Got College Debt? These Tips May Help
Start looking for the little ways to whittle down college debt. The price of skipping three lattes a week applied to a college loan can mean a lot. The internet offers many opportunities.
TIP ONE: Repayment Schemes
Of course you want to get your debt eliminated as soon as possible. One strategy involves focusing on your highest interest loan first. Pay minimums on all your other loans and use the extra cash to overpay on your most expensive loan. When you get that one paid off, focus on the next. You will get a sense of finally getting somewhere when you see those high interest loans disappear. Elimination of one debt can mean a lot financially and mentally. Dragging out all your loans without seeing much change is debilitating.
TIP TWO: Zero-Balance Transfer Credit Cards
You have to be careful when you do this. Shop around for a credit card that is offering a zero-balance transfer offer. These cards will allow you to pull the debt from all your other cards carrying the debt at 13% or more. Suddenly your debt is sitting on another account interest free. The period you are allowed to carry this debt interest free varies from six to eighteen months so shop around to find the best for your financial situation.
You MUST do these two things to be successful in this venture:
DO NOT USE THE CARD FOR ANY NEW PURCHASES. Why? Any new purchases will incur the usual percentage rate on the card. Any payments made on the card will go toward the transfer amount. The new purchase will sit on the sidelines collecting interest. The $20 sweater you buy could end up costing you $40 by the time the balance transfer is paid off.
PAY OFF THE DEBT IN THE TIME ALLOTTED. If you do not pay the transfer debt in the allotted time, it will then start incurring the usual rate. Sometimes the debt is put at the highest interest rate because you did not meet your commitment.
TIP THREE: Education-Friendly Employers
Since you may be job searching, make it a point to check out any educational benefits the company may offer. Some employers will pay a percentage of your loans. Some government jobs can be especially generous with this benefit.
TIP FOUR: You Do Not Need That
Is that $4 latte really necessary? How about trimming a little extravagance in your lifestyle? The price of three lattes a week applied to a debt can mean a lot. It adds up quickly. Pennies in a jar will too. Look for little ways to cut costs. You really will be surprised without sacrificing much.
TIP FIVE: Free-Lance or Part-Time Work
If you are a writer, there are plenty of opportunities for writing web content. The pay can be quite generous and you can end up writing things you really care about. Check out places such oDesk or Elance. They provide many opportunities and you set your own rates and hours. Do you have a hobby? Turn it into money. With the internet opportunities abound. Fire up the search engine and look for opportunities.
Simple Things Mean a Lot
These tips may seem simple and obvious. However, some folks just do not think as they busy themselves making money for others. They do not think about venues for themselves. Start looking for the little ways to whittle down the college debt.
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ABOUT THE AUTHOR
Amanda Hash is a Guaranteed Bad Credit Personal Loans Consultant with more than twenty years of experience. For more information about Military Loans Fast, Credit Cards, Unsecured Loans, Fresh Start Loans, Debt Consolidation, Student Loans and others please visit http://www.yourloanservices.com