Are you a student that has gone a little wild with your credit cards, auto loans, or personal loans? Have you ran up a nice sized tab to many different creditors that are now asking for their money? This happens quite often, since there is not a class on how to manage your finances in college. You do have student debt consolidation options and here are a few of them.
The best way to get rid of your debt is to cover it with student loans. If you can get a co signer or if you have really good credit you can get extra student loan money to use to pay off your debts. This is the best way to do it because you will not have to worry about the payments until after you graduate and the interest rate will be incredibly low compared to any other option.
If you cannot get a student loan to help you with your debt problem, then you can try to get one of the colleges financial professors to help you work with your creditors. They might even help you for free. They will be able to negotiate with your creditors to lower your interest rates, erase late payment fees, and get you a lower monthly payment. Then, it will just be up to you to make sure you stick to the payment schedule they workout to get back on track financially.
There is one other option and that would be to use a not for profit debt consolidation service. They will also work with your creditors and get you a lower payment, but they will charge you a fee. The good thing about a service, though, is that you will be making a monthly payment to them and they will disburse it to your creditors. This can save you a lot of time.
The bottom line is that you are too young to file bankruptcy, not by law, but it is just a bad idea at such a young age. You are also a student so your mind needs to be on your studies not your finances and you have to remember that you do have student debt consolidation options.
