Student Loan Advice For New Graduates

Graduation is coming and soon you will need to pay back your Student Loans. Thankfully for you, Make Your Nut has compiled a lengthly post full of advice for you new grads.

The post is full of scary terms like Consolidation, Delinquency and Forebearance. Terrifying! The Department Of Education has some helpful information and tools concerning loan repayment, so check them out as well. —MEGHANN MARCO

Advice for New Graduates: Student Loans [Make Your Nut]

Rapaying Loans: Editor’s Picks [Department of Education]
(Photo: CarbonNYC)


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  1. exkon says:

    Not bad advice.

    Consolidation is probably one of the main points of paying off your student loans. But be careful because some places will hit with fee for consolidating your loan.

    Another piece of advice probably just common sense, pay more than what you owe each month. $10 extra a few months can cut like a year or two in the long run. But be careful some loans have penalties for paying off your loans early.

  2. Dont get student loans.

  3. @Holden Caulfield: Then you wont have to worry about paying them back.

  4. I forebore on mine for a year, the first year we were out. We paid my husband’s and forebore on mine, and I was given the option to pay off just the interest rather than letting it accrue. For us it was a good choice, particularly with the option to pay the interest rather than rolling it into principle.

    (I do on my student loans what I do on my mortgage — round up to the nearest hundred, and then keep paying that amount even when the payment drops, since you’ve already got it in the budget. Currently works out to about an extra payment a year on the mortgage and about two on the student loans.)

  5. SA says:

    @ Holden Caulfield: That’s easier said then done. I’m going to school in-state and I’m going to have to get loans. College prices are a bitch now.

  6. rmz says:

    @Holden Caulfield: Yeah, because I totally could have paid for my college education out-of-pocket. I suppose I could’ve worked at McDonald’s and saved up for fifty years first.

  7. kimli says:

    @Holden Caulfield: Of course! Why didn’t I think of that? However, I think most schools frown on it when you don’t pay the tuition.

  8. Anitra says:

    I’ll sum it up in one word: PAY. Start paying your student loans as soon as you get the first bill. Find a way to pay AT LEAST the minimum payment. The lenders will make your life miserable if you need to put the loan in forbearance or if you are delinquent.

    See for horror stories about what happens when you can’t pay your loan(s).

  9. RandomHookup says:

    I hear the Army has a great program for getting rid of college loan debt. And a chance to see the world, too.

  10. Gopher bond says:

    What’s a state school cost? Michgan State is like $8K a year. People can’t figure out how to get $8K in one year for something they really really want?

    It certainly wasn’t pleasant, but I saved up $10K in high-school and that paid for two years of college. It can be done if you really want it. But you can’t buy beer and weed and fancy pants.

  11. RandomHookup says:


    When I went to school, we didn’t have pants and we liked it.

  12. wildhobo says:

    @Holden Caulfield:

    Student loans are the best thing I ever did. I came from a military family with three kids in school got my engineering degree and was able to consilidate down to less than 3% about two years ago. I make more on my savings account and just have it auto-debited. I will never pay them off early because it doesn’t make financial sense.

  13. TechnoDestructo says:


    A chance to see the world.

    Like a lottery ticket is a chance to become rich.

    Odds are you aren’t going to see much of it. Not saying it’s a bad idea, just don’t go in expecting something you might not get.

    Also if you were to go into the military for loan repayment, you should make DAMN sure you meet all the requirements…that you enlist in a way that allows loan repayment. Things that might mean are: No enlistment bonus, enlisting for longer than the minimum period (I believe you have to be in for 6 years to get loan repayment in the Air Force), and I’m not sure, I think some of the programs mean you aren’t eligible for GI bill education benefits.

    None of this stuff concerned me when I was in, so I only have vague recollections based on my friends’ experiences. Just make sure you CHECK THOROUGHLY, and get everything in writing, in your enlistment (or equivalent for officers) contract.

  14. 0x12is18 says:

    @testsicles: Some of us have families and children and real lives with real expenses and school takes time and money. When you’re working on an engineering degree, it takes time and money. You can either work 50 hours a week to pay all the bills and have no time for your school work, or you can work less and do all your school work and not have enough money. School loans are an investment in your future.

  15. Charles Duffy says:

    @rmz: You went to school somewhere too expensive, then. I attended (in-state) CSU Chico [which had a quite good engineering program] for less than $2K/semester after books, and had a two-year scholarship (which wasn’t hard to qualify for at all). By the time I was no longer receiving the scholarship (*cough* boring out-of-major classes bringing the GPA down *cough*), I knew the local business owners and could pay my tuition and cost-of-living easily.

    I can see needing to pay through the nose for med school, because you have to pay through the nose for med school… but for anything else, why would you?

  16. Gopher bond says:


  17. @all **full disclosure** I’ll be honest, I’ve only paid for two years of college out of pocket and that is at a community college. So I really dont have a basis for comparison and I probably was talking out of my ass a little bit. But isnt there a way to subsidize your tuition through grants and all that?

    I really havent compared graduate school prices yet but I see that they are somehwere around 25 grand for four years. Working part time during school and working your butt off during the summer tends to cover those costs, does it not?

  18. Marce says:

    That first link is pretty good. There is one glaring mistake, though, in the second to last paragraph:

    “The rate lock is especially important, since every summer the interest rate on federal student loans adjusts.”

    This is no longer true. The current rate is 6.8% and is not supposed to adjust again for several years, if ever. Double-check with the Department of Education’s website on this one every year!