Advertisements

This Company Forgives All Your Student Loans

This company says it will forgive all your student loans. Here’s what you need to know.

Student Loan Forgiveness

Want student loan forgiveness?

There are many companies that promise to forgive your student loans. Obama Student Loan Forgiveness. Trump Student Loan Forgiveness. They pop up in Google searches. You’ll find them in internet ads and on billboards too. The promise is simple and works like this: pay them a fee and they will help you get student loan forgiveness. It sounds like a good offer, right? If you owe $100,000 of student loan debt and a company offers to forgive your student loan debt for $1,000, who wouldn’t pay that fee?

The problem is: none of this is real. None of it. No company can magically forgive your student loans.

Today In: Money

If you remember this, you will save so much time and money. Don’t pay an upfront fee, or any fee, for student loan forgiveness. Student loan forgiveness is offered through the federal government for your federal student loans. (State and local governments, for example, also may offer some form of student loan forgiveness too.)

These companies are trying to confuse you. There are several ways to receive student loan forgiveness, but they apply only to federal student loans. Public Service Loan Forgiveness and Teacher Loan Forgiveness are government programs that forgive student loans for public servants and teachers, respectively. Income-driven repayment plans also can offer student loan forgiveness for federal student loans. Importantly, you don’t need to hire a private company to enroll in, or apply to, any of these federal programs. They are all free and are available through the U.S. Department of Education.

Consolidate Student Loans

For a fee, other companies offer student loan consolidation, and promise to lower your monthly payments.

Remember this: Never pay a fee for student loan consolidation. Student loan consolidation is completely free through the federal government. However, student loan consolidation does not lower your interest rate or your monthly payment. With student loan consolidation, your monthly payment is equal to a weighted average of the interest rates on your current federal student loans, rounded up to the nearest 1/8%. Visit Studentloans.gov or call 1-800-557-7394 for more information on student loan consolidation.

Student Loan Refinancing

If your goal is to lower your student loan interest rate and monthly payment, the best strategy is to refinance your student loans. You can refinance federal student loans, private student loans or both. Student loan refinance has no fees and there is no limit how often you can refinance. So, even if you already refinanced your student loans, you can refinance again if you can qualify for a lower interest rate. Since the federal government does not refinance student loans, you can refinance with private lenders. You’ll need a good credit score, stable and recurring monthly income, and a low debt-to-income ratio.

If you don’t qualify on your own, you can apply with a qualified co-signer to help you get approved and even get a lower interest rate. While you’ll no longer have access to forbearance or income-driven repayment, many student loan refinance lenders allow you to pause payments if you lose your job or face economic hardship.

Student loan refinance rates have dropped absurdly low and are now as low as 1.81%. You can check your rate for free with no impact to your credit score is about two minutes. Then, if you like your new interest rate, you can apply online in about 10-15 minutes.

This student loan refinance calculator can show you how you can save.

For example, let’s assume you have $50,000 of student loan debt with an 8% interest rate and 10-year repayment term. If you refinance student loans with a 2% interest rate, you would save $147 each month and $17,588 total.

Follow me on Twitter or LinkedIn. Check out my website or some of my other work here.

Zack Friedman is the bestselling author of the blockbuster book, The Lemonade Life: How To Fuel Success, Create Happiness, and Conquer Anything. Apple named The Lemonade Life one of “Fall’s Biggest Audiobooks” and a “Must-Listen.” Zack is the founder and chief executive officer of Make Lemonade, a leading personal finance company that empowers you to live a better financial life. He is an in-demand speaker and has inspired millions through his powerful insights. Previously, he was chief financial officer of an international energy company, a hedge fund investor, and worked at Blackstone, Morgan Stanley, and the White House. Zack holds degrees from Harvard, Wharton, Columbia, and Johns Hopkins.

