April is National Financial Literacy Month — a month devoted to helping all Americans learn more about healthy financial habits. At University of Phoenix, we’re committed to responsible student loan borrowing, and that’s why our focus this month is on student loans and developing good student loan practices.
Many college students take out federal student loans to pay for tuition and related college expenses. Federal loans go into repayment six months after you leave school, but planning for repayment should start when you first borrow. At today’s interest rates, for every $1,000 you borrow, your standard monthly payment is $10. Borrow only what you need in student loans to keep that future payment more manageable. If you borrow additional funds of $3,000 each year, for example, that could be another $12,000 borrowed — or an extra $120 a month.
Try to find non-loan sources of aid, such as scholarships.
Talk with your Finance Advisor about options to borrow less.