Although student loans are a convenient source of funding for your education, it is important to budget and borrow carefully.
- Consider ways to keep your costs down to reduce student loan debt.
- Borrow only what you need and can reasonably repay.
- Research the average pay of your chosen field by viewing the Occupational Outlook Handbook. It contains information on projected earnings, expected growth rates and typical work environments for most occupations.
- Keep track of your loan debt and the amount you will have to repay when you graduate.
Take very seriously the responsibility of borrowing and repaying an educational loan.
- Read and understand the terms and conditions on your promissory note. You are agreeing to repay the loan with all accrued and capitalized interest and deducted fees.
- It is your responsibility to read and keep all your records and contact your lender regarding any changes in your status as a student.
- You are obligated to repay your loan regardless of whether you complete your education, are satisfied with your education, or are able to find a job.
How conscientiously you make payments on your student loan will affect your ability to borrow for a car, a house, or other purchases in the future. If you are late with your student loan payments, it will have a negative effect on your credit history. On the other hand, repaying your student loan on time can help you establish and maintain an excellent credit history.