If you're not a homeowner or you have very poor credit, consider debt relief instead of a mortgage.

1) Type of debt:

Credit Card Debt
Student Loan Debt
Tax Debt
Other Debt

2) What State do you live in?

 
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Repaying Personal Loans

Loan Counseling
If you've taken out personal loans to supplement your financial aid, your lending institution is required to provide you with free loan counseling. This is similar to the exit counseling you'll attend if you've borrowed federal student loans. Make sure you attend loan counseling with your private lender.

In this meeting, ask your lender to remind you of the particulars of the loan. What is the balance? What is the interest rate and how much will the monthly payments be? What is the length of the loan? You should also find out if there is an early repayment penalty fee and whether the bank offers any discount options to existing customers or for enrolling in an automatic payment plan.

Personal Loan Repayment Plans
Like federal student loans, your personal loan may offer various repayment plans. These include graduated or income-sensitive payment and extended repayment plans for those who borrow over $30,000. Your personal loan might offer a grace period of up to six months after you graduate or leave school. Keep in mind, however, because these loans are not subsidized, interest accrues during any grace period.

Personal Loans and Your Credit
If you don't make on-time monthly payments, your personal loan might go into default. If this happens, it could affect your credit rating for up to seven years. And if anyone co-signed the loan for you, it also reflects poorly on that person's credit.

If your financial situation does not allow you to make payments, contact your lender immediately. Like federal student loans, your lender might have forbearance or deferment options to temporarily postpone your monthly principle payments without hurting your (and your co-signer's) credit.

If you have a co-signer and your bank offers few forbearance or deferment optionis, let your co-signer know immediately. Many people would rather help on a loan than have their credit go downhill.

Prioritizing Your Loan Payments
If you're carrying both federal and personal student loans, your personal loan probably carries a higher interest rate. If you have additional finances you can put toward additional student loan payments, pay off the higher interest rates first. It's also smart to pay off unsubsidized loans before subsidized ones.