Does anyone know the penalties of defaulting on a student loan?

Answer I don't know about legalities but defaulting on a loan of any kind seriously screws up your credit.Obviously, you have a college education and you're now an adult. Your credit rating is extremely ... Read More »

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STUDENT LOAN QUESTION: I was curious about whether you could be put in jail for defaulting on student loans?

You cannot be put in jail for defaulting on your loans because there is no debtor's prison in the U.S. Also, you cannot have your education revoked because of bad debt. However, your Alma Mater may... Read More »

Can someone be sent to jail for defaulting on the student loan?

No. Debtor's prison in the United States was outlawed in about 1833. Now - you can still go to jail for things that are related to refusing to pay your debts, like, for example, if you are convicte... Read More »

Is defaulting on a payday loan against the law?

If a borrower defaults on his payday loan, he will not be arrested. The payday lender may debit the borrower's bank account for the funds, as stated in the contract, but if the funds are not in the... Read More »

Can a student loan issuing company (private bank) force you to pay off the student loan before you graduate?

If you are still in school no. It is called a deferment. They can only make you pay if your at in school 6 months later. That is stated in all student loan contracts. Go to your financial aid depar... Read More »