Graduates: It’s Time to Start Thinking About Loan Repayment!

By: Jesus Gomez
Jun 28, 2018
2 min read

Paying off student loans might seem impossible if you have a low salary and the reality is that for young people today it's getting harder to pay for education. College costs are leaving many of our generation without the credentials we need to thrive in the today's economy. Luckily, moneybuddy has some tips to help you make your loan payments on time and finish off your repayment faster. Here’s what you can do....

Making a lump-sum payment when you get some extra cash
Getting a job that offers loan forgiveness
Cutting your budget and increasing your loan payments
Working a side job and using the extra income to repay your loans
Refinance your student loans

1. Making a lump-sum payment when you get some extra cash

Instead of spending all of your tax refund on other stuff you won’t even remember, use it for paying off student loans faster. This strategy can work for other loans too like credit card debt. Even eliminating those will help you by allowing you to focus on paying off those student loans.

2. Getting a job that offers loan forgiveness

The are certain jobs like teaching or public service that may offer forgiveness for part or even all of your student loans. This is great because it’s basically free money. All you have to do is meet the requirements to get your student loans forgiven.

3. Cutting your budget and increasing your loan payments

If you're looking for a way to get more money but can’t increase your income, decreasing your budget is also another option. Things like moving to a cheaper apartment, or avoiding eating out so much, and putting off alcohol are all temporary options you can do that will help free up more money to pay off loans faster.

4. Working a side job and using the extra income to repay your loans

Along with cutting your budgets, you can also get a part-time job that you can use to earn extra money. You can then take that extra income and put it towards your student loan balance. Not only will your extra income help you pay off student loans faster, but you can also learn some new skills that might help you later on in your future jobs.

5. Refinance your student loans

Refinancing your loans is one of the best moves out there for paying off student loans faster. The goal of refinancing is to lower your interest rates and allowing more of your payments to go towards paying off your student loans.