Make no mistake; college is an expensive time. Not only does it cost money to get there, but it costs a lot to live too. Between the expenses that come with living independently and the hectic social scene, it’s no surprise that students end up racking up the debts before they graduate. If you’re already finding yourself in debt, don’t panic. You’ve got time to get a grip on your finances ready for when you leave.
Learn more about dealing with debt in college below.
Face the reality of your debt
It’s scary to face your debt head-on, but you’re going to need to know exactly what you’re dealing with to help tackle it. Add up all of your debts (not counting your student loan), as well as the interest rates. Work out how much you can afford to pay off each month, ensuring you cover the minimums on the lowest interest debts and allocating more money to those with higher interest.
Set yourself a budget
Setting a budget is one of the most sensible and straightforward ways to tackle debt. By creating a budget for your college expenses, you can free up some additional money to put towards your debt repayments and stop yourself from getting into further debt. Sticking to a budget isn’t always easy, but if you can show some discipline, you’ll clear your debts much quicker and learn to manage your finances better.
Get a job
If you don’t already have a part-time job in college, you should think about getting one. Even if it’s just for a couple of hours a week, it could help you clear your debts. There are some high-paying part-time jobs you can do in college, while there are things you can do at home online like blogging and copywriting when you’ve got free time too. The other bonus of a part-time job is that it will give you some experience that will come in handy after college. Keep an eye out for opportunities that will let you work around your studies.
If your debts are spiralling out of control or you feel that you can’t manage repayments, then it might be time to ask for help. You could talk to your parents, friends or an advisor within the college about your situation. Alternatively, a debt settlement program from debtsettlement.co could help you out by negotiating with your lenders and finding a solution so that you can manage repayments. You don’t need to feel alone in dealing with your debt, and the sooner you get help – the better off you’ll be.
Getting a handle on your debt before it’s too late will teach you a lot about managing money. There’s a lot you can learn about building financial self-discipline in college that will help you reduce your debts while also benefiting your financial future. Start dealing with your debt now to help get your finances in order before graduation.