Graduating from college is cause for celebration, but it can also be stressful if you’re one of the millions of graduates who have student loans to pay off†
Without establishing a budget and a payment plan, students can find themselves in financial difficulties, causing them to seek debt counseling and learn the pros and cons of consumer proposals and other debt solutions.
Here are ten tips to keep you on top of your finances and get you on your way to becoming debt free.
1. Make a budget and stick to it
Creating and following a budget is one of the best ways to get your finances in order. Figure out what you can afford to pay off your student loans each month, and make sure you stick to that budget.
2. Make extra payments when you can
If you can afford to pay extra on your student loans, that will help you pay them off sooner. Try to make at least one additional payment each year to get rid of your debt faster.
3. Sign up for an installment plan
If you can’t afford to make large monthly payments on your student loans, consider signing up for an installment plan.
This allows you to make smaller payments at first and then increase the amount you pay as your income grows.
4. Apply for a lower interest rate
If you have good credit, you may be able to lower the interest on your student loans. This can save you a lot of money in the long run.
5. Use a student loan consolidation calculator
If you’re considering consolidating your student loans, use a student loan consolidation calculator to find out how much money you can save.
This will help you make an informed decision about to consolidate or not†
6. Find a part-time job
If you are struggling to pay your monthly student loan, consider: find a part-time job to help you make ends meet. This extra income can go a long way toward paying off your debt.
7. Make lump sum payments if possible
When you have some extra money, put it towards your student loans. This allows you to pay off your debt faster and save on interest payments.
8. Live at home for a while
If you’re just starting out after college, consider living at home for a while to save money. This gives you more money to spend on your student loans each month.
9. Use a student loan payout calculator
If you want to get an idea of how long it will take to pay off your student loans, use a student loan payout calculator. This will help you make a plan to pay off your debt as quickly as possible.
10. Stay Motivated!
Paying off your student loans can be a daunting task, but it’s important to stay motivated. Set small goals for yourself and celebrate when you reach them. This will help you on your way to paying off your debts.
Debt can be overwhelming for recent graduates, but with a little organization and planning, you can start paying off your student loans. Follow these tips and you’ll be on your way to becoming debt free!