There are a couple of tricks you can always use to have your student loan in check and avoid incurring extra interest costs and hefty fees. These tricks can be applied in all your future Northcash loans. Here are 10 of these tricks you can try out.
- Know your loans
If you’re in the process of repaying your student loan, it is vital that you know every detail about your lender, the balance of your loan and even the repayment details for all of your student loans. You can even ask your lender to shine some light on any areas that you do not fully understand.
- Know your grace period
If you do enough research, you will realize that every loan type has a different grace period. A grace period is this duration that you are allocated by the lenders that you take before you need to make your first loan repayment. For federal Stafford loans, the grace period is usually six months. For federal Perkins, it is nine months. The grace periods vary.
- Always communicate with your lenders
Always inform your lender of any new developments about your personal details. Things like new email or changed contact details are but a few of the details that your lender needs to be aware of.
- Go for the right repayment option
You can always change the standard plans for your loan repayments that best suit you depending on your financial situation. Extending the standard plan will lower your monthly repayments and reducing them will increase the monthly repayments.
- Don’t panic
Whenever you see other obstacles like health issues or even unemployment hindering you from meeting your loan repayment obligations, you should not panic. But look at the options available that you can use to manage your federal student loans. You can always temporarily postpone the loan repayments by opting for deferments or forbearance.
- Stay out of trouble
Not paying your student loan can lead to default or delinquency. These are things you do not want on your credit history. You will run into a lot more problems when you default to repay your student loan. So just avoid all this struggle and pay up on time as you agreed with the lenders.
- Repay when you can
You should be smart about your loan repayment plan. There are going to be times when you have more cash on your hands. Why not just pay more than the original agreed monthly repayment amount? This way, you will be working towards reducing the total interest you will have to pay in the span of the loan.
- Pay off expensive loans first
You may decide to pay off one of your loans ahead of the scheduled period if you have some extra cash on your hands. If you decide to do this, then it is advisable that you start with the most expensive loans as they have higher interest rates.
- Consolidate or not consolidate?
Consolidating your loans means you bundle them up into one loan, so you pay them all off into one monthly repayment plan. So, you need to consider your choice carefully and think about whether you prefer consolidating or not. Look up the pros and cons that come with this process before you dive into it.
- Loan forgiveness
There are a couple of loan forgiveness options and careers like teaching and nursing that will forgive any loans that go beyond ten years that qualify for the repayments.