Back in May, you graduated from college. This is one of life’s biggest accomplishments, but it also comes with a lot of responsibility. The responsibility includes: managing a fulltime job, living in a new place and paying off student loans. November is right around the corner, when your student loan grace period ends and your payments begin. Today’s Heartland Bank blog is about preparing to pay off your student loans.
Preparing to pay student loans:
- Begin saving money. This seems like an obvious way to prepare to pay your student loans, but you will not realize the importance of saving until student loan payments come around. Always plan to pay a little more than the monthly minimum. By saving money now and paying a little more off on your loan, you can save in interest later.
- Get a hold of your loan provider. You may be receiving emails about the status of your loans, but once the time gets closer to the ending of your six month grace period, get in contact with your provider. This will give you a chance to ask questions and clarify your payment plan.
- Start payments on interest now. Even during the six month grace period, your unsubsidized loans are collecting interest. Depending on your rate and amount of loans, this could add hundreds of dollars. Figure the interest and start making those payments now, if you can afford to do so.
- Create a budget. With your first fulltime job, new responsibilities and loan payments around the corner, set a budget for yourself each month. Within that budget, be sure to save the maximum amount possible within your earnings.
Heartland Bank is here to help with your student loan pay off, so set up an appointment today with our Financial Advisor.