Things You'll Need:
- student loans
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Step 1
Saving money on student loans the easy way: If you have federal loans, you can consolidate them to get a lower rate. You can also sign up for electronic debit, which deducts the amount you owe automatically each month. This saves you a fraction of your APR. Another way to save money on your student debt is to sell your government loan to a private bank. This is a quick and easy way to lower your loan interest rate.
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Step 2
Saving money on student loans the hard way: Visit the Department of Education website for information on debt forgiveness programs. Student debt forgiveness is available for teachers, doctors, nurses, lawyers and for people who join the Peace Corps or AmericaCorps. Most of these programs demand a one to two year committment, but will donate a significant amount of money to you for your student loans.
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Step 3
Things to keep in mind: For each of these ways to save money on your student loan, there is a pro and a con. The pro is of course saving money. Here are the cons: when you consolidate your loans or sell them to a private lender, you may lose the ability to "defer" your loans. If you can't repay your student loans, the government allows you to take breaks. Your private lender may not. Signing up for electronic debit means you must have the money in the bank. Finally, the student debt forgiveness programs may pay poorly or not at all, and it might be better for you to enter the workforce on your own.
