Please ensure Javascript is enabled for purposes of website accessibility

Diplomacy or Submission? The Zionist Grip on US Political Power and Trump’s Uneasy Alliance With Netanyahu

43 minutes ago

Fresno Suspect Caught After Jumping Out of Second-Floor Window, 2 Others Arrested

21 hours ago

Tesla Has Applied to Arizona for Robotaxi Service Certification, State Transport Department Says

21 hours ago

Evacuations Ongoing as San Luis Obispo’s Madre Fire Scorches Tens of Thousands of Acres

21 hours ago

US Senate to Vote on Trump Aid, Broadcasting Cuts as Deadline Looms

22 hours ago

US Health Department Widens Immigrant Benefit Restrictions

22 hours ago

Fresno Police Arrest Suspect in Stabbing That Left Man Critically Injured

22 hours ago

Madera County Authorities Seek Next of Kin for North Fork Man

23 hours ago

Froot Loops Maker WK Kellogg Agrees to $3.1 Billion Deal From Italy’s Ferrero

24 hours ago

China Signals Willingness to Sell Fighter Jets as Iran Eyes J-10 Aircraft

24 hours ago
How Military Service Impacts Student Loan Repayment Options
By admin
Published 7 years ago on
November 11, 2018

Share

If you’re a veteran with student debt, you have repayment rights unique to military service members that can keep you on track and out of default.

Federal student loan default occurs after nine months without a payment. Late notices turn into collection calls, and your creditor —the government — can take you to court and even garnish your paycheck. Once you default, you’ll no longer qualify for repayment plans that could make payments manageable.

Understanding your options can help reduce the risk of default.

How Veterans End up With Student Debt

“Some student are unsure how to fully access their benefits or what programs they’re eligible for — that could lead them to borrow and leave benefits on the table,” says Colleen Campbell, associate director for postsecondary education at the Center for American Progress, a public policy think tank.

“Some student are unsure how to fully access their benefits or what programs they’re eligible for — that could lead them to borrow and leave benefits on the table.” — Colleen Campbell, associate director for postsecondary education at the Center for American Progress

Veterans often take out student loans after exhausting their Post-9/11 GI Bill benefits , which cover tuition and fees and include a monthly housing allowance and money for books. Not everyone uses their GI Bill benefits, and some don’t qualify for 100 percent tuition coverage.

Additionally, veterans borrow more frequently when attending for-profit schools than public colleges, according to an analysis by Veterans Education Success, a nonprofit that provides free legal assistance to student veterans.

Why Veterans Are More Vulnerable to Debt

Veterans tend to be older than traditional undergraduates and are likelier to be employed while in school, says Kathy Payea, senior research fellow with Veterans Education Success. They also may be supporting families.

These conditions can make it harder for veteran students to finish college on time. Students who fall below half-time attendance status have to start paying back their loans.

Additionally, due to the factors above, some veterans may be attracted to for-profit online college programs that often don’t deliver, Payea says.

Veteran borrowers often default after attending for-profit college programs: One-third of a cohort of student veterans who enrolled in for-profit schools in 2003-04 defaulted on their student loans in the 12 years after, according to an analysis of federal data by Veterans Education Success.

If you’re facing repayment challenges, here’s how to ease the burden.

Get Help With Payment

All federal student loan borrowers have access to repayment options beyond the standard 10-year plan. Income-driven repayment, for example, caps your monthly payment at a portion of your income and extends the length of repayment.

Current service members also may get repayment help through branch-specific repayment programs or through the Department of Defense. The Navy, for example, offers an incentive that pays off up to $65,000 of a sailor’s federal student loans in their first three years of active-duty service.

Ask your designated military personnel officer to find out how to access these benefits.

Pause Loan Payments

Military deferment allows borrowers to postpone loan repayment while on active duty and immediately after. This applies to federal and private loans.

In addition to military deferment, all borrowers can get in-school deferment and forbearance in case of financial hardship. Contact your lender or servicer to learn how.

Get Loan Forgiveness

Military service can qualify federal loan borrowers for Public Service Loan Forgiveness, which will forgive the remainder of your loan balance after 120 qualifying payments. You must be in the military or working in the public sector while making each payment.

Veterans tend to be older than traditional undergraduates and are likelier to be employed while in school, says Kathy Payea, senior research fellow with Veterans Education Success. They also may be supporting families.

Borrowers who are totally and permanently disabled can have their loans discharged. The Department of Education identifies those who may be eligible for loan discharge due to disability by matching borrowers with student loans to the Veterans Affairs database. Eligible borrowers will receive application details directly from the department and can learn more on disabilitydischarge.com.

If you attend a school that closes before you finish your degree, you’re eligible for closed school loan discharge. Or if you believe you’ve been misled or defrauded by your school, you can apply for borrower defense to repayment, which, if you’re approved, will discharge your loan debt.

Reduce Your Interest Rates

If you took out a loan before enlisting, your interest rate is capped at 6 percent while on active duty as part of the Servicemembers Civil Relief Act. Borrowers in areas of combat or serving during national emergencies are eligible for a 0 percent interest rate. This rule applies to both federal and private loans.

DON'T MISS

What Are Fresno Real Estate Experts Predicting for 2025 and Beyond?

