Sunday, March 25, 2018

Do not hesitate to "shop" before taking out a student loan

Do not hesitate to "shop" before taking out a student loan. Just as you would in other areas of life, shopping will help you find the best deal. Some lenders charge a ridiculous interest rate, while others are much more fair. Shop around and compare rates to get the best deal.

Try getting a part-time job to help with college expenses. Doing this can help you cover some of your student loan costs. It can also reduce the amount that you need to borrow in student loans. Working these kinds of positions can even qualify you for your college's work study program.

Don't panic when you struggle to pay your loans. Health emergencies and unemployment are likely to happen sooner or later. Keep in mind that forbearance and deferment options do exist with most loans. Interest continues to compound, however, so a good strategy is to make interest only payments that will prevent your balance from getting bigger.

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