Student loans are a huge responsibility! Manage them well and they can help you. Mess up and they can do major damage. How? When you begin paying back your student loans and you consistently make on-time payments every single month, your credit score will increase. Having great credit will help you when you rent an apartment, may help you get the job you want (⅓ of employers now check credit) and will help you one day get a loan to purchase a home. Do just the opposite…make late payments or just don’t pay altogether…your score will be in the toilet making all those things mentioned above harder.
Here are some other things you should become familiar with regarding your student loans:
When will I start making payments?
You’ll have to start repaying after you leave college (with a degree or without) or when you drop below half-time enrollment. You’ll have a short grace period before you have to begin payments (but interest may accrue during that time). Learn more HERE.
What will my monthly payment be?
Using an online calculator, you can figure out what your monthly payments will be once you enter repayment. Use it now, so you know what you need to plan for. Online calculator HERE.
Can I change my monthly payment?
If you have federal student loans (and we hope you do…private student loans are more costly and don’t have flexible repayment options) you have several options for repayment which may change your monthly payment amount. Check out the infographic! Learn more HERE.