The Importance Of Student Loan Debt

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In 2014, 7 out of every 10 college graduates had student loan debt, an average of more than $33,000. As student loan debt rises, so do delinquent payments. According to a newly released report by the New York Federal Reserve, more than 11% of student loans are 90 days or more past due. But unlike other debt, student loans don’t go away during bankruptcy, so it’s important to limit the amount of debt you accrue during college Here’s 5 things you should know to limit your debt during college. Using more than you need When someone offers you “free” money, it’s easy to forget that one day you will have to pay it back. So use only what you need. Make sure the money is going towards college course, books rather than late night food runs, cable bills, and entertainment. If it’s a must, use the money for necessities such as room and board, however, it’d be better to just find a part-time job to pay for these expenses. Remember, the less you take out now, the less you’ll have to take out later.…show more content…
Look for an affordable college According to College Board, out-of-state tuition costs on average twice as much as in-state tuition. So look for a school that’s close to home, or at least in-state. If you are going to school out-of-state, ask your school if they offer scholarships or waivers. Many colleges offer some type of help for students with GPAs of 3.75 or higher. Give the financial aid office a call and ask what you are qualified for. 3. Apply for Pell

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