How to Get Rid of Student Loan Debt

Dena Standley | November 30, 2022

Edited by Hannah Locklear

Many students accrue debt as they pursue an education hoping for a better future. But a lot of graduates have difficulty repaying their loans. Repayment may take several years and require a consistent income flow.

The elusive American dream includes earning a college degree, but it comes at a high cost. Approximately 43 million Americans are burdened with student debt. Sadly, the debt might reach six figures for borrowers who attended graduate or professional school.

While you have forgiveness options available, there's no simple way to get rid of student loans without paying. But SoloSuit has compiled seven ways to help you eliminate student loan debt below.

President Biden’s student loan forgiveness plan

Under the Biden administration, you may qualify for up to $10,000 in student loan debt forgiveness if you make less than $125,000 annually. If you qualified for a Pell Grant during your education, that amount might double to $20,000 in debt forgiveness.

It is important to remember that numerous legal challenges have been brought against the plan, complicating and delaying the rollout. Applications for student loan debt forgiveness have been paused until the legal challenges are resolved.

Check out our student loan forgiveness 2022 guide to learn more.

And now, without further ado, here are seven ways you can get out of student debt.

1. Check your eligibility for student loan forgiveness

The federal government offers several debt forgiveness programs that may help you eliminate some or all of your federal student loans. You may qualify for the following federal programs:

Public service loan forgiveness (PSLF)

Under the PSLF program, federal student loan debt may be forgiven after ten years for public sector employees, including government and nonprofit workers. To find out if you work for a qualifying employer and generate your PSLF form, use Federal Student Aid's PSLF Help Tool.

Total and permanent disability (TPD) discharge

Disabled borrowers may qualify for total forgiveness of their student loan debt. Based on existing data from the Social Security Administration, the Department of Education automatically identifies eligible TPD beneficiaries. Additionally, you can apply for Federal Student Aid (FSA) here by providing your doctor's documentation.

Closed school discharge

Sometimes, you may not have to repay your student loan debt if you were enrolled in a school that closed while you were there or shortly after you graduated. A closed school discharge will be available only if you meet specific criteria and apply to the Education Department. Some loans automatically discharge - if this is the case, your loan servicer will notify you.

Teacher loan forgiveness

You may qualify for forgiveness of up to $17,500 if you teach full-time for five academic years in a low-income school or educational agency. This policy affects both subsidized and unsubsidized Direct Loans and Federal Stafford Loans.

Borrower defense to repayment

Your federal student loan debt may be discharged if you qualify for a "borrower defense to loan repayment," sometimes shortened to "borrower defense." This involves the school misleading you or engaging in other misconduct, violating specific state laws. Depending on your circumstances, you might even be eligible for a refund. Visit the FSA website to learn more and start your application.

2. Take advantage of income-driven repayment plans

Income-driven repayment plans calculate repayment amounts according to a percentage of your discretionary income. The payment percentage may vary depending on the plan, income, and family size.

There are four income-driven repayment plans available:

• Pay As You Earn Repayment Plan (PAYE Plan) -10% - 20 years
• Revised Pay As You Earn Repayment Plan (REPAYE Plan) – 10% - 20 years (undergraduate study) and 25 years (graduate or professional study)
• Income-Contingent Repayment Plan (ICR Plan)- 20% - 25 years
• Income-Based Repayment Plan (IBR Plan) -10% (new borrowers-20 years) and 25 years (old borrowers)

3. Refinance your student loans at a low rate

When you refinance student loans, you take out a private loan to pay off the balance of one or more loans. It's ideally a good idea to refinance to a lower interest rate, which could help you pay off debt more quickly and save you hundreds in interest charges.

You can refinance your student loans privately depending on your loan amount, repayment term, debt-to-income ratio, and credit history. An excellent credit score and a low debt-to-income ratio will qualify an applicant for lower rates than one with bad credit and high debts.

