Saturday, December 21, 2019

Depending on your loan type, your lende

Depending on your loan type, your lender may grant you a grace period after you graduate (or stop attending the college), where you don’t need to make any payments toward your loan. Avoid the tempting option of simply ignoring your debt during this period. If you still have the luxury of a grace period, now is the time to fully understand your loans, make a game plan, and, if possible, start making the payments you’d normally be making anyways.

Dealing with student loan debt is tough.

Dealing with student loan debt is tough. You’re probably no stranger to the student loan crisis we’re facing, as Americans now owe an incredible $1.3 trillion (and growing) in student loan debt – more than all our credit card debt or even our car loans.

Seven in 10 college students will leave school with loans in 2016, averaging a whopping $37,172 in student debt. But for those who pursued advanced degrees, switched majors, or went back to school, that number can be significantly higher. In fact, according to the Federal Reserve Board Survey of Consumer Finances, almost 19% of borrowers owe $50,000 or above (with 5.6% owing more than $100,000).

For some, student loans are a necessary burden throughout college that lead to a better paying job in the field of their choice. To others, student loans may have felt like free money in a sense, or just something to deal with after graduation. Whatever the case may be, student loan debt is leaving today’s college graduates burdened right from the start, drowning in debt — and stress. Read on to learn 15 strategies for paying off student loans.

Borrowing money for college requires

Borrowing money for college requires little more than a completed application and a formal signature, but the implications of that debt can last a lifetime. Before you take out student loans you need to determine if student loans are worth it. Ask yourself what you hope to gain, whether you’re borrowing more than you need to, or whether there are other options you haven’t considered yet.

A college degree can pay off in spades, but your student loan debt can easily become an albatross around your neck after graduation – limiting your personal options and career choices. By researching all of your options ahead of time, you can position yourself for the best outcome possible.

While a top-tier college education can

While a top-tier college education can lead to better job prospects and lifetime earnings overall, some expensive colleges aren’t worth their weight. In that respect, choosing an expensive school on a whim is rarely a good idea – unless you’re going to Harvard, Stanford, M.I.T., or the like, you may not get any extra “bang for your buck.”

Jim Wang from Wallethacks graduated from a top-tier school with more than $30,000 in student loan debt, but realized afterward that his education could have come much cheaper.

“When it comes to college, you don’t have to go to the expensive university and take on massive student loan debt in the process. There are options; make an active decision,” he says.

doesn’t help that college counselors and parents consistently urge them on with that future cash-cow job in mind.

When some kids are in college, all they it’s that your student loan bills will roll in regardless of how much you earn.. It doesn’t help that college counselors and parents consistently urge them on with that future cash-cow job in mind.
Who cares if you borrow a lot for college if you’ll be earning six figures in a few years, right? Wrong. Unfortunately, those high-paying jobs don’t always pan out like you think they will. But if there’s one thing you can count on once you graduate, it’s that your student loan bills will roll in regardless of how much you earn.
This scenario describes what happened to Andy Josuweit of Because he expected to earn around $80,000 per year after school, he borrowed money without a care in the world. But once he graduated with $74,000 in debt and no high-paying job, he quickly realized that reality wasn’t going to meet expectations.
“Quickly, my student debt hole grew deeper,” he says, adding that, because he defaulted on some of his loans, his total debt loan surged up over $100,000 in a hurry.

Depending on your loan type, your lende

Depending on your loan type, your lender may grant you a grace period after you graduate (or stop attending the college), where you don’t n...