Also consider working for a service program that offers loan forgiveness or an education grant.
Are you temporarily struggling with federal student loan payments?
Keep in mind that the federal government does not want you to default on payments. Income-based repayment plans (IBR) were introduced to offer relief to cash-strapped students who couldn't afford to pay under the standard 10-year plan.
As an undergrad swapping a daily coffee for a payment on your loans can save you hundreds on interest over their lifetime. Splitting your monthly loan payment in two is another easy strategy for eliminating the debt more quickly.
Repaying your loans early will not only help cut down on interest and reduce payments, but can help you save up for and purchase your first home. For example, if you owe ,000, your monthly payment would be around 0 on the standard 10-year plan. If you're juggling multiple federal loans, consolidating them will take them and combine them into one new loan.
Nearly 70% of students graduate with education debt, and the average student loan amount totals over ,000.
This is a huge burden to take on, and we know you'll want to unload it fast.
Plus, the longer you're carrying around this debt, the longer you put off making any progress on other lifetime goals.
For instance, saving for retirement, buying your first home, or preparing for marriage. With the tips in this article, you'll be able to put those student loans behind you.
There are multiple options such as forbearance, deferment and a slew of repayment options. Deferments are meant to be used when you suffer from a job loss or are still attending school. These plans lower your monthly payment, but lengthen your repayment term. If you do require an income driven repayment plan there are several options available to you.
Log in to your student loan servicers website or the Department of Education submit your current income and family size and it will provide you with a new low repayment option.
Consider this only if you are having trouble making the minimum payments. Under the public service loan forgiveness program, any remaining balance you owe would be canceled after you've made 10 years' worth of payments.