Potential Magazine October 2013 | Page 6

wise words life skills tips & advice student loans resources How Much is TOO Much? life skills trends scholarships parent to parent PLENTY OF STUDENTS AND/OR THEIR FAMILIES HAVE TO BORROW MONEY TO AFFORD COLLEGE THESE DAYS, BUT WHEN IT COMES TO STUDENT LOANS, DO YOU KNOW WHEN TO SAY WHEN? Too many students are reaching graduation full of excitement about the promise their future after college holds only to be hit with a harsh reality: the sizeable chunk of money that paying off student loans will take out of their budget. Unfortunately, these young adults are often unaware of what their debt will cost them each month until they see their first student loan bill. Want to prevent your teen from facing this scenario a few years from now? Plan, plan and plan ahead using this important information. -LOAN REPAYMENT IS OVER 20 YEARS- (THE SAME AMOUNT OF TIME MOST OF YOUR TEENS HAVE BEEN ALIVE SO FAR.) $25,000 To pay off a $25,000 loan, your payments would be around $150 a month, roughly a used car payment. You would need a salary of $30,000 - $40,000 to pay it off in 20 years. Careers: News reporter, Graphic Design