Tools for dealing with student debt
Coast Capital Savings
Graduation for many college and university grads is bitter sweet. For most, it’s a celebration of finishing their studies and embarking on a new career. For others, it comes with the heavy weight of student debt. According to the Canadian Federation of Students, the average debt for university graduates is around $27-thousand dollars.
Taking on loans to pay for your education is considered a good debt - an investment in your future. In fact, according to Stats Can, a university graduate averages $1.3 million more in earnings over their lifetime than a high school grad. That’s an investment with pretty decent returns
But good or bad debt doesn’t change that fact that you have to pay it all back at some point. If you are facing student debt, read on for Coast Capital Savings’top three financial tips for dealing with post-grad debt.
Keep living like a student
- Even if you're working right away and making great money, keep living like a student for another year and direct any funds over and above the essentials to your student debt. The faster you can put a dent in those debts, the less interest you'll pay.
Get advice and make a plan
- Graduation is a good time to meet with a financial advisor and make a plan to manage your present obligations as well as planning for your future.
- They can help analyze your obligations and discuss what options will benefit you most.
Consider interest relief programs
- The first year after graduation can be especially challenging as students look for work. If you find yourself struggling to make payments on your student loan, you can apply to the federal and provincial loan programs to get some interest relief.
With a promise to build a richer future for youth in our communities, Coast Capital Savings is a regular contributor to InTouch e-News, and active supporter of Kwantlen Polytechnic University’s work to provide young people with vital educational and career skills to become successful leaders and contributors to society.