'Not Dating': The Class of 2013's Tips For Re-Paying Student Loans
"We asked members of the Class of 2013 to tell us about the student debt they face, as well as their strategies for paying it down. Here’s a sampling of what they shared with us," The Wall Street Journal's Real Time Economics blog reports. "[Nathan] Kaehler completed his MBA in June and made his first student-loan payment in August. He now works as a portfolio manager at an alternative-investment firm in South Bend, Ind. Of the $80,000 in student loans he took out to finance his business degree, he says only about 10% are federal, at 6.8% interest, and the rest are private, at 4.25%. His after-tax earnings total about $6,000 per month, and he plans to make monthly loan payments of $3,500 to $4,000. Mr. Kaehler says the low cost of living in South Bend makes it easier for him to meet his loan-payment and retirement-savings goals. He says he hopes to have the loans paid off by early 2015. [Nathan] Lattimer, who works as a mentor at a nonprofit Christian educational organization in Bloomington, Ind., hopes to pay off his student loans within about four years. Of his net $2,000 in monthly income, he has recently started paying $630 per month toward his $30,000 in loans. The interest rates on his loans range from 3.4% to 6.5%. The loans have taken a 'huge toll' on his lifestyle, he says. He keeps dining out to a minimum, rents a small apartment with a roommate and plans to stay on his parents’ health insurance until he ages out at 26, he says. Another way Mr. Lattimer makes ends meet? 'Not dating.'"
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