Climb Credit recently teamed up with Course Report to provide eight ways you can reduce your student loan debt. From looking at your budget and making sure you don’t over-borrow to figuring out who your loan servicer is, these tips are here to help you navigate your student loan more easily and arm you with the knowledge needed to make your financing work best for you. Check out a quick excerpt below, and then click the link to read the full post!
1. Start saving and budgeting before coding bootcamp
In the months before you begin class, spend some time putting together a budget. One thing that makes managing a budget easier is a budgeting tool, whether you need one created for you, or want to make a personalized one.
Some specific actions you can take to save up money before school are:
- Spend less on eating out or ordering takeout.
- Delay those impulse purchases (just because you see something you want go on sale doesn’t mean you suddenly need it).
- This may be the most difficult one – don’t worry too much about the fear of missing out (FOMO). Seeing pictures of your friends at that concert won’t be fun, but trust us, saving that money will be worth it in the long run. And besides, there are plenty of inexpensive, if not outright free, things to do out there.
2. Calculate how much you can afford to borrow for bootcamp tuition
Cost undoubtedly impacts your decision, but the importance of cost depends on a students’ circumstances. You should also consider the end result; not just the initial investment. The tuition at one bootcamp may be higher, but also provide better class resources and career support. If a student can land a better job with a higher salary after graduation, then the education could more than pay for itself.
Looking online and reading reviews on websites like Course Report, visiting campuses, and hearing from alumni can help you get an idea about whether the price is worth the product, and whether you will get a good return on investment – which is especially important if you’re going to be taking out a loan.
PRO TIP: You only want to borrow enough to help you through your education – an education that gets you to your career goals.
3. Avoid borrowing more than you need
The amount you need to borrow depends on each individual student’s situation. If you aren’t working but still need to buy groceries, pay rent, or pay any other living expense, then borrowing some extra money for living costs on top of the tuition can be beneficial.
But it’s important to figure out exactly how much you’ll really need — track your spending, and then figure out which things are necessary expenditures. Borrowing more living expenses than necessary may be tempting, but you’ll just need to pay more back in principal and interest down the road.