Updated: Mar 28
School loans are keeping the majority of our population broke. School loans total 1.56 TRILLION DOLLARS! That is more than the total credit card debt!!!
The interest rates on these loans are unbelievable. 2018-2019 rates for subsidized Federal Student Loans are 5.05%, with unsubsidized at 6.60. Seventy percent of students take out loans. The loan fee is 1.062% also.
WHAT TO DO IF YOU HAVE A LARGE AMOUNT OF SCHOOL LOAN DEBT:
1. Budget your money and spending every month. www.everydollar.com
2. Plan to pay off the loan as soon as possible. It must be paid so do it now. You cannot get rid of school loan with bankruptcy.
WHAT TO DO IF YOU HAVE A FUTURE COLLEGE STUDENT:
1. Plan ahead if you have a student in high school.
2. Choose a free community college if possible for the first two years.
3. Then, choose an in-state college and transfer those credits.
4. Look for scholarships while in high school-write essays or whatever you have to do to apply. This is a job for your student.
5. Work...I mean the student.
6. Save... I mean the student.
7. College fund in place? Awesome. If not.. dig in.
Our children cannot start life with large debt piled on from the beginning. There is a new career and a new job and large debt is like a weight piled on them.
Parents, get your finances in order early so your child/children have financial wisdom to help them along. Students learn to live without some things and make it through school with as little debt as possible. Then you can live better after completing your education.
DEBT IS HEAVY.
THINK BEFORE YOU GET AN EXPENSIVE PRIVATE SCHOOL DEGREE THAT WILL NOT ALLOW YOU TO MAKE ENOUGH MONEY TO PAY OFF THE LOANS!
CALL OR EMAIL FINANCIAL PACEMAKER COACHING FOR HELP SORTING OUT ALL OF THE DEBT AND PLANNING FOR A BRIGHT FUTURE. WE'LL PACE YOU ALONG.