Private loan for school?

Having issues deferring my private loan while I go to graduate school.?

• I'm about to start going to graduate school. I have no issues deferring my Stafford loans, but of course, my private loan people say suddenly, "You lost your right to defer your loan since you've been out of school for more than a year." Really? I looked over my paperwork and it doesn't say that. In fact it doesn't even mention anything of the sort. What can I do to get it through their heads that I'm going back to school and can't afford to pay their loans on a almost no income basis? Also if it makes a difference, my original student loan originator went bankrupt and the loan was taken over by another company, with absolutely the worst customer service on the planet. It's really frustrating me, all I'm trying to do is be responsible. Any ideas?

• Answer:

  Private student loans are not governed by the Feds and are totally unregulated. Which basically means they can do or say anything they want regarding the terms of your loan. There is not much you can do... The variable interest rate is going to kill you.. which means your payments are going to climb and climb and it may be a wiser choice for you to pay on them anyway (rather than defer)... it may be you defer enrolling in grad school for a year or two and work really work hard at paying off that private loan because it's not going to get any better and they aren't going to suddenly change their mind. My advise is to move into the folks basement (or whoever cosigned the loan for you) and work full time and put EVERY PENNY you earn into paying off that stupid thing.. then go to grad school and get on with your life... oh and don't take out any more private student loans, of course. Good luck