Updated on November 10, 2017 by admin
Higher education entails availing student loans and these are not clubbed as “bad” loans by management gurus. However every student needs to plan finances such that they get out of debt as soon as possible. The planning of a achievable repayment schedule should be the primary aim, this will lay the foundation to a strong unshakeable financial future.
Financial planning is the cornerstone to a safe future. So, read up on organizing your finances and create a workable plan. The internet is a wonderful resource for planning tips and will be the ideal place to begin.
1. Create a record of your loan liability. File all documents carefully and make a note of what you have agreed to: interest rates, payment schedule and so on. Create an easy to use record on your computer. File details of your loan applications, promissory notes, disbursement and disclosure statements and loan transfer notices.
2. Plan your expenditure carefully. Sit down and determine how much money you need for day-to-day expenses. Try and minimize expenses and avoid borrowing while a student. Even if you do use a credit card make sure you are able to pay the bill in full when it is due.
3. Learn how to curtail expenses. Share living expenses and food costs with another student, minimize eating out, and learn how to cook quick nutritious meals, wash your own clothes. Minimize clothing expenses by learning to mix-n-match clothes.
4. Get part time work to meet your money needs. Try and save a portion of your earnings to tide over hard times.
5. Study hard and win prizes and scholarships that will reduce tuition fees or gain you credits.
6. Request family members to give you gifts as cash instead of kind for birthdays and festivals. This will help you meet your expenses instead of owning many watches or sweaters.
It is when you are a student that you need to learn the importance of credit reports and scores. It is important to begin building a “shinning” credit report and score from when young. You must ensure:
o That the monthly payments are paid on time every time.
o You try are minimize costs by paying a higher monthly installment.
o Use the deferment and forebearance options only when you need them.
o That you consider loan consolidation only as a last resort.
o You inform the lender whenever you change your address or job.
o That you check all statements concerning your loan carefully and bring any discrepancies to the attention of the lender immediately.
o You inform the lender if for some unavoidable reason your payment is delayed or about to be defaulted. Be professional always and keep the bank or financial institution in the know.
Student loans can be managed efficiently if you: borrow only what you need; you do not use the loan to lead a “high” life but to educate yourself; and you learn the art of controlling your expenses.
Life must be lived to the …
Updated on November 10, 2017 by admin
A lot of people are unaware of the fact that they can fix their credit rating themselves and the truth of matter is that that no one shares the information openly. The reason is that there are many people making money from the situation but I will show you how you can get your credit on track by doing it yourself.
The key to getting your credit rating on track is understanding the different negatives on your credit report and how to approach each one. You may have collection accounts on your report, which simply means that the original credit sold the account to a third party, this company now has the right to try and collect payment from you.
These third party collectors purchase the debt for a fraction of what you owe and try and collect as much as of the original amount as possible. By law, collection accounts can stay on your report for only seven years after which time they need to come off.
If you have collection accounts on your report and they have not reached the seven year mark, then you can try negotiating with the collection company a lesser amount in exchange for them deleting it from your report.
This is a great way to clean up collection accounts on your report. Another way to start improving your credit rating is to begin to rebuild new credit. The formula used to calculate good credit includes new accounts that are in good standing. You need a couple of these accounts on your report to show that you are a good credit risk.
The best way to do this even if you have bad credit is to start with a secure credit card as well as cards that are designed to help you rebuild your credit. There are a number of these cards out there and I can show you how to get approved for them. …