Deferring payment of a loan especially a commercial student loan will further attract higher interest rates. This will see students having to pay back more and more money as time passes and there are high chances that more and more students are going to opt for debt consolidation as they would have failed to manage their debts.
Some commercial finance institutions offer student loans with reasonable interest rates. Some of these financial institutions allow students to draft out a repayment plan which is agreed upon by both parties thus allowing students to successfully pay back their study loans. As getting government loans is already difficult and with the reduction in government loans commercial financial institutions are set to become popular during 2012. According to statistic analyses on the current financial situation of students it is estimated that in 2012 the total outstanding private student loans are set to pass U.S. 763.8 billion. This figure is calculated using a statistic model developed by Mark Kantrowitz. Students are thus advised to seek assistance from debt relief agents if they are having difficulties repaying their study loans.