According to research done in the USA, in 2020 64% of the students took some amount of loan for the purpose of their education. It is very important for students to understand the rules and regulations associated with the repayment of loans. A lot of times banks lure students into taking loans with high-interest rates which later cause complications. Here are some tips for students which will help them in minimizing their debt and even avoiding to take any loans-
- Enroll in a community college instead of getting into a university or a big private institution. This will help you in saving a lot of money in terms of accommodation and you will also have the opportunity to work part-time because they are not that stressful.
- Do your research about ‘no loan’ colleges and try to get into one.
- Look beyond conventional sources of sponsorships like scholarships and endowments. Do your research to find out about other charitable trusts and private organizations that help students with their university fees. Try to expand your options as much as you can.
- Don't spend too much on your living expenses. Avoid living in lavish apartments no matter how gravitational they may look. Spending too much on your accommodation is unnecessary and futile.
- Make sure that you are well acquainted with the norms and rules of the loan that you have taken. Consider hiring an advocate or someone with legal smartness so that you are on the safer side. Also never borrow more money than you need.
