Top 7 Student Loan Tips for Recent Graduate

College students see paying back their students loans as one of the “bad things” of graduating.

When parents or students have to go to private companies or banks to borrow, it can be stressful, but when they have to go to the Federal government or State government, it’s a safer bargain.

The special thing about being a recent graduate is that you finally graduated! The most least-liked of being a graduate is you have to pay back your student loans!

Remember these helpful tips if you will become a graduate soon.

Here are the top 7 student loan tips for recent graduate to ponder over while in school.

1. Grace Period.

Always remember your “grace period” since various loans have various periods as defined by how long students are able to wait before actually paying back their loans.

For instance, Stafford loans allow for 6 months before your first payment should be paid out.

For the Perkin’s loans the grace period is about 9 months.

Additionally, the federal PLUS loans are similar to the Stafford loans, buy you may want to see their deferment policies on the federal government website.

When it comes to the private institution loans, they all vary. This is why you must keep in contact with your lender.

2. Stay in touch.

When you stay in touch with your lender, it shows effort in communication. For instance, if you move after you graduate from the university you are at, but live out of town, it may be wise to let your lender know your home address or where you reside.

It’s the right thing to do. Make sure you give your lender your contact information.

In fact, read your paper or electronic mail so you know any new updates regarding your loans. Communication is key for all lenders and students.

Another important thing to remember is receiving those phone calls from lenders you may have borrowed from for your education. Talk to them so they stop calling, it’s that simple!

You don’t want to go into default because you ignore talking to the agency. They have rules they must abide by when it comes to collection agencies so to avoid those long term consequences, talk to your lender.

3. Options to pay back.

As a recent graduate, you do have an option to pay back your loan. Therefore, when you pick you option, pick wisely.

Think realistic and stay with it. Success is consistent.

For instance, when you have to pay back your loan, the standard payment plan is the 10 year repayment plan. If you find out that your payment plan is too much, then you have the right to reduce it if need be.

Simply contact your lender and get all the options you can delivered to you by mail or via email.

Here are some of the options to think about:

• Obama Loan Forgiveness
• Graduated Repayment
• Extended Graduated Repayment
• Income Sensitive Repayment
• Extended Standard Repayment
• Income-Contingent Repayment
• Revised Pay As You Earn (REPAYE)

4. Join the military!

If you want to get out of your student loan, or at least a portion of it. The option to join the military and serve your country that served you while you were in college or while you are in college.

This is one of most patriotic things to do to pay back your loans.

Go to www.GetOutOfDebt.org and learn more about these options.

If you get in the program, joining the military such as the reserves or any of the U.S. military branches will give you rank as well as being an active member.

The Army, Air Force, Marines, Navy, or Coast Guard are the options for military service.

Another duty of work you have an option to do is working full-time as a public servant in your city.

5. Don’t get into trouble!

When you ignore your obligation to payback your student loans, then there could be some serious consequences.

You may get into a delinquent or default status with the federal loans, and this normally happens after 9 months of non-payment.

The first of three things happen is your credit can become ruined, your balance is due in total, and you may not get your tax refunds as well as your checks or wages from work garnished.

This is not a good thing as a recent graduate, much less a young person just starting out in the workforce.

Go to this website for more information http://www.studentloanborrowerassistance.org/default-and-delinquency/.

6. Don’t go into panic-mode.

When you feel that you’re having trouble making payments, there’s help. Say you become ill and you have health problems because of it, or you become unemployed, there are laws that protect you from the financial burden of paying back your student loans.

This also means that you may not get any loans in the future, but you have to deal with one loan at a time.

These are legitimate reasons to postpone your payments temporarily to the federal government.

There’s also the forbearance laws that you may qualify for.

For example, an unemployment deferment is one way if you’re having trouble finding work.

Although the interest does accrue, there are various loan forbearances. Ask your lender about them. You can still make those interest-only payments.

The IBR or Income-Based Repayment is one way to repay, which can be as small as $0.

7. Know what loans you have.

What’s important to have a log with the lender, the balance, and repayment status. It’s important to keep track of the lender, balance, and repayment status for each of the loans. All the options are for your student loan plans should be in this log. Visit www.nslds.ed.gov and log in what you see when you find your amounts, lenders, and repayment options.

If some are not on this site, you may have private or non-federal loans. You can always contact your financial aid office counselors or advisors for help in tracking down your paperwork. After all, you did go through the school to get them, right?

Finally, when you decide it’s time to take action, don’t put it off to the last minute. Call this number (1-800-699-2908) to get further information on-repaying Federal student loans, and enjoy life without ruining your credit.

It’s the balance of having your work-life in-sync. Consequently, don’t procrastinate since those lenders didn’t procrastinate when they shelled out the thousands of dollars for your future.