For student loan refinancing, follow these tips:

• Build your credit score before applying
• Consider getting a co-signer with good credit
• Make comparisons between multiple lenders

Student loan refinancing may lead to lower interest rates and smaller payments. But there are some downsides to refinancing, like losing certain federal protections such as income-driven repayment plans, forgiveness programs, and administrative forbearance periods.

4. Consolidate your multiple student loans

If you are looking to lower your monthly payment amount or get access to federal forgiveness programs, direct consolidation loans allow you to consolidate (combine) your student loans. The Direct Loans and FFEL Program Loans qualify for consolidation under most federal student loan programs.

If you combine loans, they can't be reversed after a Direct Consolidation Loan is issued. Further, consolidated loans are considered paid off and no longer exist.

5. Reduce the principal by paying extra

In essence, you can pay the lowest amount toward your student debt without incurring late fees and other penalties by paying your student loan payment each month. Any additional payment you make on top of your monthly payment lowers your principal balance directly. As a result, you will reduce your debt and pay off your loans faster.

To ensure your additional payment goes toward the principal instead of future payments, notify your loan servicer in writing.

6. Forbearance or deferment may be an option

Forbearance and deferment may be options if you are facing short-term financial trouble. You can suspend your payments temporarily using either of these options. There are two things to consider when thinking about deferment and forbearance:

• Interest will accrue during the deferment or forbearance period. It means your loan balance will increase, and you will have to pay more over time.


• Deferments or forbearance will not count towards your loan forgiveness requirements if you seek forgiveness. Until you resume repayment, you will no longer be making progress toward forgiveness.

Consider paying the interest accumulated during a deferment or forbearance to avoid some of the consequences.

Here is an example:

7. Declare bankruptcy

You might discharge your student loan debt if you file bankruptcy, although the process can be difficult and costly. Bankruptcy also has a greater chance of forgiving private student loans than federal loans.

Only consider bankruptcy after exhausting all other options, such as income-driven repayment, forbearance, or deferment. In severe economic hardship caused by defaulted student loans, bankruptcy may be a viable option.

Remember, bankruptcy leaves a lasting mark on your credit history, making mortgage applications more challenging. If you are considering bankruptcy, seek nonprofit credit counseling and consult a bankruptcy attorney.

Respond to a debt lawsuit

If you are struggling to pay off your student loans, there is a chance you have other debts owed as well. When debt collectors come after you, SoloSuit can help you fight back to prevent a lawsuit and win in court.

Getting sued for debt is no joke. If you don’t respond within your state’s deadline, you will lose the case automatically when the court orders a default judgment against you. With a default judgment, debt collectors can garnish your wages and put liens on your property. This is where SoloSuit comes in.

You can respond to a debt lawsuit in minutes with SoloSuit’s help. All you have to do is respond to a few questions about your case, and our software will automatically generate a legal Answer document for you to file into the case.

Follow these steps while drafting and sending your Answer:

1. Respond to each claim listed against you.
2. Assert your affirmative defenses.
3. File the Answer with the court, and send a copy to the opposing attorney.

Watch the video below to learn more about these three steps:

What is SoloSuit?

SoloSuit makes it easy to fight debt collectors.

You can use SoloSuit to respond to a debt lawsuit, to send letters to collectors, and even to settle a debt.

SoloSuit's Answer service is a step-by-step web-app that asks you all the necessary questions to complete your Answer. Upon completion, we'll have an attorney review your document and we'll file it for you.

>>Read the FastCompany article: Debt Lawsuits Are Complicated: This Website Makes Them Simpler To Navigate

>>Read the NPR story on SoloSuit. (We can help you in all 50 states.)

How to answer a summons for debt collection in your state

Here's a list of guides for other states.

All 50 states.

