Student loans: Could filing for bankruptcy be best for borrowers?

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Student loan repayments are set to restart in October. What should U.S. borrowers know concerning where to find relief and what to avoid? Yahoo Finance's Rachelle Akuffo and Ronda Lee are joined by Student Defense Vice President and Chief Counsel Dan Zibel and Boies Schiller Flexner Partner Adam Shaw to talk about the 'predatory' nature of many private student loan companies and the for-profit colleges that partner with them. Zibel notes many accredited universities attract potential students by promising them opportunities and easy access to funding through private loans. Shaw encourages U.S. borrowers to reassess their finances and even consider whether “bankruptcy is right for them because there may be a path there now that was not there before.” Click here to watch more of Yahoo Finance's special coverage 'Student Loans: Smarter Strategies.'

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Planning for student loan payments: Top tipsWith student loan payments set to restart in October, many borrowers are confused about their student loans. 27 percent of borrowers say they do not know how to make payments, according to a survey from NerdWallet. NerdWallet Personal Finance Expert Kimberly Palmer and Bipartisan Policy Center Economic Policy Project Director Rachel Snyderman join Yahoo Finance Live to reveal their top tips for getting ahead of student loan payments as part of the weekly series 'Student Loans: Crisis or Crucial?' Due to inflation and other pressures, Palmer revealed that 'people are basically stressed' even before the payments begin. Palmer said, 'It really begins for people with number one, getting a hold on what you owe, logging into studentaid.gov, and just getting a sense of how you will work those payments into your monthly budget.' Snyderman explained, 'The cost of attaining a higher education degree has become unaffordable and unattainable, and so we really do need to look at common sense solutions ... a lot of our work is focused for example on strengthening the value of pell grants, ensuring that states are able to adequately fund their higher educations.'
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How student loan pause impacted credit scoresMillions of Americans are going to start repaying their student loans in October. Equifax Risk Advisory Leader Tom Aliff notes that during the deferral period, there was some improvement in credit scores because borrowers could use that money to pay down other debts. Aliff also notes that stimulus payments provided borrowers with a bit of a buffer to pay down some bills too. Aliff says 'the greatest impact to a credit score is definitely going to be payment history,' however, with delinquency reporting being delayed, credit scores won't necessarily see an immediate impact from a late payment.  Click here to watch more of Yahoo Finance's special coverage 'Student Loans: Smarter Strategies.'
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