Since I was three years old, I had a clear vision for my future and knew the steps needed to get there, including choosing the right academic degree. Fortunately, my college entrance exam scores allowed me to attend in-state colleges for free. However, the courses offered didn’t match my career goals.
So, I opted for a reasonably priced out-of-state private school that better aligned with my path. Even though the school provided scholarships and didn’t stretch my budget too much, I still had to take out some student loans. I kept these loans to a minimum and worked hard to become a resident assistant, which helped cover my living expenses.
Unfortunately, I began to experience severe health issues, which made managing my schoolwork increasingly difficult. I had no choice but to leave college and move back to my mother’s home.
Shortly after leaving, I had to start repaying my student loans. Although I managed to find work, my wage was just above minimum since I didn’t have a degree. Living rent-free with my mother, I could only afford the loan repayments and nothing else.
I’m sure many can relate to my situation. Some of you might be dealing with repaying student loans after leaving college without a degree. It can feel pretty discouraging as it wasn’t part of your plan. However, it’s not the end of the road. Here are six strategies to manage your student loans if you’ve dropped out of college:
1. **DON’T RUSH TO WITHDRAW**: If you haven’t left school yet, consider a part-time study program. It might be a viable solution. Look into the options your school offers.
2. **UTILIZE YOUR GRACE PERIOD**: After leaving school, there’s usually a six-month grace period before you have to start loan repayments. Use this time wisely to plan your finances and set up a budget.
3. **CONSIDER YOUR LOAN OPTIONS**: Depending on why you left college, there might be options for temporary loan relief. If you’re able to make payments now, don’t wait.
4. **STAY CONNECTED WITH YOUR DREAM CAREER**: If you plan to return to college someday, find related part-time jobs or tutoring opportunities to gain experience in your field.
5. **CUT DOWN LIVING COSTS**: Even if you have a budget, there’s always room to reduce living expenses. This extra cushion can help you pay off loans faster or save money to go back to school.
6. **CONSIDER RETURNING TO COLLEGE**: Remember why you started college in the first place. Think about the possibilities of resuming your education in a way that suits your current situation.
Dropping out and dealing with student loans can be tough, but these tips can help you navigate through it. It might feel overwhelming now, but this is just a temporary phase. Develop a solid plan to manage your loans and career, whether you decide to return to school or not. After dropping out, I lived on a very tight budget for two years with my family’s support. Eventually, I went back to school, graduated despite increased tuition costs, and have since focused my income on paying off my loans.