[I'm, Ron Burgundy?]

Okay, so I’m in the same boat as about 75% of recent college graduates: I had to acquire a tremendous amount of student loan debt in order to get my education and am now falling behind on payments. I have most of my loans in a forbearance with the exception of one private loan that is not eligible. In recent months I have hit some financial difficulties due to my landlord being foreclosed on and having to move at last minute and a death in the family across country that I had to attend the funeral. In the end, I am behind on my payments and Sallie Mae is an unforgiving, loan sharking b!$*h who doesn’t want to hear any excuses.

Considering these are Federal Loans can this hinder my licensing ability if I fall too far behind? It would be a shame that I acquired all this debt, studied so hard, only to be denied a license in the end. Ironically, the purpose of getting into the debt in the first place was to achieve this goal. Does anyone have any information or past experience with this?

"If you're going through hell, keep going"
- Winston Churchill

"I've missed over 9,000 shots in my career. I've lost over 300 games. 26 times I've been trusted to take the game winning shot, and missed. I've failed, over and over and over again in my life. And that is why, I succeed."
- Michael Jordan

BEC: (54), (72), 80 (losing credit on 02/02/15 - nervous)
AUD: 78
REG: (74), 91
FAR: (71)

[san4596]

I would work something out with Sallie Mae. You have many options that you should look into. Payments may be limited to either 8% or 10% of your monthly income, but you have to fill out the paperwork to apply for it. Another option is interest only payments. Go to the web-site or call them to explain and work out a plan. The only option you have is to pay them off.

CPA EXAM: DONE!!!!
Ethics Course: Passed
Application Mailed: 3/16/15
Professional Conduct Exam: 97
Certification Date: 4/2/15!!!

[san4596]

I would work something out with Sallie Mae. You have many options that you should look into. Payments may be limited to either 8% or 10% of your monthly income, but you have to fill out the paperwork to apply for it. Another option is interest only payments. Go to the web-site or call them to explain and work out a plan. The only option you have is to pay them off.

CPA EXAM: DONE!!!!
Ethics Course: Passed
Application Mailed: 3/16/15
Professional Conduct Exam: 97
Certification Date: 4/2/15!!!

[Anonymous]

Like @san4596 said, there should be something you can work out that you can literally pay, even if it 'bout kills you…some limit of current income or something. Might not be able to pay your other bills…but the payment can't exceed the income, I'm quite sure.

However, to answer your question, I know in KY, you have to demonstrate that your student loans are current before you can be licensed or renew your license…so I assume that's a pretty nationwide rule, since KY tends to be one of the more lax states.

[Anonymous]

Like @san4596 said, there should be something you can work out that you can literally pay, even if it 'bout kills you…some limit of current income or something. Might not be able to pay your other bills…but the payment can't exceed the income, I'm quite sure.

However, to answer your question, I know in KY, you have to demonstrate that your student loans are current before you can be licensed or renew your license…so I assume that's a pretty nationwide rule, since KY tends to be one of the more lax states.

[Anonymous]

JaredSchultz42- Ouch. Student loans can be a beast. I would recommend calling your state board.

[Anonymous]

JaredSchultz42- Ouch. Student loans can be a beast. I would recommend calling your state board.

[acamp]

Sounding like everyone's problem but yours, I'd take a closer look at your finances and get things under control. I mean, sure schools do zero to discourage giant student loans, but the whole, HAD TO acquire tremendous debt in order to get MY EDUCATION is a sad part of the culture. Once upon a time, people didn't attend a super expensive school because… ready for this… they couldn't afford it.

Oh and I don't think it would impact licensing, its a government'ish debt, but still, licensing doesn't do credit checks or anything, think the only non-compliance thing that can hurt you is not doing your taxes (outside of criminal activity)

Ninja + Wiley Test Bank: [FAR - 81] [REG - 76] [BEC - 88] [AUD - 73](doh!)

Becker Videos: [AUD - 82]

California CPA

[acamp]

Sounding like everyone's problem but yours, I'd take a closer look at your finances and get things under control. I mean, sure schools do zero to discourage giant student loans, but the whole, HAD TO acquire tremendous debt in order to get MY EDUCATION is a sad part of the culture. Once upon a time, people didn't attend a super expensive school because… ready for this… they couldn't afford it.

Oh and I don't think it would impact licensing, its a government'ish debt, but still, licensing doesn't do credit checks or anything, think the only non-compliance thing that can hurt you is not doing your taxes (outside of criminal activity)

Ninja + Wiley Test Bank: [FAR - 81] [REG - 76] [BEC - 88] [AUD - 73](doh!)

Becker Videos: [AUD - 82]

California CPA

[StephAV]

I think acamp gave good advice.

