Graduating into Debt

By: ItsJer

Your gown is dry cleaned, your diploma is framed, and now you’re left with the lingering question of “now what?” Whether you’re graduating high school, college, vocational school or graduate school, we are here to help.

High School Graduates

First off, we would like to say “Congratulations! You did it.” We are here to calm your nerves because as you know, higher education comes with a huge price tag – we feel for you. We are going to break down how to get the most bang for your buck and introduce ways you can lower your costs.

Scholarships

Say whaaattt? Yes, you might have missed the window for a majority of these scholarships, but it doesn’t mean you missed every opportunity. Use https://www.scholarships.com/ to help you find scholarship offers. You can receive scholarships all the way through graduate school. This website also helps you find grants, offers free information on financial aid and college admissions, and more!

AMOCO Federal Credit Union offers a chance to win scholarships (4) and paid summer internships with the credit union each year. Details are posted on the website in January and you can apply up until the age of 22.

Community College

Enrolled at a Community College?

If you decided to go this route, it’s a smart one. Community College can save you a ton on classes. You can always transfer after a year or two, if that’s what you desire.

Enrolled at a University?

If you are already enrolled in a university, you can always do community courses on the side. The benefit of taking classes at a Community College is that they offer all basic classes for a fraction of the price. Also, most credits transfer over (confirm with your guidance counselor).

Books

As a newbie to the college life, you might feel obligated to buy books. Professors regularly preach about how you will not survive their class if you don’t have their book. Don’t stress, you have options!

• http://www.chegg.com/ - rent your books for the whole semester and for cheap!
• Library - majority of the time your college library will have the same books you need available for rent. Always check the library before buying.
•  Find a friend - or make a friend. Splitting the cost with a fellow student will save both of you extra dollars.
• College bulletin boards - These are spread throughout the campus and can be found in different buildings; the welcome center, the fitness center, etc. Students from previous years always post flyers about their books for sale.

Student Loans

There are a variety of student loans to pick from. Research, research, research.

What to look for when choosing a student loan:

• The credibility of the loan provider. Always choose a trusted company.
• The repayment plan. How long after you graduate do you have to start paying back your loan? How many years will you get to pay off your loan?
•  Interest. How much interest will accumulate over the life of your loan?

Consider all these factors before making a decision.

Work-Study Program

If your institution offers the Federal Work-Study program, use it to your benefit. This program allows students to fulfill a part-time job at the institution, and earnings will go towards your tuition and other education expenses.

All Other Graduates

We would also like to congratulate you on your accomplishments. The sting of reality is about to set in. As much as you don’t want to be an adult, it’s too late. Don’t worry though! Just take our money advice.

Defeating Student Debt

Not only have you graduated from your chosen higher education, you have also graduated into debt – womp, womp. Here are a few tips to defeat your debt!

·         Pay frequently.

o   Check with your loan provider to make sure early payments will not be penalized. Paying frequently will help prevent rising interest.

·         Check your repayment plan.

o   Loan providers usually offer you the opportunity to change your repayment plan. As years go by, financial situations can change. Make sure you have the best plan that fits your needs.

·         Pay more than you owe each month.

o   Again, check to make sure that early payments will not be penalized. When you have extra cash, pay it towards your student loan. Paying more than you owe each month will decrease your debt and help you pay it off faster.

·         Consolidate your debt.

o   Simplify your bills into one easy payment.

Budget Routine

With great debt, comes great responsibilities. As an “official” adult, you have more responsibilities. Read our previous blog on how to be an expert at budgeting.

There you have it graduates, tips and tricks on how to handle school debt! Freshmen, you no longer have to feel like a fish out of water, and adults, you no longer have to be scared about student debt!