Student Debt Strategies: Freeing Yourself | Zero Debt
Student Debt Liberation Strategies To Eliminate Your Loans - blog | zerodebt.co.za

Mastering Student Debt: Proven Strategies for Financial Freedom

Taking out a student loan to complete your studies is one of those types of debt that is hard to avoid. Unless you have wealthy parents or are able to get a full scholarship, the unfortunate truth is that you cannot get a tertiary education without incurring some student debt. 

However, it is absolutely crucial that you repay and clear that debt as soon as possible to ensure a good credit rating and secure your financial freedom. With that in mind, here are some strategies for how to eliminate your student debt loans as soon as possible.

Make a Budget You Can Stick To

The first step towards overcoming your financial woes is to create a clear and accurate budget that will help you understand how much you’re spending and how much you’re earning. Doing so will help you identify any areas where you can cut back or save. 

By reducing unnecessary expenses, you can free up money to put towards your student loans, thus paying them off faster. The key to having a budget is to be disciplined, otherwise, it won’t work.

Funnel Extra Funds Towards The Loan When Possible

The best way to get rid of debt quickly is to pay it off as fast as possible. Make larger payments whenever you can, such as using extra money from bonuses, commissions, tax refunds, or unexpected windfalls. Instead of spending that money on frivolous items like clothes or a new Playstation, invest it in your student loan to expedite repayment.

Consider Refinancing or Consolidating Your Loan

Refinancing your student loan or consolidating multiple loans can potentially lower your interest rate. If you have a good credit rating, more of your payments will go towards the principal rather than the interest. Ultimately, this can save you money over the life of the loan and help you pay off your debt faster. 

Before taking this step, however, consult with a professional financial advisor to ensure you’re getting the best deal possible.

Live Frugally and Boost Your Income Where You Can

While it’s not easy, living frugally means cutting back on unnecessary expenses such as fast food, outings, and other extravagant purchases. It means opting for the cheaper option on the shelf rather than your favourite brand. 

Additionally, consider taking on side jobs to increase your income, then use the extra money to pay off your debt quicker. Every extra rand earned can contribute to faster debt repayment.

At Zero Debt, we aim to help individuals become free of their debt obligations as soon as possible. Contact us to set up a counselling session for the advice you need.