LANSING, Mich. – As thousands of Michigan college students celebrate their graduation this spring, the Michigan Department of Treasury reminds new graduates that help is available when facing challenges in navigating the loan repayment process.
Treasury is offering a one-year pilot program — which continues through Jan. 1, 2018 — to assist delinquent student loan borrowers by providing free financial literacy information and one-on-one counseling.
The program is available through a partnership with Inceptia, a division of the National Student Loan Program.
“Many new college graduates will soon have to make their first student loan payments,” said Anne Wohlfert, administrator of Treasury's Student Financial Services Bureau. “Student loans can be complicated and hard to understand, which often leads new borrowers to get behind on their loan payments. This program provides the assistance and guidance needed so those who have become delinquent on their loans can follow a path toward financial success.”
Michigan student loan borrowers currently delinquent on their loans can opt-in to the program. Participants work with counselors to develop a repayment plan that helps them return to good financial standing. In addition, they learn how to create a household budget and better understand their credit score.
To qualify, individuals must have federal student loans from a public or private nonprofit Michigan higher education institution, currently be delinquent on their student loans and agree to provide their credit score twice during the pilot period.
For more information about the program, click on the link within this article.