Source: This Company Forgives All Your Student Loans

 

1.17M subscribers
The U.S. has roughly $1.57 trillion in student debt. Some Democrats want to create student loan forgiveness plans that make that, or at least a large portion of it, disappear. Canceling student debt has gained steam with 2020 candidates vying for the votes of young college-educated Americans. On April 23, Sen. Elizabeth Warren, D-Mass. was the first 2020 presidential candidate to unveil a plan to erase large portions of student debt. But what would it actually take to eliminate a big chunk of government-held student debt, and is it really a good idea? » Subscribe to CNBC: http://cnb.cx/SubscribeCNBC » Subscribe to CNBC TV: http://cnb.cx/SubscribeCNBCtelevision » Subscribe to CNBC Classic: http://cnb.cx/SubscribeCNBCclassic About CNBC: From ‘Wall Street’ to ‘Main Street’ to award winning original documentaries and Reality TV series, CNBC has you covered. Experience special sneak peeks of your favorite shows, exclusive video and more. Connect with CNBC News Online Get the latest news: http://www.cnbc.com/ Follow CNBC on LinkedIn: https://cnb.cx/LinkedInCNBC Follow CNBC News on Facebook: http://cnb.cx/LikeCNBC Follow CNBC News on Twitter: http://cnb.cx/FollowCNBC Follow CNBC News on Instagram: http://cnb.cx/InstagramCNBC #CNBC #StudentDebt #StudentLoans Student Loan Forgiveness: Can The US Erase Student Debt?

Advertisements

Peloton IPO Disappoints, But Fintech Lender Oportun Gains 8% In Nasdaq Debut

Oportun Financial, a fintech company that offers low-cost loans to those it calls “credit invisible,” raised $94 million in its IPO on Thursday. The company, which offered 23% of its outstanding shares to the public, debuted on the Nasdaq under the ticker OPRT.

The trading day’s most anticipated IPO, fitness startup Peloton, ended in disappointment after the stock closed 11% lower than its IPO price, but Oportun closed its first day of trading with an 8% gain and showed no signs of slowing down in the hours immediately following the market’s close.

Oportun sold 6.25 million shares (a quarter of which were from insiders) priced at $15, on the lower end of its target range of $15 to $17.  Shares jumped to $16.43, or nearly 10%, initially, but as of 2:00 p.m. EST were trading closer to $16. Shares had climbed back $16.17 by 4:00 p.m. EST.

Today In: Money

Oportun’s focus is the 100 million American borrowers with no credit or limited credit history, as well as those it says have been “mis-scored” by traditional methods that do not accurately reflect creditworthiness. The company brought in nearly $500 million in revenue last year, up from $360 million in 2017.

Oportun was founded in 2005 to serve the underbanked Hispanic community and once operated as Progreso Financiero. It has since broadened its mission and disbursed more than $7.3 billion in loans ranging from $300 to $9,000 to more than 1.5 million customers, about half of whom did not have a FICO score when they were awarded their first loan.

The San Carlos, California-based company uses traditional credit bureau scores as well as alternative data, like a borrower’s mobile phone and utility payment history, to assess creditworthiness, much in the same way that startups like Tala, which provides micro loans to the unbanked, and Kabbage, which provides small business loans, do.

Fintech IPOs have been few and far between in recent months, despite a public market newly saturated with tech giants like Slack, CrowdStrike, Uber, and Peloton. Only three fintech unicorns went public last year, according to CB Insights, and just one in the United States: online home improvement lender GreenSky, which raised $800 million in its May 2018 IPO. Its shares have fallen more than 70% since its offering.

According to a PitchBook analysis, none of the top ten most valuable fintech companies, including Stripe, Coinbase, Robinhood, and TransferWise, all of which are at least ten times Oportun’s size, are close to a public offering.

“Our decision to go public was driven in large part by our desire to get the capital we need to continue the pursuit of our mission,” Oportun CEO Raul Vazquez said. He says the company is planning to strengthen its presence in the 12 states in which it operates, expand to new markets on the East Coast, and launch a credit card product in the first quarter of 2020. Prior to its IPO, Oportun had raised $266 million from the likes of Fidelity Management and Institutional Venture Partners.

Oportun’s offering is expected to close on September 30. Barclays, J.P. Morgan Securities, and Jefferies were the lead underwriters.

Follow me on Twitter. Check out some of my other work here. Send me a secure tip.

I’m an assistant editor on Forbes’ Money team, covering markets, fintech, and blockchain. I recently completed my master’s degree in business and economic reporting at New York University. Before becoming a journalist, I worked as a paralegal specializing in corporate compliance and the Foreign Corrupt Practices Act.

Source: Peloton IPO Disappoints, But Fintech Lender Oportun Gains 8% In Nasdaq Debut

The Wall Street Journal created this video as part of their Financial Inclusion Challenge. Oportun was a finalist for using technology to help low-income workers build credit.

