Tips for paying student loans

CHATTANOOGA, Tenn. (WDEF) – With many affected by today’s Supreme Court decision to overturn student loan forgiveness, now is the time to prepare to start repaying.

Most borrowers have not been paying off loans since the beginning of the COVID-19 pandemic.

Payments will resume in October.

Experts say now is the time to budget for the additional payments you will have to make.

It is critical to understand the rules as your loan servicer may have changed since 2020.

Chris Hopkins of Apogee Wealth Partners said, “For almost 50% of borrowers, their loan servicer may have changed in that amount, so you want to find out who holds your loan, and if you don’t know who that is, there’s a website by the Department of Education you can go to called studentaid.gov.“

Hopkins also suggests paying off other debts you have now to make more room for these loan payments.

He also mentions that the federal reserve hiking interest rates will make repayment tougher for many, and that there could be a hit to the economy with less consumer spending.

President Biden announced late Friday afternoon his administration is planning to counteract the Supreme Court’s decision with new actions on student loans.