Tuesday, December 8, 2009

I'm a College Kid w/BIG Loans. How's this relate.

It does not matter who you are or where you are in life. If you don't know where you are financially, you can't know the possibilities of where you want to be financially. "BIG college loans" means you may have a significant negative net worth that you might want to eliminate sooner rather than later. Otherwise, you will pay huge sums in interest, for car insurance, and more, because of your credit rating and lower net worth.

You only have so much money -- make sure you're spending it in the right places. Spending your money on tens of thousands of dollars in interest on college loans is not the "right place." Find your starting point (net worth), establish a budget, and pay that loan off as quickly as possible. Software will encourage zealous attention to detail. The results will give you suggestions on what percentage of your income you should be devoting to certain expenses and saving.

Use dept elimination software to calculate how much you should pay.

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