• Alabama
• Alaska
• Arizona
• Arkansas
• California
• Colorado
• Connecticut
• Delaware
• Florida
• Georgia
• Hawaii
• Idaho
• Illinois
• Indiana
• Iowa
• Kansas
• Kentucky
• Louisiana
• Maine
• Maryland
• Massachusetts
• Michigan
• Minnesota
• Mississippi
• Missouri
• Montana
• Nebraska
• Nevada
• New Hampshire
• New Jersey
• New Mexico
• New York
• North Carolina
• North Dakota
• Ohio
• Oklahoma
• Oregon
• Pennsylvania
• Rhode Island
• South Carolina
• South Dakota
• Tennessee
• Texas
• Utah
• Vermont
• Virginia
• Washington
• West Virginia
• Wisconsin
• Wyoming

Guides on how to beat every debt collector

Being sued by a different debt collector? Were making guides on how to beat each one.

• Absolute Resolutions Investments LLC
• Accredited Collection Services
• Alliance One
• Amcol Clmbia
• American Recovery Service
• Asset Acceptance LLC
• Asset Recovery Solutions
• Associated Credit Services
• Autovest LLC
• Cach LLC
• Cavalry SPV I LLC
• Cerastes LLC
• Colinfobur
• Covington Credit
• Crown Asset Management
• CTC Debt Collector
• Cypress Financial Recoveries
• Delanor Kemper & Associates
• Eagle Loan of Ohio
• Educap
• Estate Information Services
• FIA Card Services
• Forster & Garbus
• Freshview Solutions
• Fulton Friedman & Gullace LLP
• Harvest Credit Management
• Howard Lee Schiff
• Hudson & Keyse LLC
• Integras Capital Recovery LLC
• Javitch Block
• Jefferson Capital Systems LLC
• LVNV Funding
• Mannbracken
• Mariner Finance
• Medicredit
• Michael J Adams PC
• Michael J Scott
• Midland Funding LLC
• Mullooly, Jeffrey, Rooney & Flynn
• Mountain Land Collections
• MRS Associates
• National Collegiate Trust
• Nationstar Foreclosure
• Northstar Capital Acquisition
• NCEP LLC
• NRC Collection Agency
• OneMain Financial
• Palisades Collection LLC
• Pallida LLC
• Paragon Revenue Group
• Pinnacle Collections Agency
• PMAB LLC
• Portfolio Recovery Associates
• Provest Law
• PYOD LLC
• Reunion Student Loan Finance Corporation
• Revenue Group
• Regents and Associates
• RSIEH
• Salander Enterprises LLC
• Second Round Sub LLC
• Security Credit Services
• Sherman Financial Group
• Suttell and Hammer
• T-Mobile
• Transworld Systems
• Tulsa Teachers Credit Union
• UCB Collection
• Velo Law Office
• Velocity Investments
• Waypoint Resource Group
• Weinberg and Associates
• Wolpoff & Abramson

Win against credit card companies

Is your credit card company suing you? Learn how you can beat each one.

• Bank of America
• Capital One
• Chase
• Credit One Bank
• PayPal Synchrony Card
• SYNCB/PPEXTR
• Synchrony Bank
• Target National Bank
• Wells Fargo

Going to Court for Credit Card Debt — Key Tips

How to Negotiate Credit Card Debts

How to Settle a Credit Card Debt Lawsuit — Ultimate Guide

Get answers to these FAQs

Need more info on statutes of limitations? Read our 50-state guide.

Why do debt collectors block their phone numbers?

How long do debt collectors take to respond to debt validation letters?

What are the biggest debt collector companies in the US?

Is Zombie Debt Still a Problem in 2019?

SoloSuit FAQ

If a car is repossessed, do I still owe the debt?

Is Portfolio Recovery Associates Legit?

Is There a Judgment Against Me Without my Knowledge?

Should I File Bankruptcy Before or After a Judgment?

What is a default judgment?— What do I do?

Summoned to Court for Medical Bills — What Do I Do?

What Happens If Someone Sues You and You Have No Money?

What Happens If You Never Answer Debt Collectors?

What Happens When a Debt Is Sold to a Collection Agency

What is a Stipulated Judgment?

What is the Deadline for a Defendants Answer to Avoid a Default Judgment?

