Study loan : New Grads: Avoid These 7 Student Loan Slipups

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Study loan
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New Grads Avoid These 7 Student Loan Slipups
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• As the class of 2015 looks ahead to graduation,
  many will have a grace period of six to nine
  months before they have to start repaying student
  loans.
• That may sound like plenty of time, but it's a
  busy period for most graduates as they settle
  into a new job, find an apartment and take on
  other adult responsibilities.
• Of people who miss a student loan payment, more
  than a fifth miss the very first payment,
  according to Mark Kantrowitz, senior vice
  president and publisher of Edvisors.com, a
  website for planning and paying for college.
  "Its not because they don't want to pay the
  loan, he says.
• It's because they lose track of when they need
  to make the payment. You move to another state,
  you have other obligations for that new job new
  business attire, furnishing the apartment and
  student loans are the furthest thing from your
  mind."

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• Not knowing what you owe.
• Your first step in repaying loans should be to
  take an inventory of what you owe, says Heather
  Jarvis, an attorney specializing in student
  loans.
• That's especially true if you have a mix of
  loans, such as private and federal loans (the
  latter has more flexibility on repayment).
• For a list of all your federal loans, Jarvis
  recommends checking the National Student Loan
  Data System, which is the U.S. Department of
  Education's online database for student aid.
• Outstanding private loans should also appear on
  your credit report. "None of the information
  graduates get will be useful unless they know
  which loans they're making decisions about,"
  Jarvis points out.

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• Failing to keep your address current. Some recent
  grads move every year or so for jobs or personal
  reasons, and that mobility can make it hard for
  their lenders to communicate with them.
• "A lot of times the borrower will not have
  updated the lender on their change of address,"
  Kantrowitz says.
• "That adds delays to the receipt of the
  statement." Make sure you update your mailing
  address each time you move, so statements don't
  slip through the cracks.

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• Missing payments.
• To avoid missing payments (and potentially
  hurting your credit), Kantrowitz recommends
  making a note in your calendar two months before
  the first payment is due.
• "If you haven't yet received a coupon book or a
  statement, contact the lender and say, 'How do I
  make the payments on the loan?'" he says.
• "Just because you haven't received that coupon,
  you still have to make the payment.
• " Going forward, he recommends setting up
  automatic debits from your checking or savings
  account, so you never miss a payment.
• The other benefit is that many lenders offer a
  small rate discount to borrowers who set up auto
  debits (typically a quarter percent for federal
  loans or a quarter to a half percent for private
  loans, according to Kantrowitz).

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• Consolidating without understanding the
  implications. Consolidating student loans makes
  sense in some but not all circumstances, so
  consider all your options before doing so.
• Jan Miller, a financial services industry veteran
  and founder of Miller Student Loan Consulting,
  urges borrowers to think it through before
  consolidating.
• "Once you consolidate your study loan, that is
  your big play," Miller says. "You're stuck with
  one big loan, and it eliminates some of your
  repayment options, especially if you need
  additional assistance with forbearance.
• Source http//bit.ly/1V8Vgp1

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