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Do Student Loans Affect Your Credit?

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Student Loans | Do they Affect Your Credit Score?

Of course, they do and not necessarily in a good way.  A recent article in USA Today does a decent job exploring how student loans affect credit reports.  In general, carrying a large student loan debt depresses a credit score and makes the borrower less eligible for new lines of credit, including a car and or home loan.

Private student loan debt is not eligible for bankruptcy except in rare circumstances.  Although there is no way to totally eliminate private student loan debt,  it is susceptible to settlement often for far less than the creditor claims is owed.  Debt negotiation is possible with an experienced debt settlement attorney.  Negotiation can result in a greatly reduced balance on the loan.  If you are burdened by high balance private student loans, you should consider contacting a qualified debt settlement attorney and learning more about negotiating a large reduction in your private student loan balances.

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Kevin Fallon McCarthy is the McCarthy Law PLC’s managing attorney and an experienced Phoenix debt attorney. Mr. McCarthy has also worked as general counsel for a large corporation. He has corporate counsel experience in human resource matters, general corporate governance, and union class action litigation.