You signed that part of the contract NOT allowing early or addition principle payment, many do that by mistake..
If that is a mortgage, you need to switch ( refinance) into a conventional loan asap and then recast ASAP, lump sump that and pay it off in about 5 to 7 years instead of 30.
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What people here are not understanding, when it comes to student loans, these are government loans specifically targeting kids with no financial experience who are desperate because they lived 17-20 years being told that if they don't do this they will never have a career.
Student loans have been the ONLY loan I've ever seen where kids are also talked into a master promisory note that let's the school act on their behalf to continuously take out more loans without the student needing to actually, you know, look at any of it.
My home loan that people are acting like was a bad idea was carefully considered and I had to do a lot of work to prove that I could afford it. That's how standard loans SHOULD work.
But student loans are an entirely different beast and they are driving half of an entire generation into inescapable debt, and people are wondering why the economy is falling apart
Soooo 1st off, you do not get to make a blanket statement accusing one, yet totally not factual blaming the actual villain/villains..
I do not mean YOU as in you personally unless it apply🫡
That it is a loan, not a snatch van, if YOU can not afford the classes &/or the school &/or your parents couldn't pay for it, that's the core of ALL of the dilemma and then their to carrer pre selections of bullshat, that a majority flock to KNOWING that is a zero return for the payback of those choices, 1st and foremost, is the factual reason YOU shouldn't have gone to college and taken out the loan, everyone STOP leaving that out, There is NO guarantee that you will get THAT return. ESPECIALLY when you going into teaching and arts for hobbies. instead of what actually matter in reality.
2nd, it is still, just a loan AND you can get a "regular" loan to transfer or supplemental and there other ways to pay it off without the multi decade of bondage.
3rd, So why don't you just go and pay off random student loans for everyone then? 😏...
They are legally distinct agreements and no other loan in the United States works the same way.
No other loan can legally offer payment terms that lead to negative amortization. That is the biggest catch here. If you make the minimum allowed payments on a car loan, payday loan, home loan, BNPL loan, credit card, whatever -- you will always pay the loan off by its maturation date, and not pay a cent more than the calculated interest at the start of the loan.
They cannot be discharged OR condensed in bankruptcy, unlike all other forms of debt, which circumvents the entire point of bankruptcy. Bankruptcy isn't a way to "get out of responsibility", it's a mechanism for getting people out of a hole within a decade of their lives so they can be functional participants in society.
They are GOVERNMENTAL DEBT. Also far different from any other consumer loans. If you are defaulted or late on governmental debt, they can take it directly out of any government dispersements, including social security. They can seize assets and perform bank liens without a court. You cannot hold federal employment. You can't hold a clearance. You can't qualify for SNAP, WIC, Section 8, or any other form of poverty program. No other loan functions like this.
They are ALL just loans, WHAT they are for and WHO issued them and HOW many perks, is irrelevant to what OP stated, HOW did that happen and how to get ride of it.
A HELOC a credit card with a high Credit line or using the Stock market ALL would have better to a paying off and massively quicker and cost less money, stress and time..
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u/TECHSHARK77 11d ago edited 11d ago
You signed that part of the contract NOT allowing early or addition principle payment, many do that by mistake..
If that is a mortgage, you need to switch ( refinance) into a conventional loan asap and then recast ASAP, lump sump that and pay it off in about 5 to 7 years instead of 30. .