Student Loans: Everything You Need To Know About Repayments
What is a Student Loan? A student loan is borrowed money that is repaid over the time once a student has completed their studies and starts a job. In addition to repaying the amount loaned, most loans also require an additional fee called interest. A student loan is used to pay for college or university costs.
Repaying a student loan can often times put you on the back foot before you’ve even stepped through the door of your first job.
How do I make repayments?
Once you are ready to start paying off your loan, you’ll be responsible for sending out monthly payments to the company or institute that you have taken out a load with.
You should have received all the banking details of the loan servicer upon approval, however if you don’t know where to send a payment, check with your college or universities financial aid office. You can then contact your loan servicers directly.
Tips to prepare for student loan payments:
- Use the grace period to research student loan repayment options and decide which option you would like to use
- Never miss one payment or this will set everything back
- Create a budget
- Prioritize paying off student loans
- Communicate with your loan servicer
- Set up automatic debit payments so that the hassle is out of your hands every month
- Avoid student loan default at all cost
- Give yourself a target to shoot for and set a date by when you would like to be finished with the loan
When must I begin repaying my student loans?
Most student loans have a few months grace period, which means you won’t have to start making payments until after you graduate and find a job. The grace period is meant to give you a chance to find a job and begin earning an income so enable you to pay off the loan made.
Most popular articles today
Online learning has always been a worthy alternative for prospective students who have other career commitments but are still interested in furthering their studies. Below is a list of registered colleges through which one can study online which offers online courses in South Africa.
The Covid-19 pandemic has had a considerably dire impact on the functioning of the Higher Education sector. As a result, many of the universities across the country had to adopt online learning, despite much of the country's households having no access to internet connectivity.
Other people were also interested in:
South Africa’s road fatality rate is a national crisis. More qualified safety professionals are needed to take charge and restore safety on our roads. Lyceum’s purpose is to fill the gaps of under-resourced departments and let our graduates be at the forefront of curbing traffic and road accidents.