Haunted by the Ghost of Lost Loans
By The FoolProof Team
Consequences of missing one payment
After a year of traveling and teaching Josh was ready to start law school in Boston. However, 2 days prior to starting he learned that his $12,000 loan application had been denied.
It turned out although Josh had re-paid his $15,000 college loan during last year he had forgotten to pay back a $400 loan.
Josh had to dip into savings, borrow money from a bank, his friends and his family. He eventually got the money together to pay for his law school and did not shatter his dream of becoming a lawyer.
Why did this happen?
Missing payments on your college loans can have nasty consequences. Not only can it keep you from getting loans to help you finance graduate school, it can be noted on your credit report, and that can haunt you years later when you try to make a big purchase like a car or a house.
Always pay on time. Keep on top of all payments, large or small. Sit down with your financial aid officer and go over all the details.