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Student loans can help to alleviate the frustration of college costs. Remember that you have to pay student loans back when you graduate. You will need to repay it. For some tips on doing so effectively, keep reading the following article.

Do know that you are probably going to have a post-graduation grace period from your student loans before you are required to start making payments back. This is the amount of time you are allowed after graduation before you loan becomes due. This will help you plan in advance.

Be sure you know about the grace period of your loan. Each loan has a different grace period. It is impossible to know when you need to make your first payment without looking over your paperwork or speaking with your lender. Be sure to be aware of this information so you do not miss a payment.

If you have extra money at the end of the month, don’t automatically pour it into paying down your student loans. Check interest rates first, because sometimes your money can work better for you in an investment than paying down a student loan. For example, if you can invest in a safe CD that returns two percent of your money, that is smarter in the long run than paying down a student loan with only one point of interest. Only do this if you are current on your minimum payments though and have an emergency reserve fund.

Don’t be afraid to ask questions about federal loans. Not many people understand what these types of loans can offer or what their regulations and rules are. If you have any questions about these loans, contact your student loan adviser. Funds are limited, so talk to them before the application deadline.

Never ignore your student loans because that will not make them go away. If you are having a hard time paying the money back, call and speak to your lender about it. If your loan becomes past due for too long, the lender can have your wages garnished and/or have your tax refunds seized.

How long is your grace period between graduation and having to start paying back your loan? Stafford loans have a grace period of six months. For Perkins loans, the grace period is nine months. Grace periods for other loans vary. Know when you are to begin paying on your loan.

If you want to give yourself a head start when it comes to repaying your student loans, you should get a part-time job while you are in school. If you put this money into an interest-bearing savings account, you will have a good amount to give your lender once you complete school.

When calculating how much you can afford to pay on your loans each month, consider your annual income. If your starting salary exceeds your total student loan debt at graduation, aim to repay your loans within 10 years. If your loan debt is greater than your salary, consider an extended repayment option of 10 to 20 years.

After reading this article, you should now be an expert when it comes to student loans. Finding a great loan is something that’s hard, but it’s easy with good information. Apply these tips to do just that.

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