Life stages > Students > Before you study > The 8 rules of a sorted student

The 8 rules of a sorted student

Borrow only what you need

1. Borrow only what you need
The more you borrow, the more you have to pay back.
Explore other sources of money 2. Explore other sources of money
Is there some other form of income out there that will help you reduce the amount you borrow?
Know what it's costing you 3. Know the true cost of your loan
It's not just the sum you borrow, it's the time it takes to pay off and any interest you may be charged.
Know the value of your qualification 4. Know the value of your qualification
Putting a dollar value on your earning potential will help you determine if borrowing for your qualification is money well spent.
Understand your repayment options 5. Understand your repayment options
Pay back just the minimum or get rid of your loan sooner? It's up to you.
Know your obligations 6. Know your obligations
Be aware that student loans won't go away and you can't get out of them.
Do a budget 7. Do a budget
Knowing exactly where your money is going is the first step toward controlling your spending.
Avoid high-interest debt 8. Avoid high-interest debt
Credit cards and personal loans can be very expensive.

 

Glossary: interest
Money paid in return for the use of money. If the bank is using your money (in a savings account) they pay you interest. If you are using the bank's money (via a loan), you pay the bank money.