While Tuition Continues to Increase, Student Loan Borrowers May Find Relief in IDRs, Says Ameritech Financial

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May 04, 2018, 08:00 ET

ROHNERT PARK, Calif., May 4, 2018 /PRNewswire/ -- Tuition has been increasing for many years, which some attribute to decreases in state funding. It's true that after the great recession, states pulled back on funding institutions and tuition, as well as student loan balances, rose. Now, with all the attention on rising student debt, some may wonder why states don't put funding back into colleges in an attempt to reduce student debt. Ameritech Financial points out that lowering tuition and/or debt for future students will not affect current borrowers. The company helps federal student loan borrowers apply for federal income-driven repayment plans intended to reduce payments.

"There are so many theories about why student debt has gotten so bad, and we can't agree on a solution," said Tom Knickerbocker, executive vice president of Ameritech Financial. "All we can do is try to manage the debt we have. At Ameritech Financial, we aim to help borrowers do just that."

Assuming increased state funding will help reduce student borrowing, why aren't states doing so? They might not think colleges need their funding. A major criticism of colleges is their use of money. While they increase tuition for students, they build cosmetic and non-academic buildings, such as student centers, sports facilities and dining halls.

However, states may not examine the source of those funds. Many such buildings might be funded by donors, giving a false impression that schools don't need more state funding. Meanwhile, students must pay increasing tuition and all other costs associated with attending any given college.

Federal student loan borrowers who struggle to make their payments may find relief in federal repayment plans. Income-driven repayment plans (IDRs), for example, base payments on income and family size. Such plans may also end in forgiveness after 20 to 25 years in the program if there is any balance left to forgive. Ameritech Financial is a private company that helps borrowers understand IDRs and complete the application and yearly recertification paperwork.

"In the end, it might not matter why student debt is high, just that borrowers can manage the debt while still living their lives," said Knickerbocker. "IDRs can potentially reduce payments enough that borrowers could pursue other financial goals. At Ameritech Financial, we assist in applying for IDRs that we hope, assuming our clients get enrolled, will ease some financial stress they may have."

About Ameritech Financial

Ameritech Financial is a private company located in Rohnert Park, California. Ameritech Financial has already helped thousands of consumers with financial analysis and student loan document preparation to apply for federal student loan repayment programs offered through the Department of Education.

Each Ameritech Financial telephone representative has received the Certified Student Loan Professional certification through the International Association of Professional Debt Arbitrators (IAPDA).

Ameritech Financial prides itself on its exceptional customer service.

Contact

To learn more about Ameritech Financial, please contact:

Ameritech Financial
5789 State Farm Drive #265
Rohnert Park, CA 94928
1-800-792-8621
[email protected]

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SOURCE Ameritech Financial