The amount college students borrow is skyrocketing. The current Administration is offering students a chance to consolidate their federal student loans, but that isn’t the problem. The issue is borrowing more than they need in the first place. To add extra insult, students don’t keep track of how much they’ve racked up in loans, and they don’t budget to keep expenses in check.
If you want to know how much you currently owe in student loans, use the National Student Loan Data System to get an update. This is the U.S. Department of Education’s central database for student aid..
Did you know the law already lets student loan borrowers limit their loan repayments to 15% of their discretionary income, and it forgives all remaining debt after 25 years? Find out if you are eligible here or check with your college. Few students know about this option.
If you are a young entrepreneur, check with the Small Business Administration at this site to see if you can reduce your monthly student loan repayment.