To put it simply, student loans can place a burden on anyone. This is especially true for younger men and women, since it's likely that they are the ones who know the least about financial stability. While this doesn't necessarily mean that they are incapable of saving money or making frugal decisions, it's likely that they can benefit from greater levels of information. If you would like to know about the common student loan mistakes to avoid, here is a list of 4 that Bob Jain can tell you about.
1. MarketWatch posted an article on the matter and one of the first mistakes listed was being under the impression that loans absolutely must be attained. Around 60% of all students, according to the Chronicle of Higher Education, borrow money but what does it say about the other 40% or so that do not? It is easy to assume that they have been able to pay off their tuition's in other ways. Perhaps there is a more inexpensive campus that they decided to go to with more affordable rates.
2. Bob Jain may instruct students to not take everything that is offered in student loans on an annual basis. What this means is that if you are given a certain amount of money, year by year, it's possible that you do not have to use all of it in order to pay for school. This is where a certain level of cautions should be seen; if there is money left over, it's easy for said money to be used for purposes outside of school. As authorities along the lines of Jain will tell you, accept only the necessary funds.
3. What happens when students and graduates do not keep track of their debt? One of the biggest problems that students have, in my view, is staying organized and the fact that they have several responsibilities does not help matters. Fortunately, there are ways to keep track of how much that you owe and one of the best ways to do this is to keep all of the physical records that are mailed to you. The ability to store these notices will allow you easy access to referential materials.
4. From what I have seen, most students do not understand the differences between federal and private loans. Fortunately, MarketWatch covered the matter in further detail, stating that federal loans are generally much easier to work with, as they are flexible and possess lower interest rates. While this option may be preferred by many, this doesn't mean that private loans should be written off. It's just a matter of researching the matter so that students can make more of an educated decision as to what will be best.
1. MarketWatch posted an article on the matter and one of the first mistakes listed was being under the impression that loans absolutely must be attained. Around 60% of all students, according to the Chronicle of Higher Education, borrow money but what does it say about the other 40% or so that do not? It is easy to assume that they have been able to pay off their tuition's in other ways. Perhaps there is a more inexpensive campus that they decided to go to with more affordable rates.
2. Bob Jain may instruct students to not take everything that is offered in student loans on an annual basis. What this means is that if you are given a certain amount of money, year by year, it's possible that you do not have to use all of it in order to pay for school. This is where a certain level of cautions should be seen; if there is money left over, it's easy for said money to be used for purposes outside of school. As authorities along the lines of Jain will tell you, accept only the necessary funds.
3. What happens when students and graduates do not keep track of their debt? One of the biggest problems that students have, in my view, is staying organized and the fact that they have several responsibilities does not help matters. Fortunately, there are ways to keep track of how much that you owe and one of the best ways to do this is to keep all of the physical records that are mailed to you. The ability to store these notices will allow you easy access to referential materials.
4. From what I have seen, most students do not understand the differences between federal and private loans. Fortunately, MarketWatch covered the matter in further detail, stating that federal loans are generally much easier to work with, as they are flexible and possess lower interest rates. While this option may be preferred by many, this doesn't mean that private loans should be written off. It's just a matter of researching the matter so that students can make more of an educated decision as to what will be best.
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Call Bob Jain Credit Suisse if you're searching for some additional information about Bobby Jain.. Unique version for reprint here: Bob Jain & Outlining Four Student Loan Mistakes.
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