Master Student Loan Repayment Plans for Debt-Free Future
Strategies for a Debt-Free Future
Choosing the right repayment plan is just the beginning. Here are strategies to help you achieve a debt-free future:
1. Make Extra Payments: By paying more than the minimum each month, you can reduce the principal faster and save on interest. Ensure that any extra payments are applied to the principal balance.
2. Refinance Your Loans: Refinancing can lower your interest rate, reducing the total amount you pay over the life of the loan. However, this option may not be suitable if you have federal loans and wish to retain benefits like income-driven repayment plans or loan forgiveness2.
3. Explore Loan Forgiveness Programs: Programs like Public Service Loan Forgiveness (PSLF) can forgive the remaining balance on your loans after 120 qualifying payments if you work in a qualifying public service job3.