to be an act of admitting a “valid” debt BEFORE any of the pertinent issues are made available. What if you question the validity of the debt? What if there were some “shady” school loan processing practices going on? What if you have absolutely no funds even if you owe a valid debt? There has been at least 1 congressman who has believed that many of the loans and practices associated with student loans are unconstitutional. Is there any validity to these assertions? Are there legal groups out there that challenge these processes and procedures?
You have an incorrect fact here. Consolidation is NOT a requirement for IBR. I challenge processes and procedures all the time.
I looked at the nslds site and reviewed all my loans. How do i tell exactly what if any are in default that will affect my tax return? My federal was intercepted however i joined a program thru the dept of ed which took over the loan. How do i make sure nothing will be intercepted again?
If any fed loan is in default, your fed tax refund can be taken. Each loan on the NSLDS will tell you the current status, including default.