Student Loan Payments Resume, Experts Advise on Managing Education Costs

With this significant development, experts are stepping in to provide invaluable advice on pursuing higher education without accumulating unnecessary debt.

In a pivotal moment for students across the nation, student loan payments resume after a three-year hiatus

Brian Walsh, the manager of financial planning at the online bank SoFi, underscores the critical importance of prudent financial management to keep college expenses in check, especially in the face of surging interest rates and daily costs. In this context, he highlights the importance of assessing the earning potential associated with the desired degree and making well-informed decisions regarding where to pursue it.

Walsh advocates for exploring alternative options, such as enrolling in a different educational institution that offers a more favorable financial aid package. He also suggests the possibility of attending a two-year school before transferring to a four-year institution or working part-time while studying to offset some of the expenses.

Notably, Georgia stands out with higher student-loan debt compared to other states, with college graduates in the state typically burdened with over $40,000 of student-loan debt, according to the Education Data Initiative.

For students facing this daunting financial landscape, Walsh advises contemplating future career paths and underlines the potential advantages of working for a nonprofit or government organization, where student loan forgiveness programs could come into play.

One such program, public service loan forgiveness, entails making 120 qualifying student loan payments resume while employed at a qualifying organization. Walsh explains that after these 120 qualifying monthly student loan payments resume, the loan balance could be forgiven. Additionally, the Biden administration‘s reforms allow individuals to receive credit for their years of service since October 2007, even if their loan was in forbearance or they had temporarily ceased student loan payments resume. However, it’s important to note that certain terms are slated to expire on December 31. Walsh also recommends that students make the most of the resources available at StudentAid.gov.

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