Today'S Typical College Student Graduates With Over $20,000

Decent Essays
Today 's typical college student graduates with over $20,000 in student loan debt. Unless that student sticks to a rapid repayment program, he can expect to pay thousands more in interest over the course of a 10-year repayment term. Although student loans are considered "good debt," the combined cost of interest, penalties and deferment fees can actually exceed the cost of an entire college semester. It is not easy to pay off student loans quickly, but it is definitely manageable. You can repay your student loans in as little as one year as long as you work hard, stay focused and follow these steps: 1. Commit to a rapid repayment plan. If your student loan bills are $200 per month, force yourself to pay at least double that. 2. Make a…show more content…
If you must buy new clothes, look at thrift stores and bargain hunt at the clearance rack. Before you turn your nose up, think about it this: paying off your student loans in less than two years means that you could have an extra $6,000 of unpaid interest to blow on new clothes. 9. Find ways to have fun for free. Instead of going to the movies, borrow them for free from your local library. Look for free concerts around your city. 10. Long commutes from your parents ' house to work are still cheaper than paying rent. Take good care of your car and change the oil on time. It 's cheaper to pay for regular vehicle maintenance than to buy a new transmission. 11. Try to work more than 40 hours per week. Ask your boss for overtime. Pick up a part time job if your schedule permits it. All of the extra income should go straight toward your student loans. 12. Find ways to stay motivated. Tell your friends not to tempt you with mall trips. Make a list of things you will do with all of the interest money you 've saved. Cross off all the days on a calendar until your last student loan bill is due. It is not easy to pay off your student loans quicly, but it is definitely doable, even if your first job out of college doesn 't pay as much as you hoped it would. The biggest factor is motivation. Knowing that you can be free from your debt obligations in as little as 1 year rather than 10 years can make all the difference in the world.
Education is expensive these
Get Access