Straight answers about GradMerge, your defaulted private student loan, and what happens next.
No. GradMerge is a marketing company, not a lender. We educate borrowers and connect them with our licensed lending partner, Alt Lending LLC, which makes all credit decisions and originates the loans.
Nothing. GradMerge does not charge borrowers any fee. Our partner lender's loan will have its own rate and terms, which are disclosed to you before you agree to anything.
A private loan generally goes into default after a stretch of missed payments (often around 90-120 days, depending on the lender). A charge-off happens when the lender writes the balance off as a loss for accounting purposes, usually after about 120-180 days. Important: a charge-off does not erase the debt, you still owe it, and it may be sold to a collection agency.
Often, yes. If you have a job and the intent to repay, you may qualify to move a defaulted or charged-off private loan into a new fixed-rate loan through our partner lender, based on your current situation, not just your past. The only way to know for sure is to check your options, which is free.
Checking your options is free and comes with no obligation. Our lending partner will tell you whether any credit check is a soft inquiry (which does not affect your score) or a hard inquiry before it happens, so there are no surprises.
No cosigner is required to check your options or to qualify.
Debt settlement companies typically charge fees to negotiate a reduced payoff, which can further damage your credit. GradMerge charges you nothing and connects you with a lender to refinance your existing loan into a new one, a different path, with a different goal: getting you current and moving forward.
GradMerge is not a lender and does not make credit decisions, set rates, or charge consumers a fee. Loans are originated and serviced by Alt Lending LLC, subject to its approval, eligibility, and applicable state licensing. Any rates referenced are illustrative and not guaranteed. This page is educational and is not legal, tax, or financial advice. This is an advertisement. Alt Lending, LLC (NMLS #2571325).