How to pay off post-graduation debt

How to pay off post-graduation debt
by Luz Moncada

Approximately 60 percent of graduates from the class of 2016 graduated with student debt, according to For many students the thought of debt is intimidating, seeing as more than half of students graduate in debt, but with a clear plan that intimidating thought can be turned into determination.

Not all loans are the same. The first thing that students need to understand is what type of loan they have and how soon their payments are due. According to, the most common loans students receive are from the Federal Government.

Being informed and financially conscious are simple steps that will make student debt less intimidating.

These loans are Direct Subsidized/Unsubsidized loans and Subsidized/Unsubsidized Federal Stafford loans. These student loans offer a six-month grace period before any payments have to be made. During those six months, students can come up with a budget or plan to help pay that debt.

Most students will search for their dream job or career right after graduation. However, time to find that perfect job may run out. A temporary job can help recent graduates save money while continuing the search for their preferred job.

Once payments are due, try using any extra cash to make an extra payment, or pay more than the minimum amount, instead of spending it on going out. Sacrificing a splurge or two and putting that money towards your next payment will help reduce the debt. Also, setting up an automatic bank withdrawal for payment will ensure it will be received every month.
Another option for students is refinancing or consolidating the loan.

According to Jeffrey Trull from, “When you refinance multiple student loans, you’ll get one consolidated loan with one monthly payment. Alternatively, you could refinance just one student loan for lower rates. You’ll likely only want to refinance loans where you can actually decrease your interest rate.”

Being informed and financially conscious are simple steps that will make student debt less intimidating. With determination that degree was earned, and with determination that loan will get paid.

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