If you are one of the 40 million Americans who funded their education with student loan debt, you may be asking yourself now what? The bad news: you probably can’t get out of it with bankruptcy. The good news: with over 1.3 trillion dollars locked up in American educational loans, the country has a vested interest to pave the way for repayment. So what does that mean for you? Tune in to find out.

On this episode of the ABA Law Student Podcast, hosts Fabiani Duarte and Madison Burke talk with Credible Labs founder and Slate contributor Stephen J. Dash. Together, they discuss first steps in the post-borrowing world of student loan debt.

Step One: Understand Your Situation

This means you should know how much you owe and to whom. In addition, you should budget out your total earnings and total expenses.

Step Two: Make a Plan

By investigating your options for repayment, you will be able to make an informed choice. Primary options like consolidation, pay-as-you-earn, and refinancing all have pros and cons. Understanding the benefits and pitfalls of each repayment program will empower you to make the right choice for your situation.

Step Three: Stick to the Plan

Some repayment plans allow you to make future changes. Once you decide on a repayment plan, do your best to stick with it. If your financial situation changes, communicate with your servicer to see what, if any, options are available.

Student Loan Issues Discussed In This Episode:

• Law School Death Spiral
• Long term repayment vs. short term repayment
• Loan Consolidation
• Pay As You Earn Programs
• Refinance Options
• Deferment
• Forbearance
• Return On Investment (ROI) for Education