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If there is one thing that prevents a majority of students from investing for the future, it is the burden of student loans. If you are a recent university or college graduate and you're wondering how you are going to pay back what you borrowed, look no further. It will require determination and time but, most importantly, a plan which will help guide you on your way to becoming debt-free.

1. Start immediately

As the saying goes, the earlier, the better. Start paying your monthly student payments as soon as possible'do not wait until your grace period is over. You will pay far less interest if you start paying earlier. Stay disciplined and create a payment routine'that way you'll be ahead in your payments.

2. Know what you owe and develop a plan

In order to create an accurate repayment schedule, you need to understand your loans. Make sure you know everything you owe and rank them from high to low, by interest rate charged, how much is owed, and the duration of time you have to pay. It helps to use an online loan repayment estimator tool to pay off your loan within a specific amount of time. This will help determine how much your monthly payments need to be.

3. Set a cash budget

An important part of paying off your student loans is allocating what goes into the loan and what goes into your personal life. This is also big part of financial independence since it's important to know where your money is going. By creating a budget, you can focus most of your attention on paying off your student loans while being able to spend on your everyday personal expenses.

4. Increase your size of monthly payments, if your finances allow it

This is kind of obvious, but it is one of the best ways to pay down your loan quickly. When you make any loan payment, you pay off any interest that has accumulated since your last payment while the rest goes directly to the principle amount owed. According to, increasing your monthly payments will help keep the amount of interest you pay to a minimum. In order to pay more each month, it's important to earn more and spend less. Find more ways to alleviate your debt, whether it's picking up a freelance opportunity or cutting back on unnecessary spending.

5. Stay positive and do not panic

It's important to have a positive attitude when it comes to student loans. If there are any obstacles you are facing or if you're having trouble making payments due to unemployment, health issues, or other unexpected financial problems, remember that there are options available for you. is a great source for tips and options on what you can do to manage your loans.

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