Microloan Startup Tala Raises $110 Million In New Funding

5.jpg

Tala, a Los Angeles startup that makes microloans to consumers and small business owners in emerging markets, is announcing today that it has raised $110 million in funding. The new Silicon Valley venture capital firm RPS Ventures, cofounded by Kabir Misra, former managing partner at Softbank’s $100 billion Vision Fund, is leading the round. Tala’s backers include PayPal, billionaire Steve Case’s VC firm Revolution, Chris Sacca’s Lowercase Capital and Data Collective, among others. The new funding values Tala at nearly $800 million, according to an investor. Tala has raised more than $200 million in equity investment to date.

Shivani Siroya, 37, founded Tala in 2011 after stints as an investment banking analyst and as an analyst at the U.N. Population Fund, where she did socioeconomic research. Tala’s mobile app lets people in Kenya, the Philippines, Tanzania, Mexico and India take out small loans ranging from $10 to $500. Most use the app to invest in their small businesses, like shops and food stands. To evaluate borrower risk, Tala uses cell phone data instead of credit scores, looking at loan applicants’ habits, like whether they pay their phone bills on time.

Siroya first launched Tala’s app in Kenya in 2014. Today it has more than four million customers who take out three to six loans a year at a 10% average monthly interest rate. Its 600 employees are spread across offices in Santa Monica, Kenya, Mexico, the Philippines and India. The company made Forbes’ Fintech 50 list earlier this year.

Tala’s closest competitor is Branch, a five-year-old San Francisco company led by Matt Flannery, who previously cofounded donation crowdfunding platform Kiva.org. Branch has four million customers and an average monthly interest rate of 15%. Earlier this year, it raised $70 million in equity financing from investors like Visa and Andreessen Horowitz, plus $100 million in debt. Tala also raised $100 million in debt over the past year to help fund its loans.

With its new capital, Tala plans to make a bigger push into India and expand to new countries, potentially in regions like West Africa, Southeast Asia and Latin America. It also plans to launch new products. In Kenya, Tala has already tested a micro health insurance offering that would cover customer visits to a hospital. It expects to launch its first microinsurance product in the next 12 months. It has also piloted a financial education and coaching program, and it plans to test additional products over the next year.

Follow me on Twitter or LinkedIn. Check out my website. Send me a secure tip.

I cover fintech, cryptocurrencies, blockchain and investing at Forbes. I’ve also written frequently about leadership, corporate diversity and entrepreneurs. Before Forbes, I worked for ten years in marketing consulting, in roles ranging from client consulting to talent management. I’m a graduate of Middlebury College and Columbia Journalism School. Have a tip, question or comment? Email me jkauflin@forbes.com or send tips here: https://www.forbes.com/tips/. Follow me on Twitter @jeffkauflin. Disclosure: I own some bitcoin and ether.

Source: https://www.forbes.com/

Trust: How do you earn it? Banks use credit scores to determine if you’re trustworthy, but there are about 2.5 billion people around the world who don’t have one to begin with — and who can’t get a loan to start a business, buy a home or otherwise improve their lives. Hear how TED Fellow Shivani Siroya is unlocking untapped purchasing power in the developing world with InVenture, a start-up that uses mobile data to create a financial identity. “With something as simple as a credit score,” says Siroya, “we’re giving people the power to build their own futures.” TEDTalks is a daily video podcast of the best talks and performances from the TED Conference, where the world’s leading thinkers and doers give the talk of their lives in 18 minutes (or less). Look for talks on Technology, Entertainment and Design — plus science, business, global issues, the arts and much more. Find closed captions and translated subtitles in many languages at http://www.ted.com/translate
Follow TED news on Twitter: http://www.twitter.com/tednews
Like TED on Facebook: https://www.facebook.com/TED

 

Reaching Financial Independence Through Personal Loans in 4 Steps – Jeff Rose

1.jpg

As a Certified Financial Planner (CFP), I’ve spoken to people who are ready to take better control of their debt, and their financial situation in general, but aren’t sure where to start. There are times when taking out a personal loan can be an advantageous first step – even if the idea of borrowing makes you uneasy. Maybe you have multiple debts to consolidate or need capital to complete an important project. Whatever your reason, the influx of cash that personal loans offer can be used to achieve a number of goals…..

Read more: https://www.discover.com/personal-loans/resources/learn-about-personal-loans/financial-independence/?cpn=content:Pocket

 

 

 

Your kindly Donations would be so effective in order to fulfill our future research and endeavors – Thank you
https://www.paypal.me/ahamidian

%d bloggers like this:
Skip to toolbar