>> THIS WEEK’S STUDENT LOAN FORGIVENESS IS ON HOLD AFTER THE SUPREME COURT UPHELD A
LOWER COURT’S ORDER. WELL, THE
PROGRAM IS ON PAUSE UNTIL THE
SUPREME COURT HEARS ARGUMENTS
ON THE CASE IN FEBRUARY. SO
THIS MEANS WE WON’T GET A
DECISION ON STUDENT LOAN
FORGIVENESS UNTIL ABOUT JUNE.
SO FAR OVER. 26 MILLION PEOPLE
HAVE APPLIED FOR DEBT RELIEF.
THE GOVERNMENT ISN’T ACCEPTING
NEW APPLICATIONS WHILE THE
PROGRAM IS PAUSED, NO DEBT HAS
BEEN CANCELED SO FAR. SO
JOINING US NOW IS TITUS
PITTMAN, A CERTIFIED FINANCIAL
PLANNER WITH GENESIS FINANCIAL
PARTNERS. THANK YOU SO MUCH
FOR BEING HERE TODAY. GOOD
MORNING. THANKS FOR HAVING ME.
ABSOLUTELY. SO HAVE TO ADMIT
I’M ONE OF THE PEOPLE WHO
APPLIED TO THIS PROGRAM
BECAUSE STUDENT LOANS IS A
REAL LIFE ISSUE, ESPECIALLY
FOR PEOPLE WHO’VE DECIDED TO
GET A SECOND EDUCATION. SO
WHAT SHOULD BORROWERS DO? IN
THE MEANTIME, WAITING TO SEE.
>> GET THIS MONEY. ABSOLUTELY.
AS YOU THIS LONG TO GET HIS
PROGRAM WAS A HUGE SUCCESS FOR
MOST PEOPLE, THOSE THAT HAVE
FEDERALLY STUDENT LOANS HAVE A
GREAT OPPORTUNITY TO HAVE SOME
DEBT RELIEVE. I WOULD SAY THAT
INDIVIDUALS THAT WERE
PREPARING THE FIRST OF THE
YEAR TO START MAKING THOSE
PAYMENTS. I WAS STILL CONTINUE
TO PUT THOSE DOLLARS ASIDE IN
A SAVINGS OR INTEREST BEARING
ACCOUNT SO THAT WHATEVER IS
REACHING THE COURT IN
FEBRUARY, IF PAYMENTS RESUME,
YOU HAVE A HEAD ALONE. THOSE
PAYMENTS AS WELL.
>> AND WE KNOW SOME OF THE
BARS DON’T JUST HAVE FEDERAL
LAW SALES HAVE PRIVATE LOANS
SHOW. IN THE MEANTIME, SHOULD
YOU BE PAYING OFF AS MUCH OF
THOSE PRIVATE LOANS AS AS YOU
STATED THIS LOAN FORGIVENESS
PROGRAM IS ONLY AVAILABLE FOR
THOSE THAT HAVE FEDERALLY
BACKED STUDENT IF YOU DON’T
HAVE THAT BEEN, OF COURSE
YOU’RE NOT A POOR THAT AND IN
MOST CASES, I WOULD ALWAYS SAY
THAT IT’S ALWAYS IMPORTANT
CONTINUE PAY YOUR DEBTS. NOT
DOING SO WOULD AFFECT YOUR
CREDIT. AND YOU HAVE ONLY WON
IT LATE FEES AS WELL THAT
THESE COMPOUNDS THE PROBLEM.
SO I WOULD SAY DEFINITELY
CONTINUE TO PAY YOUR DEBTS
UNTIL SOMEBODY DECIDED IN THE
COURTS. ABSOLUTELY. SO LET’S
TALK A LITTLE BIT ABOUT SAVING
MONEY AGAIN.
>> SO WOULD YOU RECOMMEND
PUTTING YOUR MONEY INTO A
SAVINGS ACCOUNT WOULD YOU
RECOMMEND, YOU KNOW, JUST
PUTTING IN MAYBE 20% OF YOUR
PAYCHECK EVERY TIME YOU GET
PAID.
