How to Stay Motivated to Pay Off Student DebtJun 01, 2018
With student debt loads on the rise, getting relief can be a serious investment of time.
According to Statistics Canada, the average graduate is leaving post-secondary education with $26,000 in debt to pay off. As these Gen Y adults head into a tough job market, facing cost of living challenges (just look at any gas station sign these days), how can they keep up with payments?
Sometimes, it’s not getting started that’s the problem. Setting a budget that creates some room for paying down debt every month isn’t too difficult (it can be as easy as finding an online worksheet). For some grads, it’s sticking to that budget that’s difficult over time. With total debts climbing over $25,000, having the wherewithal to make payments month after month is tough.
To help with this process, here are a few online resources that make paying down student debt easier on an everyday basis.
How quickly should you pay off student loans? — It’s natural to want to pay off student debt as quickly as possible. This article from Boomer & Echo, though, explains situations where delaying student loan repayment can make sense.
How to pay off student debt after starting your first job — With a new source of income comes a new opportunity to shake up your budget and make more debt payments. This blog from BDO outlines how you can do that, including setting up automated payments to take the temptation of spending out of the equation entirely.
How to make your student debt your “second job” — Changing your attitude about paying off student debt is important. This blog from The Good Men Project gives you six strategies for paying off debt; one is to take your debt as seriously as you do your job.
Money apps to keep your financial house in order — This article from The Globe & Mail lists some of the most popular apps and websites that Gen Yers are using to control their spending and stick to their budget.
Limit daily spending with the “latte factor” — It’s more than just coffee. Cutting back on everyday purchases like lunches and manicures works as a debt relief option. Just ask finance writer Christine Drummond from The Wallet Diet, who writes about it in this blog.
Whether it’s changing your mindset, limiting spending, or trying out a new app to track spending, these strategies can go a long way towards leaving your student debt behind. If you find yourself losing motivation, consider switching up your payment strategy. Over time, that burden of student debt will disappear.