05.12.09 | Defaulted Student Loan Consequences (2 of 2)
For those students who’ve defaulted on their federal students loans the price can be steep. Below are some additional consequences which may arise if your loans fall into default.
Potential Defaulted Loan Consequences
| You’ll lose your student loan deferment options |
| You won’t be eligible for additional federal student aid |
| Your credit rating will be damaged for several years because defaulted loans are reported to national credit bureaus |
| You’ll have difficulty qualifying for credit cards, a car loan, a mortgage, or renting an apartment (credit checks are required to rent an apartment) |
| You may have a portion of your wages garnished (withheld) |
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Filed under: Financial Aid, Student Loans
