4 Tips to Adhere to When Taking Loans

Whenever it comes to the decision of pulling loans, the best choice would usually be to say no. It’s a risk, because you never know if you’ll be able to get a job right out of college to pay it off (usually, you don’t). Typically, students make the mistake of borrow more than they really need or could possibly ever afford. But if you feel that it’s absolutely necessary in order to complete your degree and start your career on time, here are 4 tips to help avoid making those mistakes:

  • Attend a school you can afford. While it may seem way cooler to go to a prestigious university like Duke to get your 4-year degree, it’s going to be incredibly expensive. The best route to take would be to get your 2-year degree in a community or state college and finish off at a university that won’t end up leaving you in debt for the rest of your career.
  • Get an idea as to how much debt you will have to pay off after four years. This would of course include interest rates. Get a ballpark estimate of how much it would cost you if you got your degree in four years and decide whether or not it would really be worth it judging by how much  money you expect to make in your career.
  • Complete Your FAFSA early. To qualify for certain scholarships and grants, you need to apply for your FAFSA before the deadlines come around —  some being as early as January, so get to it.
  • Spend borrowed money on only tuition, room and board, textbooks, and other education-related expenses. This seems to be a problem with many students, especially since most kids nowadays aren’t taught how to manage their money. Ok, so the dorms suck and the food’s terrible. Deal with it. You’re not going to college for comfort, you’re going there to learn.