Can a Judgement Creditor Take my Car?

Can I Settle a Debt After Being Served?

Can I Stop Wage Garnishment?

Can You Appeal a Default Judgement?

Do I Need a Debt Collection Defense Attorney?

Do I Need a Payday Loans Lawyer?

Do student loans go away after 7 years? — Student Loan Debt Guide

Am I Responsible for My Spouses Medical Debt?

Should I Marry Someone With Debt?

Can a Debt Collector Leave a Voicemail?

How Does Debt Assignment Work?

What Happens If a Defendant Does Not Pay a Judgment?

How Does Debt Assignment Work?

Can You Serve Someone with a Collections Lawsuit at Their Work?

What Is a Warrant in Debt?

How Many Times Can a Judgment be Renewed in Oklahoma?

Can an Eviction Be Reversed?

Does Debt Consolidation Have Risks?

What Happens If You Avoid Getting Served Court Papers?

Does Student Debt Die With You?

Can Debt Collectors Call You at Work in Texas?

How Much Do You Have to Be in Debt to File for Chapter 7?

What Is the Statute of Limitations on Debt in Washington?

How Long Does a Judgment Last?

Can Private Disability Payments Be Garnished?

Can Debt Collectors Call From Local Numbers?

Does the Fair Credit Reporting Act Work in Florida?

The Truth: Should You Never Pay a Debt Collection Agency?

Should You Communicate with a Debt Collector in Writing or by Telephone?

Do I Need a Debt Negotiator?

What Happens After a Motion for Default Is Filed?

Can a Process Server Leave a Summons Taped to My Door?

Learn More With These Additional Resources:

Need help managing your finances? Check out these resources.

How to Make a Debt Validation Letter - The Ultimate Guide

How to Make a Motion to Compel Arbitration Without an Attorney

How to Stop Wage Garnishment — Everything You Need to Know

How to File an FDCPA Complaint Against Your Debt Collector (Ultimate Guide)

Defending Yourself in Court Against a Debt Collector

Tips on you can to file an FDCPA lawsuit against a debt collection agency

Advice on how to answer a summons for debt collection.

Effective strategies for how to get back on track after a debt lawsuit

New Hampshire Statute of Limitations on Debt

Sample Cease and Desist Letter Against Debt Collectors

The Ultimate Guide to Responding to a Debt Collection Lawsuit in Utah

West Virginia Statute of Limitations on Debt

What debt collectors cannot do — FDCPA explained

Defending Yourself in Court Against Debt Collector

How to Liquidate Debt

Arkansas Statute of Limitations on Debt

Youre Drowning in Debt — Heres How to Swim

Help! Im Being Sued by My Debt Collector

How to Make a Motion to Vacate Judgment

How to Answer Summons for Debt Collection in Vermont

North Dakota Statute of Limitations on Debt

ClearPoint Debt Management Review

Indiana Statute of Limitations on Debt

Oregon Eviction Laws - What They Say

CuraDebt Debt Settlement Review

How to Write a Re-Aging Debt Letter

How to Appear in Court by Phone

How to Use the Doctrine of Unclean Hands

Debt Consolidation in Eugene, Oregon

Summoned to Court for Medical Bills? What to Do Next

How to Make a Debt Settlement Agreement

Received a 3-Day Eviction Notice? Heres What to Do

How to Answer a Lawsuit for Debt Collection

Tips for Leaving the Country With Unpaid Credit Card Debt

Kansas Statute of Limitations on Debt Collection

How to File in Small Claims Court in Iowa

How to File a Civil Answer in Kings County Supreme Court

Roseland Associates Debt Consolidation Review

How to Stop a Garnishment

Debt Eraser Review

Do Debt Collectors Ever Give Up?

Can They Garnish Your Wages for Credit Card Debt?

How Often Do Credit Card Companies Sue for Non-Payment?

How Long Does a Judgement Last?

​​How Long Before a Creditor Can Garnish Wages?

How to Beat a Bill Collector in Court