Do I still owe student loans if I can't use my college credits?
My credits didn't transfer to the new school so my time there was pointless. I'll have to rack up thousands more debt just to get my degree. My old school is closed down but I doubt they would give the money back anyway. Does student loan forgive debt when you can't use the credits?
- nancyLv 710 months ago
In most cases, you are required to repay the loans even if you did not finish the program, are not satisfied with the education, were not able to transfer the credits, or were unable to get a job. Essentially, if you took the classes, then you have to pay for them. There is an exception to this if the school closed, but there are restrictions, and the discharge only applies to federal student loans, not private loans or loans from the school itself. You can find full information about the requirements for qualifying for a discharge and applying for one at https://studentaid.ed.gov/sa/repay-loans/forgivene...
- diLv 410 months ago
Yes, you still owe the money you borrowed - unless your former school is covered by a U.S. Department of Education forgiveness program. You would have to contact the U.S. Department of Education about that possibility - but since it sounds like you ceased attendance PRIOR to the school closure, chances are slim - the school was accredited while you attended (otherwise you would NOT have the student loans). Speak to the people at your new school about all your credits - if you are enrolling in a program completely different from what you were taking before, your credits might not apply to your new program. If your prior credits include general education credits (ie, English, Algebra, etc) you could request an appointment with the new school's academic dean to find out WHY none of your credits are being accepted.
- Anonymous10 months ago
Contact a lawyer about declaring bankruptcy on your federal student loan and document that your school closed down and that the credits that you received are unaccredited and other words worthless and transferring over to a new school. The federal judge will likely rule that in such a case that your federal student loan will be absolved. There is also in place a new federal student loan program where you pay a very small amount based upon your income and they forgive the rest look into this immediately.
- RobertLv 710 months ago
Nope. Just as a bank will not forgive an auto loan if you buy a shift car that you can't drive, instead of an automatic. It was your mistake not to investigate whether the credits would transfer before you enrolled in the other school.
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- Rick BLv 710 months ago
Of course you still owe that money.