Student Loan Calculator – 10 Amazing ways to minimize Your Student Loan Debt (2)

Student Loan Calculator – 10 Amazing ways to minimize Your Student Loan Debt (2)

Student Loan Debt

Like I said earlier in the first part of this article, student loan has been the norm where college education is concerned. With the rising costs of college and university education, many people might have no choice other than to take a student loan, so as to complete their college education. Most of these students will have no choice than to rely on student loan calculators to estimate what a college education will cost them.

Any way, if you are one of these students who have to consult a student loan calculator before going to college and also need the student loan calculator to safely get out of college, here are some ways that you can lighten the debt load. There is no doubt that it is a burden, having to dread your graduation day because you know it is the time when you debts starts calling. The benefit of getting a good education ranges from a good life, to a stable career, happiness, and so on, it can really be traumatic when all these are ties to loan debts. Without much ado, here is what you can do.

1. Try Federal Loans Instead – ironically, even though the loans provided by the government have more favorable terms, you will still find that one in five students pass up the chance to use them. One can say, this is because private loaners make the process more convenient. Well convenience in collecting a loan should not be your utmost concern; it is the convenience in paying back your loan that should be your major concern. If you want a lower student debt load, then you will need to apply for a federal loan, perhaps all you’ll have to put forth additional effort up-front. Make sure you file the paperwork necessary to qualify for federal, state and institutional aid, and if any is offered to you, choose it over private loans.
2. Cut Back On Your Expenses – the reason you are taking a loan in the first place is because you don’t have sufficient funds, so it is therefore wise to keep your living expenses to a minimum. The fact is that, the lower your cost of living, the more money you can put toward tuition, thus avoiding the accumulation of more debt.  Instead of getting an apartment, live with roommates, cook your own meals and stay low.
3. Get Shortcuts – in order to reduce the number of years you stay in school you can attend summer school and take an extra course. This will also reduce the amount you will have to pay back. It may be hard or very burdening, but it is better than the stress of paying back which will not be there anymore. Alternatively, you can take up paying your interest immediately so that at the end of the year, you will have just the principal to pay and perhaps a little of the interest that you could not meet up with. Like I said earlier during holidays, take up something that will earn you some money and use whatever you get to minimize the borrowing and also pay part of the interest and that is if you have enough to spare.
4. If You Can, Pay Part Of Your Principal – this is another effective way through which you can ease up the burden of your student loan. Prepay your loans if you can. If you’re able to cut expenses and save some money, do so and apply it to your highest interest loan. Send the payment in with a note specifying that you want it applied toward your principal – if not they might just assume you’re advancing the due date of your next payment. Paying down the principal interprets to reducing the loan balance and it will save you money big bucks of money over the lifetime of the loan. In any case you have multiple loans, pay off the biggest loans first, that way you will have lesser burdens to bear.
5. Make Sure You Always Pay – no matter what you do, make sure you make your payments on time, try your best not to skip payments. It will only pile up and increase your burden. Some lenders actually makes it easier, they will give you a rate cut if you make a certain number of consecutive payments on time. If possible, meet with your lender and ask for a change of due date and have your monthly payment automatically deducted from your bank account.
6. Think like a Business Man or Woman – I know you are still a student, but if you are running your education on a loan then you have to get ready to be versatile. When a semester is about to end or has ended, sell your textbooks, check out different bookshops for their prices. Once you have sold the text books, use the money from the sales to buy the next semester’s book. With all these tips, and using a student loan calculator, you should  be able to pay back your student loan easily.