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What can I do to help me payback my student loan debt?

I have a Bachelors Degree in Business Administration and I am doing everything in my power to find a fulltime job in that department but with the economy being like it is its very hard. I am currently working parttime and its really not allowing things to happen. Im currently in the process of making up my mind to pay off credit cards and cut them up but with me feeling like I need them for emergencies I am at a lost.

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aewing25

Asked by aewing25 at 1:52 PM on Aug. 27, 2010 in Money & Work

Level 2 (4 Credits)
Answers (9)
  • As long as you call the company you have your loan with, they'll work with you. Generally, student loans are deferred for 6 months. Just call them and talk to them!
    rockinmomto2

    Answer by rockinmomto2 at 1:55 PM on Aug. 27, 2010

  • cut up all but 1 and ask that the credit limit be set to no more than $500. That way if an emergency arises, you have it. As for how to pay them off...start with the lowest balance and pay it off, then take the money you would normally pay to it and apply it extra to the next card.
    Jademom07

    Answer by Jademom07 at 1:55 PM on Aug. 27, 2010

  • I know I might be in the minority but you should have one credit card for emergencies. Keep it for that reason and only that! If you can't discipline yourself then cut it up. Anyway, chip away at your debt little by little. Is there a minimum you have to put towards the student loans? Live below your means and do what it takes to get out of debt. It is a killer.

    Have you done searches about where the jobs are? Just one link to look at. http://www.indeed.com/jobtrends.jsp

    Are you willing to relocate? Best wishes to you!!
    elizabr

    Answer by elizabr at 1:59 PM on Aug. 27, 2010

  • My parents started several years ago to start paying off their credit card debt. They kept the cards and the accounts open in case, as you said, there is an emergency. But they hid the cards away so there wasn't the tempation to use them for every day purchases. You could do the same thing. Not only that but if you close too many accounts at once, you'll harm your credit.

    If your debt is very high, you might want to seek debt consuldation or a credit conselor for help.
    HotMama330

    Answer by HotMama330 at 2:01 PM on Aug. 27, 2010

  • Contact the holder of you student loan and file for a derferment due to income hardship. They will give you 6-9 months with no payments due.. If you still aren't able to pay at that point, file for another hardship deferment.

    That buys you time to focus on your Credit Card bills and not have your student loan go into default.
    pixie_trix

    Answer by pixie_trix at 2:09 PM on Aug. 27, 2010

  • I did apply for a deferment to day and I am trying to get the student loans were not previously consolidated with the biggest amount of student loans that I have consolidated hopefully this will help somewhere down the line. I have written down all of the suggestions and Im goin to follow that as a guide. And as for job hunting I am like a lion in that area attacking everything that I feel like I qualify for.
    Thank You All!
    aewing25

    Comment by aewing25 (original poster) at 3:18 PM on Aug. 27, 2010

  • See if you can qualify for a hardship deferment or a lender-optioned forbearance. Generally, if your student loan payment is 20% or more of your monthly income, you automatically qualify for a hardship deferment.You'll still have to pay off the loan and you may end up paying more interest in the long run, but it will get you 6-12 months to get back on your feet.

    I did that, then once I got back working full-time, I started making minimum+ payments on my loan. (Min + $10, double payments, whatever I could afford over the min that month). Every month you make the min+ payment, you reduce your principal. As for the credit cards, pay them off first - the interest is WAY higher! Then take those bad boys and freeze them in a gallon ziplock bag of water. You will still have them for emergencies but they'll be so hard to use for impulses that you won't bother!
    geminilove

    Answer by geminilove at 7:38 PM on Aug. 27, 2010

  • I would call and have them consolidated. They could do that and cut the interest rates. You can also defer them longer than 6 months b/c of unemployed status.
    Mom2Just1

    Answer by Mom2Just1 at 8:15 PM on Aug. 27, 2010

  • How are you structuring your job search? Do you have a Linkedin profile? Are you attending networking events?

    There are lots of great tips and resources in the CafeMom Job Hunting Moms group
    rkoloms

    Answer by rkoloms at 9:22 PM on Aug. 27, 2010

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