?What's Worse than Student Loan Debt?
Although the media and financial institutions have been reporting about how crippling student loan debt is to modern American graduates, there are worse things in life. Because of the economy, everything costs more, especially a college education. Don't get pressured into taking advice from questionable sources about paying off your student loan debt. Unlike other things in life, there is always hope for paying off your student loan debt.
Interest Rates and Averages
The average student loan debt for individuals who had graduated from college after having studied for four years was $20,000 in 2006. This can be a rather intimidating statistic, and some students feel that having to start to pay off such debt just six months after having graduated from college will be too much to handle.
The sad reality of the matter is that anyone who has been born into a modern American or European household has been doomed since the day they were born to pay immense amounts of taxes to the government of the country where they live. In fact, you should feel better when you think about how insignificant student loan debt is when compared to the debt people get into when they purchase a home.
Financial institutions will always try to charge you an interest rate on any loan as high as they possibly can, especially at first. This is because the bank earns money by means of the interest they charge. As times go by, however, the bank will become more willing to lower your interest rate.
Your Situation Is Not Hopeless
Once you have held down a solid job for a period of time and you can prove to your lenders that you are a low-risk borrower, you will be more able to successfully negotiate a lower interest rate on your student loans. It might also be advantageous for you to contact one of the many non-profit organizations and speak to one of their debt specialists. They can help you with consolidation loans. They also offer money management classes.
It might not seem like it at the moment, but a $20,000 student loan debt is not all that horrible. Within five to seven years of paying reasonably sized monthly payments, you should be able to finish paying it off completely. Making more than your required monthly payment might even award you a refund. Remember, student loans are much easier to pay off than home loans.
Interest Rates and Averages
The average student loan debt for individuals who had graduated from college after having studied for four years was $20,000 in 2006. This can be a rather intimidating statistic, and some students feel that having to start to pay off such debt just six months after having graduated from college will be too much to handle.
The sad reality of the matter is that anyone who has been born into a modern American or European household has been doomed since the day they were born to pay immense amounts of taxes to the government of the country where they live. In fact, you should feel better when you think about how insignificant student loan debt is when compared to the debt people get into when they purchase a home.
Financial institutions will always try to charge you an interest rate on any loan as high as they possibly can, especially at first. This is because the bank earns money by means of the interest they charge. As times go by, however, the bank will become more willing to lower your interest rate.
Your Situation Is Not Hopeless
Once you have held down a solid job for a period of time and you can prove to your lenders that you are a low-risk borrower, you will be more able to successfully negotiate a lower interest rate on your student loans. It might also be advantageous for you to contact one of the many non-profit organizations and speak to one of their debt specialists. They can help you with consolidation loans. They also offer money management classes.
It might not seem like it at the moment, but a $20,000 student loan debt is not all that horrible. Within five to seven years of paying reasonably sized monthly payments, you should be able to finish paying it off completely. Making more than your required monthly payment might even award you a refund. Remember, student loans are much easier to pay off than home loans.
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posted by Debt Consolidation Loan at
11:44 AM
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