There are many people with debt in excess of a hundred thousand dollars. There is no way they can repay the debt in time.
Consolidation may work when the amount is not very high. However, in cases where the borrower has allowed the debt to run away to a high amount, ordinary consolidation will not work. The first thing you should do is obtain information about your credit report and your bad credit score. There are many programs which will help patch up the mess even if you do not have any prior knowledge or experience in undertaking such transactions.
Bankruptcy? A common misconception is that bankruptcy is the best solution to counter runaway student debt. Bankruptcy is a big decision which has significant impact. Such decisions should not be taken lightly.
You should adopt a two pronged approach of bringing down your outstanding amount and also removing the late payment report from your file.
Easiest Option
One of the easiest option is to go in for a default student loan consolidation. There are time tested strategies which can help you get a grip on the situation.
Irrespective of the course of action that you choose, you will have to improve your money management skills to prevent such a situation from coming up all over again.
There are specialized money management programs which will help you manage your finances in a much better manner. Never feel that the situation has gone beyond your control.
