Tips for getting rid of student loans

Living with student debt can be demoralizing, but it doesn’t have to take over your life. Here’s how to take charge of your student loans.

Make a repayment plan
Knowing the value and interest rate of each of your loans will help you figure out how to pay off your loans efficiently. Use a student loan calculator to find the best repayment strategy for your situation, taking into account loan interest rates.

Avoid paying only the monthly minimums. It’ll take longer to pay the loans and cost more in interest.

Use the avalanche or snowball method
The avalanche method for tackling debt involves making the minimum payments on all your loans and then putting leftover money toward your loan with the highest interest rate. Once that loan is paid, focus on the loan with the second-highest interest rate.

The snowball method works similarly except instead of prioritizing loans with high interest rates, you start by paying off loans with the lowest balances.

You’ll save more money and time with the avalanche method, but the snowball method is often more effective because the relief of paying off one loan motivates you to continue making payments.

Don’t despair
As long as you make payments part of your budget, you’ll be living within your means while slowly but steadily paying off your loans. Consider finding other ways to supplement your income (a roommate, a second job, etc.) and try to maintain your frugal student lifestyle to keep living costs in check.