Budster | Student Loans

Student Loan Information & Debt Help

Having just graduated University myself, I know how much Debt College students can get into. The key is to be organised, while and after University. With Tuition fees being raised every year, especially in the UK where tuition fees have shot up over the past year. This page has been set up on my own experiences, with some tips for students with debt consolidation problems. Budster.Net is not just about students having fun its about helping them out too.

Using Bank Accounts Smartly

One of the key things a college or university student can do with a student loan is set up a student account. Most student loan accounts come with a large overdraft, something you probably have never had in an account before. Overdrafts are great, if used correctly, as they offer interest free money. One way to raise money is by going in debt. While actively going in student debt sounds crazy, this is easily and safely done by opening a savings account along with your student account. Then when you get your student loan, put it in your savings account, taking note of how much you put in. Then "spend" your overdraft throughout the term or semester. This way you will effectively be earning money. You do this via interest on your student loan.

In a high interest student account you will make a nice amount over the year, while during term time make sure you only spend as much as your loan. I.e. if your loan is £1200, only go maximum £1200 into your overdraft. When it comes to the start of the next term and you get your new loan, simply top the overdraft back up to zero. If you have been resourceful, then you may even have a few hundred pounds left over. If this is the case transfer the excess money over to your savings account, so you have £0.00 in your student account and your loan+excess in your savings account. This way you will still be gaining interest off your original student loan. If you can keep this up, especially with top ups over 3 or 4 years this interest will add up to a very nice amount, at no cost or risk to you. The key is being resourceful with your student loan and consolidate debt using the two accounts.

Other tips to Consolidate and prevent Student Debt

I know its hard, but try to economise. Try cheaper foods, see whats good and what you cant stand... if its good, then keep buying it. You'll save big in the long term, if you dont like it, then you probably haven't lost much. Value Fish Fingers might be the way to get rid of some student debt! Dont be afraid to experiment just because the box looks nasty.

Other ways to help thouse student debt blues are to check your university as they may off financial aid. Hardship funds, and forms of scholarship may help ease the debt, and give you a big extra to help you get along. Also check the way you pay tuition, can you make it easier by paying monthly or termly? this are individual things you have to investigate for yourself.

There are many other ways to consolidate student loan debt, and this site will be updated as I find them useful. I have made a collection of website links, which may help you out when it comes to student finances.

Budster.Net helds no responsibility for content of external links:
http://www.ucas.com
http://www.slc.co.uk/
http://www.educaid.com
http://www.slfaloan.com/
http://www.chelastudentloans.org/Loans/PrivateLoans.asp
http://www.universitiesuk.ac.uk/ors/
http://www.foundationforlps.org/scholarships/index.htm

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Disclaimer: Budster.Net holds no responsibility of your finances, nor does it offer a guarantee that any information provided will improve your cash or debt situation.