Schooling your student loans: Five ways you can pay off student loans quicker

students in class for college

You made it into the college of your choice and studied hard for 4+ years so you could begin your dream career right after graduation. With your fancy diploma in hand, you interview for several great positions before finally accepting an offer for a job that you love and pays great.

Sounds like an absolute dream, right? Unfortunately, it's only just a dream for many post-graduate students. The reality is that most graduates struggle to find the right job with a livable salary for several months after graduation. Between paying rent, bills and other financial obligations, student loans kick in, adding even more stress to the financial scenario. With some early planning and understanding all of your options, you can avoid the stress of paying off your student loans.

Make small payments while you’re still in school

If you’re still enrolled and can afford it, making a small payment while you’re still in school can help reduce what you’ll owe later on. These small payments can also reduce the amount of interest that accrues on your loans. Even something as small as $30 can help you avoid capitalization on an unsubsidized loan. If you’ve already graduated, most student loans allow a six-month grace period where you’re not required to make any payments. Use those months to get a head start on paying down any accrued interest.

Pay more than the minimum

If possible, pay more than just the minimum amount on your monthly payments. If your financial situation allows it, try adding an extra $30-$50 on each monthly payment. Your payment will go toward paying off any accrued interest and then apply to your principal balance. Just a few extra dollars on each monthly payment can go a long way.

Double up on your payments

Along with making your monthly payment, make another payment of equal amount or more. Doubling up on your payments will not only reduce the amount of interest that you’ll accrue but will also reduce the total amount that you’ll owe in the long run. You may even be able to shave off some time on your repayment plan.

Understand your options

You may be eligible for student loan forgiveness without even knowing it. Under certain circumstances, the federal government could forgive some, or all, of your federal student loans. Some of these circumstances include Public Service Loan Forgiveness, Teacher Loan Forgiveness, Closed School Discharge, Total and Permanent Disability Discharge and more. If you qualify for any of the above, your loans may be forgiven, canceled or discharged.

Refinance your student loans

Take control of your student loan repayment by refinancing them. You may able to refinance and consolidate your private and federal student loans into one manageable loan, setting up one convenient payment and potentially lowering your rate. Our student loan refinance option features a competitive interest rate and zero origination fees so that you can simplify your life while amplifying your funds. Talk to your tax advisor to see if this is the best option for you.

The post-grad world can be a tough, but repaying your student loans doesn’t have to be. By getting an early start on your payments and exploring your loan repayment options, you’ll be on the fast track to paying off your student loans.

To learn more about Landmark Credit Union’s student loan options, click here.

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