Call

(865) 384-5613

Email

[email protected]

Schedule a Call

calendly.com/jonpowers/30min

Application

apply.onetrusthomeloans.com/#/[email protected]

Add To Contacts

Download vCard

  

Student Loans Resume on October 1st – What Are Your Options?

If you currently have outstanding student loans, the Financial Responsibility Act of 2023 will likely negatively impact you directly, and it may also directly impact your ability to buy your first home, upgrade to a bigger and better home, or access the equity in your existing home to find relief for your monthly budget.
It's likely that you haven't made a payment on your student loans since 2020. With rising inflation, higher credit card and auto loan debt, the impact could be very damaging.
If you're currently pre-approved to buy or refinance, this could invalidate your pre-approval.
But it's not all doom and gloom - there are ways to mitigate the impact of this "unpausing" on your monthly payments.
****The calculator to the right (if you are on a desktop computer), or below this (if you're on your Smartphone), will help you determine if you can lower these monthly student loan payments before they even start in October. Before using the calculator, I recommend logging into your student loan servicer's website, so you know what your monthly payments will be on your loans when they resume October 1st.
I have partnered with LoanSense to help you take advantage of the federal student loan options available to you. LoanSense is a consumer advocacy group that helps student loan borrowers take advantage of these programs to save on their monthly payments, or to get them on the right track to loan forgiveness options that may be available for their loans.
Here are examples of student loan options:
1. Standard Repayment Plan - Payments are a fixed amount that ensures your loans are paid off within 10 years (or within 10-30 years for consolidation loans). This is not an income-driven plan. It is not a good option for those seeking Public Service Loan Forgiveness (PSLF).
2. Graduated Repayment Plan - The graduated repayment plan starts with lower payments that increase every two years. Payments are made for up to 10 years (between 10 and 30 years for consolidation loans). This is not an income-driven plan, which means you will not qualify for Public Service Loan Forgiveness or interest relief as you would on an income-driven repayment plan.
3. Extended Repayment Plan - Payments may be fixed or graduated and will ensure your loans are paid off within 25 years. If your extended plan is graduated, then payments will rise over time. You will pay back significantly more interest than on a 10-year plan. This is not an income-driven plan, which means you will not qualify for Public Service Loan Forgiveness or interest relief as you would an income-driven repayment plan.
4. Revised Pay as You Earn Repayment Plan (REPAYE) - This is an income-driven plan. Your monthly payments will be 10 percent of your discretionary income. Payments are recalculated annually based on your updated income and family size. Unlike PAYE, though, the monthly payment can exceed the 10-year standard plan payment.
5. Pay as You Earn Repayment Plan (PAYE) - This is an income-driven plan. Your monthly payments will be 10 percent of discretionary income, but never more than you would have paid under the 10-year Standard Repayment Plan. Payments are recalculated annually and are based on your updated income and family size.
6. Income-Based Repayment Plan (IBR) - This is an income-driven plan. Your monthly payments will be either 10 or 15 percent of discretionary income (depending on when you received your first loans), but never more than you would have paid under the 10-year Standard Repayment Plan. Payments are recalculated annually based on your updated income and family size.
7. Income-Contingent Repayment Plan (ICR) - This is an income-driven plan. Your monthly payment will be the lesser of 20 percent of discretionary income or the amount you would pay on a repayment plan with a fixed payment over 12 years, adjusted according to your income.
Payments are recalculated annually based on your updated income and family size.
8. Income-Sensitive Repayment Plan - This is an income-driven plan. Your monthly payment is based on annual income, but your loan will be paid in full within 15 years.
9. Deferment - You are in deferment on your 6-month grace period. Interest accrues during this period. This means your balance will increase, and you’ll pay more over the life of your loan.
Any period of deferment will not count toward loan forgiveness. We recommend you enter into an income-driven repayment plan to lower your payment.
10. Forbearance - You are in forbearance, and interest accrues during this period. This means your balance will increase, and you’ll pay more over the life of your loan. Any period of forbearance will not count toward loan forgiveness. We recommend you enter into an income-driven repayment plan to lower your payment.

Reviews

"Jon Powers was wonderful to work with! He was always available when we had questions. He was always prompt when returning phone calls or messages. Jon helped us to understand the process and kept us informed on what to expect on each step of the process. I would highly recommend Jon Powers when looking to finance a home build or purchasing a home. You can't go wrong working with him!"

lane roberson

"Thank Jon Powers and your team for providing great communication, service and support during our loan process. Providing us with a portal and a contact person to help us navigate our construction loan was so easy. I highly recommend Jon and his team for a smooth mortgage experience!"

kmarlette

"I recently had the pleasure of working with Jon Powers to secure a mortgage for my new home construction loan, and I cannot recommend him highly enough. From start to finish, he was professional, knowledgeable, incredibly helpful and patient. Mr. Powers took the time to understand our unique financial situation, and worked tirelessly to find the best options for us. He was always readily available to answer our many questions and provided guidance throughout the process, which made the entire experience less stressful. Overall, we’re extremely satisfied with our experience. He is a true professional and a pleasure to work with. If you are in need of a Lender, I highly recommend giving him a call. You won't be disappointed! "

jennifer encarnacion

"I recently had the pleasure of working with Jon Powers who demonstrated exceptional attention to detail and efficiency in closing loans. Throughout the process, he remained communicative and responsive, making sure that all of my clients questions were promptly answered and concerns were addressed. Jon’s ability to quickly and accurately navigate the loan process allowed my clients to close on their loan faster than I had anticipated, which was a great relief. Jon’s professionalism and expertise made the entire process stress-free, and I would highly recommend him to anyone in need of a loan officer who truly cares about his clients."

michelle garner brad

"Jon was readily available for questions/concerns every step of the way. We hit a little snag right before closing, but he was all over it and got us to closing as scheduled. Not an easy feat in today’s market. Would highly recommend!"

thomas aldmon

"I recently purchased my first home, and my experience working with Jon Powers and his team was terrific! He was always quick to respond, very knowledgeable and made the process a breeze. Excellent service!"

colten dunn

"Jon was so easy to communicate with, and explains everything concisely and very clearly. He’s honest and straightforward. As a real estate agent, I would recommend him to all my clients and have used him personally on several loans. Thanks for making the lending process as smooth and easy as possible!"

wafa sulaiman

"OneTrust helped me with my first home purchase and I couldn’t be happier. Working with Jon Powers was an absolute pleasure. He was courteous, prompt and knowledgeable quickly answering any of my questions and making the home buying process as smooth as possible given the circumstances. I would absolutely recommend this company to anyone and will certainly use them again in the future."

dorothy a

"We were both remote and Jon did a wonderful job with our loan. He did almost everything online which helped us tremendously. He and his team were easily available any time we had questions."