| The days of paying for college in full, without some | | | | costs? Balance those against the longer repayment |
| type of loan or Federal assistance are long gone. More | | | | cycle and the potentially tens of thousands of dollars |
| students are graduating college with more debt than | | | | you must pay in interest over the life of the loan. More |
| ever before. College costs have increased significantly | | | | often than not, banks are willing to accept early |
| and the consumer's ability to pay has only changed | | | | payment without penalty. |
| slightly. As a result, more students owe money upon | | | | By making an extra payment directly towards principle, |
| graduation. | | | | you are attacking the loan at its source, reducing |
| There are a number of pays to pay off your college | | | | interest expense over the life of the loan. When you |
| debt. Fortunately for those who have taken Federal | | | | make your payments, be sure to write on the check, |
| loans, grace periods and deferments can help you until | | | | "towards principle" only. When I sent my additional |
| you find a full time job that allows you to begin making | | | | check in for the first time, they applied it towards the |
| payments against your loan. Regardless of your | | | | following month's payment, not exactly what I had in |
| employment situation, the responsibility of loan | | | | mind. |
| repayment is yours and yours alone. | | | | Once you get things rolling, try to save enough to |
| If you are a recent grad and you're wondering exactly | | | | make a full months payment each December. In the |
| how you are going to pay off your loans, don't despair. | | | | grand scheme of things, it's not a lot of money but it |
| There are a variety of methods you can use. One of | | | | will have a significant impact on your repayment |
| the most popular and effective is student loan | | | | schedule and amount. One suggestion is to speak to a |
| consolidation. Using student loan consolidation, you | | | | representative at your lender to see what types of |
| group your loans into a single loan which often reduces | | | | accelerated repayment programs they offer. Even |
| your monthly payment amount. | | | | though this is a great option, it's not one that is widely |
| Some individuals who consolidate see longer | | | | publicized. |
| repayment periods. However, a little known method of | | | | Paying off your college loans seems like an almost |
| reducing your payment period is by making one extra | | | | impossible task, but isn't. Stay focused on making your |
| payment towards the principle of the loan each and | | | | monthly payments one at a time. Before you know it, |
| every year. For longer repayment periods, this reduces | | | | you will be way into repayment and can explore other |
| the amount owed and the life of the loan significantly. | | | | options like making an extra payment towards principle |
| You should start by speaking with your lender. Do they | | | | annually. This will save you money and help you |
| penalize you for early repayment? If so, what are the | | | | eliminate your debt. |