Debt Management

Whether just starting college, continuing your education in graduate school, or leaving school to enter into a new career, new financial challenges will come your way.  If borrowing is part of your financial history, you will want to educate yourself about the consequences of excessive debt, the rights and responsibilities of a borrower, and managing finances while in school and after graduation. 

Quick Tips to Avoid Financial Pitfalls:

Live within your means.
Budget your expenses.  Live like a poor college student now so you won't have to live like one once you are out of school.

Watch your "extra" expenses.
Keep your phone bill down by using e-mail, go to matinees instead of evening shows, and try not to eat out too often. Little savings like these can add up.

Buy used books.
Save money by buying used books at the bookstore or from other students. When you are finished with your books, you may be able to sell them back to the bookstore as well.

Consider sharing expenses with a roommate(s).
If you are living off campus, a roommate can reduce your monthly living expenses.

Work while you are in school.
Studies indicate that college students who work less than 20 hours per week actually get better grades than students who do not work. Evidence suggests this is because working students are better at managing their time and have an appreciation of the cost of their education. Visit the University Career Center's Web site or look in the local newspaper.

Consider taking heavier course loads.
VCU charges the same rate for 13-18 credit hours per semester as it does for 12 credit hours per semester. By taking extra classes, you can reduce your overall costs by graduating earlier. 

Try to "pass out" of courses in advance.
If you are taking college level courses in high school, your may get credit for these courses. An alternate way to obtain credit is to take the CLEP tests.

Limit credit card debt.
Limit the number of cards you carry and your total available credit. Pay the balance each month to avoid finance charges.

Pay the interest on unsubsidized federal and private loans, if possible.
Paying interest as it accrues while you are in school can greatly reduce your debt upon repayment.

Keep accurate financial records.
Be sure to track your monthly finances and keep copies of financial aid correspondence, loan documents and tax returns. Keep a log of calls you make to the Office of Financial Aid and lender of your student loans.   Include the date, with whom you spoke and what the conversation was regarding.

Don't over estimate your earning potential.
Keep debt manageable based on your career choice and the average salary earned in that area.  Estimate your budget for when you are out of school before you borrow student loans or accumulate credit card debt.