Student debt. The two words that everyone dreads. But does it have to be that way? Advisers call this ‘good debt’ and as long as you stick as close as possible to that side then everything will be okay. You’re one of the millions that are saddled with student debt but now it’s time to own your choice and see it as a positive.
The key to getting out of your student debt is to fully understand it and this will stop you stressing about it.
What makes student debt different from other debt?
- You only repay once you’re earning enough
Other debts don’t take into consideration how much you’re earning, they want paying there and then but a student debt does. You won’t actually start paying your loan back until you’re earning over £21,000 a year.
- If you’re out of work then repayments will stop!
Unlike other forms of debt if there’s ever a time that you’re out of work then repayments will be stopped until you’ve got a job again and you’re earning over £21,000 of course.
- After 30 years it gets wiped off
If you’ve not paid all your student loan back after 30 years, don’t panic. The remaining balance will bewritten off. It’s predicted that 70% of student who have graduated won’t actually pay their loan back in full.
How to help yourself
Is money getting you down? Is it affecting your mood, studies or relationships? Here are some things you can do to help yourself:
- Talk to someone, preferably sooner as opposed to later
- It’s okay to admit you’re not coping
- Make the most of friends and family
- Get to grips with managing your money
- Take it easy
Find Graduate opportunities at Careermap.