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I’d like to talk about something that affects almost everyone in my age group of millennial’s, student loan debt.

Now, there are a number of ways to go about paying down these loans and getting free of that burden. You can live with your parents for a little while to save money on rent (I’ll pass) or you can get a roommate to make rent cheaper (now we’re talking). 

Now that you’ve managed to save a little cash, we can apply that to your loans and get rid of them faster!

Let’s start with the debt avalanche. 

Basically, you pay off the loan with the highest interest first. If you have extra cash, apply it to that while paying the minimum on the others. pay this off, and move to the next one.

Here’s a nice summary from Champion Empowerment Institute.

Maybe this isn’t your cup of tea. Another way to save money and pay off your loans is to refinance. 

I recently looked at my $90,000+ in student loans in an effort to refinance (I can’t as I’m still in school, yay Grad school). But my $90,000 in loans comes with another $33,000 in interest over the life of the loans! Jeez!

So I did the math and looked at some options, and come this December I will be on the refinance path! 

If I refinance mine at 3.35% (fixed) for 10 years that’s $90,000 and $13,000 in interest. Talk about savings. Especially since mine range from 5% to 8%!

If this seems like the path you want to go down I have some resources for you!

SoFi is an awesome free tool that lets you find a rate and signing up won’t affect your credit score! It can help you to save a ton of money!

So if you think a refinance will help you save money, check out SoFi at https://www.sofi.com/share/1611019?src=copy.

Interest rates may vary from my example. But the savings should speak for themselves!

How does it work?

You basically fill out some information about yourself and it calculates a rate based on your credit history. 

If it is lower than what you are paying now and can save you thousands, why not do it!

Before you pull the trigger.

If you are on income driven payments for loans than your federal loans will serve you best. A refinance will take away that option.

The best use for a refinance is if you have high-interest private loans. For this, you will see big savings!

Do your research and make sure it fits your needs. If it does refinance through SoFi!            https://www.sofi.com/share/1611019?src=copy