Instead of racking up the student loans, many college students are looking into alternative options. Student debt consolidation loans are a strong option for battling student debt but they are a reactive measure. A more proactive measure would be to limit the amount of student debt you graduate with.
A student newspaper at my school derived interesting results from a recent survey.
An increasing amount of college students are taking less courses in order to work more shifts and make more money to put towards their college tuition/student debt.
This got me thinking, is this a viable option for killing student debt? I think it is, BUT, only if certain conditions are met. There are a few occasions where this method for killing student debt can be applied:
If you are not in a hurry to graduate. People will tell you to get school out of the way, regardless of how much it costs. My only question is why? Why rush? Why stress about 40 grand in student debt? Sadly I’m of those people that has been in a rush to complete my studies the last few years. This year is when it really hit me that I should enjoy this time. I feel that I should use my last year in college to network as much as possible so that I can build a strong network of people before I need it. If you’re not in a hurry to graduate then you also have the benefit of working a part time job to help you work on your student debt/savings.
If you plan on pursuing more education after you graduate. If you want to attend graduate school then I’m positive you already know how expensive it is. If you work more shifts you get more of a grasp of what the “real world” is like and you will hack away at the student debt. If you plan on using student loans to pay for graduate school then I’m thinking your goal should be to complete undergrad with as a little debt as humanly possible.
If you want some breathing room after your college graduation. Not all of us want to dive straight in to the job hunt. When you graduate owing thousands of dollars to student loans you will be susceptible to jumping at the first job offer that comes your way.
If you are into traveling. We all know that college is the best time in terms of freedom and being able to do whatever we want. College is also an excellent time to see the world with no strings attached. There will be those that will argue and say you should focus strictly on your career when in college. All I will say is that everyone has different goals.
Please remember that this is not the best option for everyone. Taking less courses and working more shifts can really burn some people out. If any of the situations above coincide with your current situation then working during college can be the ideal option for you. Paying down student debt while in college is probably the best method for getting ahead financially of your fellow college students.
photo: stv brelades
2 thoughts on “Effective Method For Killing Student Debt & When To Apply It”
I think your thoughts are dead on regarding people rushing through school. I also think it’s wise to enjoy your final year while making sure to strengthen your network. You are probably already aware how small the world really is. Your network will become far more important than grades, especially as the years pass.
However, once you land a solid job doing something you enjoy, you’ll be surprised how quickly you can eliminate your student loan debt. Especially if you make it your #1 priority.
I would enjoy college as much as possible when you are there. Like Broke MBA said, you can pay for it later if you find a good job and really enjoy it. College is a once in a lifetime experience. Use it to grow your network and learn about yourself.