It’s great that you can tap your student loans to foot your off campus bills when it comes to paying for housing for students. The trick is to borrow carefully and avoid some common mistakes.
Don’t Skip the FAFSA
Typically, more is offered for financial aid for off campus housing for students; so, don’t skip this free application. If your financial aid package adds up to more than tuition and fees, you get a refund for the remaining amount. You can use that extra money for your rent, food and other off campus necessities.
Keep Food Expenses Down In Housing For Students
If you are using that extra money for food, save those dollars and make your money stretch. Use online coupons, shop in bulk and get a frequent buyer card for discounts. Forget about dining at those five-star restaurants, and opt for the cheap prices at fast-food restaurants if you want to eat out. Share food expenses with your roommates to stretch your dollars even more. And if your friend asks you over for a home-cooked meal, by all means say yes.
Don’t Live Lavishly
Resist the temptation to use your refund check for that fancy designer watch you’ve had your eyes on or for that Caribbean vacation on spring break. When it comes to using your student loan to fund non-discretionary spending, it’s a no-no. Misusing your load refund can add from $10,000 to $50,000 to your student loan bill. You’ll be paying for that tenfold once your graduate college.
Ditch the Car
One of the biggest ways to cut expenses while living off campus is to ditch your car. Many college campuses are within walking distance from off campus housing for students. Plus, there are shuttle services and affordable bus systems. The bottom line is that you really don’t need a car when you go to college. You can buy that shiny road Rover when you land a high-paying job after graduation.
Don’t Rely Solely on Student Loans
Just because you may be able to fully fund your living expenses with students loans doesn’t mean that you should. Remember, you’ll be repaying every dollar with interest after graduation. Interest can range from 4.66 percent for Stafford loans to 7.21 percent for PLUS loans. If you can swing putting in money toward your off campus housing upfront, it may save you from runaway student loan debt after graduation. Take on a part-time job; tap into your savings, and ask your relative for cash for your birthday when you’re in school.
Off campus housing for students can be much more affordable for those who “get it.” And that means knowing how to be financially savvy.
The Standard at Boone offers off campus housing for students at a reasonable price. Even rent with a group of buddies in three or four bedroom apartments to save on college expenses. Check it out today.