DON'T MISS

First California EV Mandates Hit Automakers This Year. Most Are Not Even Close

DON'T MISS

Immigration Raids on California Cannabis Nurseries Spark Protests

DON'T MISS

US Tariff Rate May Be More Than 20% After Latest Round, Global Business Group Says

DON'T MISS

The White House Aide Driving Trump’s Aggressive Immigration Agenda

DON'T MISS

Some of Iran’s Enriched Uranium Survived Attacks, Israeli Official Says

DON'T MISS

Mahmoud Khalil Seeks $20 Million From Trump Administration Over Immigration Arrest

DON'T MISS

Madera County Authorities Seek Public’s Help Finding Next of Kin for Man Who Died in Hospital

DON'T MISS

Six Secret Service Agents Punished Over Trump Assassination Attempt

DON'T MISS

Fresno Teens Arrested in Violent Assaults That Injured Two Men, Including Elderly Victim

DON'T MISS

Wonderful Co. Has a New Face Promoting Pistachios: MVP Josh Allen

DON'T MISS

Valley Crime Stoppers’ Most Wanted Person of the Day: Francisco Salvador Zuniga

UP NEXT

Oil Falls Amid Bearish Trump Tariff Outlook

UP NEXT

FEMA Is Holding Up $2.4 Billion in Grants to Fight Terrorism, States Say

UP NEXT

US Sanctions UN Expert Critical of Israel’s War in Gaza

UP NEXT

US Emergency Agency FEMA Should Be ‘Eliminated as It Exists Today,’ Noem Says

UP NEXT

Death Toll Reaches at Least 119 in Texas Floods, With 173 Missing

UP NEXT

Rescue Teams Find Three More Bodies After Central Texas Floods

UP NEXT

TSA Set to Let Airport Travelers Keep Their Shoes on, Media Reports Say

UP NEXT

Space Industry Urges Congress Not to Axe System That Prevents Satellite Collisions

UP NEXT

Rescuers Scour Flood Debris in Texas as Hope Fades for Survivors

UP NEXT

US Veterans Affairs Will Cut Nearly 30,000 Jobs, Far Fewer Than Planned

Zohran Mamdani Jolted Progressives. Can California Candidates Replicate His Success?

23 minutes ago

State Department Starts Firing More Than 1,350 Workers

30 minutes ago

Senate Panel Approves $500 Million Aid for Ukraine in Defense Bill

33 minutes ago

UN Reports 798 Deaths Near Gaza Aid Hubs in Six Weeks

36 minutes ago

Diplomacy or Submission? The Zionist Grip on US Political Power and Trump’s Uneasy Alliance With Netanyahu

43 minutes ago

Macron Urges UK to Back Palestine Recognition, Ukraine Support in Landmark Visit

47 minutes ago

Bitcoin’s New Record Lifts Industry Stocks Ahead of ‘Crypto Week’ in Washington

54 minutes ago

White House Reviews Mass Federal Layoff Plans, Aims for Swift Action

57 minutes ago

Clovis Man Killed in Fresno County Crash After Running Stop Sign

1 hour ago

Immigration Raids on California Cannabis Nurseries Spark Protests

1 hour ago

Israeli “Humanitarian City” Plan in Gaza Sparks Outcry, Accusations of Creating Concentration Camps

As Israeli Prime Minister Benjamin Netanyahu visited Washington, violence and uncertainty continued in Gaza, Ishaan Tharoor writes in The Wa...

3 minutes ago

Palestinian Aid Relief
3 minutes ago

Israeli “Humanitarian City” Plan in Gaza Sparks Outcry, Accusations of Creating Concentration Camps

U.S. singer Chris Brown, who has been charged with inflicting grievous bodily harm in what prosecutors said was an "unprovoked attack" on a music producer at the Tape nightclub in central London in 2023, walks outside the Southwark Crown Court in London, Britain, July 11, 2025. (Reuters/Chris J. Ratcliffe)
11 minutes ago

US Singer Chris Brown Pleads Not Guilty to Lesser Assault Charge in UK Court

An image of a cracked heart is placed on a collapsed tree by the Guadalupe River, across from Camp Mystic, following deadly flooding, in Hunt, Texas, U.S., July 10, 2025. REUTERS/Umit Bektas TPX IMAGES OF THE DAY
14 minutes ago

Trump to Visit Texas Flood Site as Focus on Disaster Response Intensifies

Zohran Mamdani addresses supporters on primary night, in New York, June 24, 2025. Mamdani, the democratic socialist whose blend of populist ideas and personal magnetism catapulted his upstart candidacy, has won the Democratic primary for mayor of New York City, according to The Associated Press. (Shuran Huang/The New York Times)
23 minutes ago

Zohran Mamdani Jolted Progressives. Can California Candidates Replicate His Success?

A general view of a U.S. State Department sign, on the day U.S. Secretary of State Marco Rubio meets with Hungarian Foreign Minister Peter Szijjarto, in Washington, D.C., U.S., March 4, 2025. (Reuters File)
30 minutes ago

State Department Starts Firing More Than 1,350 Workers

A general view of the U.S. Capitol dome in Washington, D.C., U.S., July 8, 2025. (Reuters File)
33 minutes ago

Senate Panel Approves $500 Million Aid for Ukraine in Defense Bill

Smoke rises from Gaza after an explosion, as seen from the Israeli side of the Israel-Gaza border, July 10, 2025. (Reuters File)
36 minutes ago

UN Reports 798 Deaths Near Gaza Aid Hubs in Six Weeks

President Donald Trump welcomes Israeli Prime Minister Benjamin Netanyahu at the entrance of the White House in Washington, D.C., U.S., April 7, 2025. (Reuters File)
43 minutes ago

Diplomacy or Submission? The Zionist Grip on US Political Power and Trump’s Uneasy Alliance With Netanyahu

Help continue the work that gets you the news that matters most.

Search

Send this to a friend