You know how they say things are too good to be true?
Well, one California-based business is touting an idea that certainly seems far too amazing to be realistic, but it may just work.
Student loan debt is a huge problem in many countries, but especially in America where the cost of college is always going up while the cost of living and covering bills also increases, making it more and more difficult for former students to pay off the money they borrowed to finance their education. Many graduates are drowning in debt, as they struggle to make ends meet and cope with suffocating interest and scary amounts of bills.
However, there are a number of avenues available today to earn money to pay off student debt, including new methods such as lotteries, game shows and trivia apps. Employees can also talk to their employers about student loan assistance as part of the employee benefits package, but unfortunately companies that offer this help are few and far between.
Back in the day, there were some volunteer organizations that offered stipends for student loan debt in exchange for services and time, but that no longer exists. Officials say it’s important for borrowers to do their research before signing up for any unusual repayment plan in addition to traditional employment. A California company called Ameritech Financial Benefits Center (AFBC) provides document preparation services and has presently assisted thousands of federal borrowers with enrolling in income-driven repayment programs (IDRs). These programs can often make a big difference to Americans faced with significant student loan debt.
“Gambling your financial future with a game or lottery could be very risky, especially if you hope it will pay off all of your student loans,” said Sara Molina, Manager at AFBC, in a published interview that appeared on prnewswire.com. “We understand why those alternatives could be alluring because high student loan debt is oftentimes overwhelming. We think a safer option is lowering monthly payments with IDRs through the Department of Education.”
IDRs are based on family size and income, so those with low wages and large families could potentially see a reduction in monthly payment amounts. It is important to know that IDRs ask for yearly recertification to stay in the program, and that payments may increase or decrease if circumstances change. Companies such as AFBC help clients with the initial paperwork and the yearly documentation to remain enrolled in these programs.
“IDRs could be the solution you are looking for if every penny counts. Lower monthly payments may help you with your savings goals and help you breathe easier. Plus, a combination of IDRs and having a side hustle could greatly increase your bottom line,” added Molina in her interview. “Do your own research and ask yourself what’s most important to you. Also, a side hustle doesn’t have to be forever. You could try one out for a few months and then when your financial situation improves, put it on pause.”
Another great way to combat student debt is pursuing a side hustle. A simple Google search can lead you to hundreds of suggestions for earning extra cash, from working for rideshare services like Lyft or Uber to donating plasma. There’s blogging, delivery apps, dog walking and so much more! Every penny counts, especially when you’re trying to pay off student debt. Even an extra $30 a month could make a difference, and some people bring in thousands of extra dollars on the side which can greatly improve their student loan situation.
By taking ownership of your personal finances, you can rest assured that you are in control of your student loan debt and you will successfully pay it off.
If you’re interested in learning more about the American Financial Benefits Center and their personal and student financial services, please visit the official website HERE or contact 1-800-488-1490 or [email protected] .
American Financial Benefits Center is located at 1900 Powell Street #600 Emeryville, CA 94608.