More Than One Million Borrowers Per Year Default on Student Loans and Ameritech Financial Can Help to Not Become One of Them

Press Release ( - ROHNERT PARK, Calif. - Aug 23, 2018 - More than one million people per year default on their student loans and nearly 40 percent of borrowers are expected to default by 2023. A new study explores these grim numbers, who is the most at risk for falling behind on their student loan debt and the consequences of doing so. Over the last decade, outstanding education debt in the U.S. has tripled and now exceeds $1.5 trillion. This debt is a major burden to both individuals and the national economy. Ameritech Financial, a document preparation company, helps borrowers overwhelmed by student loan debt find a path forward that best fits their needs. Federal programs, such as income-driven repayment plans (IDRs), can possibly lower monthly payments based on income and family size and help create breathing room to avoid default.

“Each borrower is different, each has a unique path to their current situation and each has a unique solution that we can help them find,” said Tom Knickerbocker, executive vice president of Ameritech Financial. “We can also guide them in the sometimes complex process of applying for and maintaining enrollment in IDRs.”

Defaulting borrowers are less likely than their non-defaulting counterparts to be able to take on debt that requires a risk assessment like a credit card, auto loan or mortgage. Defaulters are also more likely to face bill collectors because they fell behind on their utility or medical bills. Those who default on their loans are more likely to live in black or Hispanic neighborhoods, where lower parental wealth and higher unemployment rates make repayment more problematic. Further, those with the smallest student loans are less likely to repay their debt. Nearly 33 percent of borrowers who owe less than $5,000 default on their loans, compared with just 15 percent of borrowers with more than $35,000 in debt.

Each borrower is different, each has a unique path to their current situation and each has a unique solution that we can help them find.

Tom Knickerbocker

Executive Vice President of Ameritech Financial

The study found very mixed results for those who went into default. The average credit score of those in default was about 550 (a very poor rating according to Experian).  Due to interest and fees, defaulting increases the balance of the loan and can delay longer-term goals like getting married, having children or buying a house. Although the study found that some borrowers were able to exit default and pay off their loans, a recent article suggested that finding a payment plan based on income was a far better option than defaulting. Ameritech Financial has experts ready to work with borrowers to find the right income-driven program for them.

“We recommend avoiding forbearance and default so that you can avoid the more severe consequences of taking those paths,” said Knickerbocker. “We can assist in applying for an IDR to possibly find a way for you to lower your monthly payment and help put you on a path to greater financial health.”

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.

Ameritech Financial Newsroom


To learn more about Ameritech Financial, please contact:

Ameritech Financial
5789 State Farm Drive #265
​Rohnert Park, CA 94928

Source : Ameritech Financial
Business Info :
Ameritech Financial

You may also like this  


Or using ePRNews Account

Don't have an account ? Sign Up

Register New Account

Or Signup using Email

Already have an account ? Login

Reset Password

Already have an account ? Login


If you have any concerns regarding this press release, please contact the Author / Media Contact / Business of this press release. ePRNews is not resposible for the accuracy of the news posted and do not endorse, support any product/ services/ business mentioned and hereby disclaims any content contained in this press release.