3 Ways to Pay Your Student Loans Faster

If you’re an American with a student loan that you can’t wait to pay off, then it should be comforting to note that are millions of other Americans that are exactly where you find yourself.

They also have the same objective as you: to pay off your loans as soon as possible.

So, here are 3 ways by which you can work towards paying these loans off:

#1: Reduce the interest rates

Almost every lender offers a discount for people who set up direct deposit, amounting to 0.25%, that might seem small but can save you a lot of interest over 20 years or so. It’s also OK to check with your lender as to whether they offer discounts based on timely payment or a good credit score too. Consolidation loans offered by the federal government or private money lenders are also worth considering.

#2: Increase the number or amount of payments made

Not only can you pay more out of your current paycheck but you can even do this bi-weekly as well so as to reduce the amount of your student loan. But will your lender accept? Yes, he will accept either method just as long as it involving paying him back the money he’s owed. Just make you are consistent with your payments with either approach.

#3: Earn more money or budget to pay towards loans

It’s ridiculous to suggest that you should put away a little more money towards when you don’t aren’t able to put away any more. There are two approaches that you can take in an attempt to do this. One is by taking on more work in order to earn more so as to pay them towards the loans or tighten your budget. For the former, you can take up freelance work in tutoring kids or even writing for the web too.