Being in College Amid the Student Debt Crisis – 3 Precautionary Steps You Can Take

Watching as the student debt crisis grows can be a little scary when you are currently working on your degree. At times, you may worry that you’ll turn into one of the 11% of borrowers who wind up defaulting on their loans. Or, you may catch yourself wondering if you should take a specific class because of the expense. While you can’t fully escape the cost of paying for higher education, you can take these precautionary steps to protect your financial well-being while you are in school.

Consider Going to Community College

Community colleges tend to have lower tuition fees and other costs compared to universities. You can often complete the majority of your first two years of your degree at a community college, and most credits should transfer once you move on to your final stages of your education. Keep in mind that you’ll want to make sure that the courses will transfer to your preferred university later. However, you are typically safe with general mathematics, science and language courses. It may also be possible to complete a couple of your classes at a community college while you are attending a university full-time.

Explore Alternative Financial Aid Options

Student loans should be your last resort for paying for college. Start by looking for scholarships, grants and work-study programs that you can use to cover at least a portion of the cost of your education. If you are currently employed, then you might also ask to find out if your employer offers tuition assistance. Make sure to check into your financial options at the beginning of each new academic year. You may find that new financial aid offers are added, or your eligibility may change for an option during your time in school.

Live On a Student Budget

Saving as much money on your living expenses as possible gives you more funds to put towards your education. If possible, you might want to continue living with your parents for now, or you might be able to stay with a distant relative if you are going away to college. This is also a good time to find ways to lower how much you spend on things such as food and entertainment. Hosting a dinner party at home can be less expensive than going out to celebrate a special occasion. You can also look for free concerts and other events that are open to the public. Living on a budget doesn’t mean having to give up on having fun when you think creatively and come up with less expensive alternatives to your favorite activities.

Student loan relief has been extended through the end of January of 2022. However, this financial option will not last forever. Many current students will be graduating shortly after repayment plans and interest charges go back to normal. Joining the movement for zero interest loans doesn’t require a huge time commitment, which is perfect for students. As someone who stands the most to benefit from student loan reform, sharing your story, writing to your political leaders and spreading the word to other students gives you the opportunity to take control over your financial future.