Common Mistakes to Avoid for Student Loans

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• Today we are going to discuss with CEO of The
  Student Loan Help Center and Author of The
  Ultimate guide to student loans Mr. Bruce
  Mesnekoff about common mistakes student can do
  while talking student loans and how to avoid
  these.
• With the number of options available, student
  loans are available pretty easily. This ease
  often create a lot of traps for students,
  mistakes that make may jeopardize the financial
  security in long run. As a result student will
  often graduate with more debt or pay a lot more
  interest than required. In this article we will
  discuss the mistakes to avoid making the best use
  of the student loans. So Mr. Bruce Mesnekoff
  What are common mistakes to avoid for student
  loans.
• Spending on Leisure Many a times students after
  getting the lump sum amount spend it on
  non-study related activities or items. It should
  not be forgotten in the glitter of money that at
  the end of the day it is borrowed money and it
  has to be repaid which will take years after
  graduation.
• Not working / Looking for Grants Many students
  completely rely on loans. There are various
  options to consider reducing the amount borrowed
  as loan. Options as grants, scholarships should
  be explored and working on part time jobs as
  well. Lesser the amount borrowed lesser is the
  amount to be repaid leaving you richer down the
  years.
• Not Considering Income Driven Repayments
  Repayments start after graduating from college.
  There is always an option of using income driven
  repayment which is helpful for people earning
  less and having more payments to be made for
  loans. As Bruce Mesnekoff said this option works
  as life saver for them. Not using this and
  sticking to fixed payments might lead people to
  default.
• Wrong Repayment Plans When repayments starts
  there are a few choices available with students
  to decide what they want to go with. Whether to
  go for consolidation or refinancing, students
  own conditions should be the deciding factor not
  merely the popular opinion. Choice for the
  repayment option should be made considering ones
  own long term financial goals.
• Not understanding terms and condition Whether
  going for direct loans or private loans, it is
  of immense importance that the student must
  understand the nitty-gritty of loan which will
  affect him or her. This includes tenure for
  loans, interest rate, repayment options, whether
  applicable for forgiveness programs or not, how
  long is the grace period etc. Since all these
  will affect the financial planning of the
  student only, it becomes important to be
  extremely cautious.
• Ignoring payments Many a times due to one reason
  or other, people ignore the repayment bills or
  keep it for future. This results into increased
  probability for loan going into default which

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will impact your credit rating along with other
problems compromising your future financial
stability. According to Bruce Mesnekoff , A CEO
of The Student Loan Help Center , Thus its
crucial to always be aware of the loans that you
have been granted and be vigil with its repayment
since your poor financial choices will haunt you
for years to come. For More Information Contact
Bruce Mesnekoff on LinkedIn