California Has 10th Highest Student Loan Payments

Student Loan Debt is Real Issue

If you owe thousands, perhaps even hundreds of thousands of dollars, in student loan debt, take some solace in knowing you area not alone.  The median student loan payment per user in California is $223 per month.

As new federal rules take effect to strengthen college accountability and expand protections for students, WalletHub has released its latest report on the States with the Highest Student Loan Payments.

“Monthly student loan payments vary quite a lot across the country,” according to Chip Lupo, WalletHub analyst. “The median student loan payment in Mississippi is just $142 per month, while the median in Vermont is $248, an $106 difference. In either case, that leads to extremely long payoff timelines. With the average student loan debt of over $39,000 and a fixed interest rate of 6.39%, the rate for federal undergraduate loans, it would require a monthly payment of around $288 to pay off everything within 20 years.”

Tips for Paying Off Your Student Loan Debt Faster

• Make a Budget: Take a look at where you are spending your money and see where you can cut back in order to afford your student loan payment. Once you have a plan in place, follow it as best as you can and review it periodically for additional cost-cutting opportunities.
• Increase Your Income: You may be able to add some additional cash-flow with a part-time job or side hustle, or you can consider a different job altogether that offers better pay.
• Research Loan Forgiveness and Repayment Programs: These programs may help eliminate some or all of your student loan debt. Some professions, such as teachers, doctors, nurses and other medical professionals, qualify for unique forgiveness programs.
• Check With Your Employer: Some employers will offer perks to employees who further their education. Check and see if your employer offers any tuition reimbursement programs that could help you pay down your debt.
• Make Your Payments On Time: Making on-time payments will help you avoid any unnecessary fees or additional interest charges. If you have some extra cash, you should prioritize paying down your most expensive debts and not necessarily your student loans.
• Refinance Your Student Debt: If you have a good or excellent credit score, you could transfer some of your student debt to a credit card with a 0% intro APR to stop interest from accruing and pay off what you owe sooner. Just be sure to pay off your balance before the card’s high regular interest rate takes effect.

To view the full report, please visit: https://wallethub.com/edu/states-with-the-highest-student-loan-payments/130621