I wouldn't think it would be a problem with licensing, but it may end up being a problem if you need to get a job or a new job. Where I work they do background checks that include credit checking, if there are issues with your credit they aren't eager to hire you into a financial management position for sure. In fact my old boss, who was controller told me she got the job over over others more qualified due to other people having poor credit history. They feel like you may be more likely to try to steal or commit fraud because you have personal financial issues, or that you are just a poor money manager.

I'd get on income based repayment ASAP. Start building up an emergency fund. I understand that last minute expenses, I've been in tight spots, but don't you have a credit card you could make payments on over time for those big unexpected expenses. Maybe look into YNAB, it is a budgeting software (for individuals and families) and was created by a CPA.

Good luck!

FAR - 7/13 - 72, 11/13- 74, 2/14- 82!!! Best score ever (for me)!!!
BEC - 1/14 - 75!!! Perfect score! First Pass! YAY!!!
AUD - 8/14 - 80!!!
REG - 5/14 - 72, 10/14 - 66, 1/15 - 78 - DONE FOREVER!!!
I did 5 of the UNA and CPAExcel classes to earn units.

[StephAV]

I think acamp gave good advice.

I wouldn't think it would be a problem with licensing, but it may end up being a problem if you need to get a job or a new job. Where I work they do background checks that include credit checking, if there are issues with your credit they aren't eager to hire you into a financial management position for sure. In fact my old boss, who was controller told me she got the job over over others more qualified due to other people having poor credit history. They feel like you may be more likely to try to steal or commit fraud because you have personal financial issues, or that you are just a poor money manager.

I'd get on income based repayment ASAP. Start building up an emergency fund. I understand that last minute expenses, I've been in tight spots, but don't you have a credit card you could make payments on over time for those big unexpected expenses. Maybe look into YNAB, it is a budgeting software (for individuals and families) and was created by a CPA.

Good luck!

FAR - 7/13 - 72, 11/13- 74, 2/14- 82!!! Best score ever (for me)!!!
BEC - 1/14 - 75!!! Perfect score! First Pass! YAY!!!
AUD - 8/14 - 80!!!
REG - 5/14 - 72, 10/14 - 66, 1/15 - 78 - DONE FOREVER!!!
I did 5 of the UNA and CPAExcel classes to earn units.

[Anonymous]

Did you try calling sallie mae or fill out a form on their website? When I encountered troubles on making payments I am able to call them to put my loan on forbearence. The procedure on the website indicates it requires information and time for approval. But if you call them just tell them you have financial difficulties on making payment they will ask you how long do you wish to put your loan on forbearence. I did this about twice for a total of 3 months forbearence each time. They won't ask you for any information or anything and they will note their system that you are in forbearence due to hardship. The only thing is you will have to pay a fee of $50 for each private loan to put it on forbearence. Hope this helps.

[Anonymous]

Did you try calling sallie mae or fill out a form on their website? When I encountered troubles on making payments I am able to call them to put my loan on forbearence. The procedure on the website indicates it requires information and time for approval. But if you call them just tell them you have financial difficulties on making payment they will ask you how long do you wish to put your loan on forbearence. I did this about twice for a total of 3 months forbearence each time. They won't ask you for any information or anything and they will note their system that you are in forbearence due to hardship. The only thing is you will have to pay a fee of $50 for each private loan to put it on forbearence. Hope this helps.

[Tncincy]

The only way student loans effect your license is if you fail to respond to student loan notices. You need to contact your student loan provider immediately and make arrangements for hardship or income based repayments Student loans is not the only thing, delinquent child support is also another factor that can cause your license to be suspended. You should be able to get a license, but to be suspended it has to be severely delinquent. Plus you don't want you income tax to intercepted if you get a refund…..so no procrastinating….contact quickly.

It begins with a 75
Been here too long as a cheerleader....ready to pass

[Tncincy]

The only way student loans effect your license is if you fail to respond to student loan notices. You need to contact your student loan provider immediately and make arrangements for hardship or income based repayments Student loans is not the only thing, delinquent child support is also another factor that can cause your license to be suspended. You should be able to get a license, but to be suspended it has to be severely delinquent. Plus you don't want you income tax to intercepted if you get a refund…..so no procrastinating….contact quickly.

It begins with a 75
Been here too long as a cheerleader....ready to pass

[mla1169]

The other thing is, if you're having a challenge with student loan payments, get a 2nd job. Deliver Pizza. Cashier at Kohl's.

Is it fun to work 2 jobs? No, not at all. But sometimes its completely necessary. I've done it more than once as a working professional (besides the employee discount at Kohls is worth every Sunday afternoon I spent there).

Not telling you what to do but its obviously weighing on you, so I'm presenting another option.

FAR- 77
AUD -49, 71, 84
REG -56,75!
BEC -75

Massachusetts CPA (non reporting) since 3/12.

[Author]

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