woman with student loan debt

How To Deal With Student Loan Debt

More and more people are beginning to become saddled with student loans debt. For many, it can be rather tricky to deal with. That’s why we’d like to share a few tips and tricks for dealing with student loan debt in this post. We’ll also share one method that may be an option if you risk a payment or two going late.

Here’s How To Deal With Your Student Loan Debt

1. Know How Much Debt You Have

You’ll be surprised to know how many people have no idea how much student loans debt they actually have. We recommend that the very first thing that you do is put together a list of all your debts. Update this every few months – and you’ll be surprised at just how easy it is to tackle debt when you know how much of it you have.

2. Consider Loan Consolidation

If you have student loans debts from a variety of different providers, then you may want to look into debt consolidation. Debt consolidation allows you to merge all your student loans into one. This may result in you having a single, lower monthly payment. Although do bear in mind that if you do not have an excellent credit score, it may be tough to find a company that is willing to provide you with loan consolidation services.

3. Target Higher Loans First

When you have student loans, you should always aim to pay them off as quickly as possible. This will reduce the amount of interest that you pay. Plus, the quicker you get those loans cleared, the better.

Try to maximize your monthly payments as much as possible. Always aim to pay down the biggest debts first. This means beating the repayments on them. If you can do that, you will find that your student loans will be paid off much quicker than anticipated, freeing up your much-needed funds to be used later.

woman paid off debt

4. Consider Loan Deferral

If you find yourself unemployed, you may be able to get your student loans debt repayments deferred. This means that you may not have to make any repayments for a while. If you have federal student loans, you may even find that the interest rate will be frozen. In other cases, you may be able to get a forbearance on your student loans. This is much the same as loan deferral, although loan interest continues to be accumulated during the missed months, and this is added to the cost of the loan.

If You Have A Federal Student Loan, Consider Alternative Payment Methods

If you have a federal student loan, then some options may change how much you need to repay each month, and it may be worth exploring those options when it comes to dealing with student loans debt.

One of the most common options is a graduated repayment. While your loan will remain for 10-years, you will pay less at the beginning. This is because the monthly repayment amount will go up every 2-years. The intention is to help new graduates out. People tend to earn less during the first years after graduation than later on. While the interest rate will increase, you can improve your loan repayment time to 25-years. This lowers the monthly payment, but you will be paying more for the loan overall.

Income contingent repayment is for those who want to have the student loan repayment tied to their income. You will be paying around 20% of your income towards the loan each year. This can last for up to 25-years. If you have anything left to repay after 25-years, then the loan will be forgiven. In random cases, you may be able to benefit from 'pay as you earn, although you have to prove that you are dealing with financial hardship. Your federal loan repayments will be capped at 10% of your income each month. This can last for 20-years.

Have A Student Loan Repayment Due? An Instant Online Title Loan Could Be An Option

While you will, hopefully, be able to keep up with your student loans repayments, sometimes this isn't possible. In such cases, you may need to use other methods to keep up with your repayments. One of such options is an instant online title loan from At Home Title Loans.

At Home Title Loans can offer title loans of up to $15,000. The amount that you receive will depend on your vehicle's value. You must have a lien-free title to your vehicle. If you do, then you could potentially be approved for a loan in under 30-minutes. You won't even need to get out of your home. We can come to you to carry out the vehicle inspection and have you sign the paperwork.

With a title loan, there are no income requirements. This means that they are often used by graduates that have found themselves unemployed. Bad credit is generally not going to be an issue either because this is a secured loan against the title to your vehicle.

woman got title loan cash

Cover Missed Student Loan Payments Today

While you can attempt to manage your student loans debt as much as possible, there will be times when you may not be able to keep up with the repayments. If you can't get a loan deferral, an easy online title loan could be an alternative option. You can get the process started on this site and have the cash to cover a missed payment in just a few hours.

Note: The content provided in this article is only for informational purposes, and you should contact your financial advisor about your specific financial situation.

Emma Frost

Emma Frost is a lifestyle and finance blogger with a talent for communication and a passion for financial literacy. She uses her writing talents to explore topics that help her readers gain financial stability and growth.