EMERYVILLE, Calif., March 30, 2018 /PRNewswire/ -- Finances these days are handled primarily online. While that may be convenient for many, it could be dangerous for others. Out of sight, out of mind, after all. That goes for student loans, as well. All federal student loan servicers have an online portal where borrowers can manage their debt. In fact, the Department of Education has announced an upcoming mobile loan servicing platform for all student loan needs. However, borrowers must visit the portal to benefit from it. American Financial Benefits Center (AFBC), a document preparation company that assists its clients with federal repayment plan paperwork, reminds borrowers to regularly check on their debt and to be proactive — not avoid it — if it becomes a problem.
"Some borrowers may not be able to stop thinking and stressing about their student debt," said Sara Molina, Manager at AFBC. "But others may forget about their debt. It's important to check in on it every so often, though, to make sure nothing is going wrong that can damage your credit."
The upcoming fully digital mobile servicing platform that the Department of Education announced will encompass the entire student loan process, from application to servicing and default. The Department boasted that it will provide valuable information for students and borrowers, such as repayment plans and options for defaulted borrowers. However, the platform is not yet available. Even with the platform, however, borrowers may still ignore their loans.
It's important to stay on top of federal student loans. Successful repayment can boost credit scores, which can allow borrowers to take on other lines of credit that can support financial or life goals, such as buying a house. To remain successful, borrowers should consider keeping an eye on their loans, especially if they are struggling to make payments. The instinct to ignore their loans when borrowers are unable to pay is dangerous for their financial future.
Instead, borrowers should look at their loans and the federal options available for handling them. Borrowers who need short-term relief, for example, may choose to enter into deferment or forbearance after doing sufficient research or talking to a professional. Or, long-term solutions for those who cannot afford their payments include income-driven repayment plans. Those plans, while they can potentially reduce payments, must be recertified annually. Borrowers will find greater success in such plans if they regularly check on their loans so they don't miss a deadline.
"At AFBC, we help our clients who are in IDRs complete the annual recertification application on time so they don't need to worry," said Molina. "While we still encourage them to log into their loan servicer portal regularly, we do reach out when it's time to get the recertification going. We recommend borrowers who need some help keeping their loans in mind to set regular reminders to check on them."
About American Financial Benefits Center
American Financial Benefits Center is a document preparation company that helps clients apply for federal student loan repayment plans that fit their personal financial and student loan situation. Through its strict customer service guidelines, the company strives for the highest levels of honesty and integrity.
AFBC is a member of the Association for Student Loan Relief (AFSLR), and each representative on the phone has received the Certified Student Loan Professional certification through the International Association of Professional Debt Arbitrators (IAPDA).
To learn more about American Financial Benefits Center, please contact:
American Financial Benefits Center
1900 Powell Street #600
Emeryville, CA 94608
SOURCE American Financial Benefits Center