>> WELL, AS LACES TOO LONG AS
WE DON’T KNOW, THE UNCERTAINTY
OF THAT. SO I WOULD SAY
DEFINITELY I WOULD DO
SOMETHING MORE LIKE INTEREST
BEARING ACCOUNT INTO THINGS
ARE FIGURED OUT THAT WAY AND
WHY YOU WAIT TO SEE WHAT’S
DECIDED. YOUR MONEY COULD
REALLY BE ACCUMULATING SOME
INTEREST ON THE MONEY THAT
YOU’RE SETTING ASIDE. BUT IT’S
ALSO IMPORTANT TO NOTE THAT
ALTHOUGH THIS COURT HAS PUT A
PAUSE ON THE LOAN FORGIVENESS
PROGRAM, THE BIDEN
ADMINISTRATION HAS STILL
EXTENDED THE DEFERMENT OF
PAYMENT OF DEBT FOR JUNE OF
NEXT YEAR. SO THAT 6 MONTHS OF
PAYMENTS THAT WON’T HAVE TO BE
MADE TOWARD STUDENT LOANS. SO
IT’S IMPORTANT TO MAKE SURE
THAT YOU’RE PUTTING THOSE
DOLLARS INSIDE AS WELL.
>> SO LET’S SAY FOR THOSE WHO
APPLIED AND THEY FIND OUT
LATER ON THAT THEY DID NOT GET
ACCEPTED WHAT TO DO NEXT. I
WOULD SAY THAT WHAT YOU WOULD
DO NEXT IS CONTINUE. START
PAYING YOUR STUDENT LOAN DEBT
AND TO SOMETHING ELSE FIGURE
OUT. YOU CAN ALSO HAVE
PROGRAMS THAT MAKE SURE THAT
YOU HAVE A REDUCTION WHERE
THIS TO THE GOVERNMENT OR
YOU’RE WORKING OUT WITH YOUR
CREDITORS. THOSE ARE ALL
THINGS THINGS THAT YOU CAN DO.
WHAT A CREDIT COUNSELOR, IF
YOU HAVING FINANCIAL HARDSHIP
TO SEE IF THEY’RE UP PAYMENT
REPAYMENT PLAN, THAT’S MORE
SUITABLE FOR YOUR BUDGET AS
WELL.
>> YEAH. AND SPEAKING
FINANCIAL HARDSHIP, WE KNOW
EVERYTHING IS SO EXPENSIVE
RIGHT NOW WITH INFLATION, IT
FEELS LIKE YOU CAN’T CATCH A
BREAK REALLY ANYWHERE. SO WHAT
ABOUT REFINANCING, ESPECIALLY
FOR THOSE WHO MAY HAVE
SUFFERED?
>> CREDIT HITS ALONG THE WAY.
YEAH, REFINANCE IS ALWAYS AN
OPTION. BUT BECAUSE OF
INFLATION, THEN THE COST TO
BORROW MONEY IS MORE EXPENSIVE
AS WELL. SO IT MAY NOT BE IN
YOUR BEST INTEREST TO
REFINANCE IF THAT NEW INTEREST
RATE IS HIGHER THAN WHAT YOU
CURRENTLY OWNS. I WOULD REALLY
ASSESS YOUR OVERALL FINANCIAL
SITUATION. LOOK AT THE INJURY
THAT YOU’RE CURRENTLY PANDA
GETS WHAT YOU WOULD PAY IF YOU
REFINANCE AND SEE DOESN’T MAKE
SENSE TO YOU BECAUSE
OFTENTIMES AREAS CALLS IN
REFINANCING A LOAN.
>> OK, MAKES BASED ON WHAT WE
KNOW NOW. DO YOU THINK THERE’S
A POSSIBLE ONE PEOPLE WILL NOW
WHEN THIS PROGRAM WILL PICK UP
IF THE COURT SUPREME COURT
HEARING THE CASE IN FEBRUARY,
I THINK BE FREE NOW AND THE
END, THERE WILL BE A GOOD
OPPORTUNITY TO KNOW WHETHER OR
NOT IT WILL GET APPROVED. I
THINK THAT’S WHY THE BOUT
ADMINISTRATION HAD PUT IN THAT
6 MONTHS DEFERMENT PERIOD
BECAUSE THEY FEEL THAT THEY
WILL GIVE THE COURT AN OF TIME
TO MAKE SURE THAT THIS IS
CONSTITUTIONAL TO FORGIVE THE
STUDENT LOANS. AS YOU
REMEMBER, DEFERMENT CAME UNDER
A PRESIDENT TRUMP WHEN WE HAD
THE HEIGHT OF THE PANDEMIC,
THE BIDEN ADMINISTRATION
CONTINUE TO EXTEND DEFERMENT
PERIOD. SO INDIVIDUALS THAT
HAD STUDENT LOANS HAVE NOT HAD
TO PAY FOR ABOUT 2 YEARS NOW.
SO THAT HAS GIVEN HIM SOME
RELIEF OVER THAT PERIOD OF
TIME COVID. AND NOW THROUGH
THIS INFLATION HEIGHT, WE
HAVE.
>> ABSOLUTELY. WELL, THANK YOU
SO MUCH. TITUS PITTMAN. IT WAS
A PLEASURE HAVING YOU ON THIS