It's important that you understand how you will repay your loans, and how your repayment will affect your finances and budget.
Find out how manageable your repayment will be with HESC's Burden of Debt Calculator.
Based on your occupation chosen and the total amount of federal loans taken
to complete your education, your estimated burden of debt is:
You have a high level of burden of debt. This means that your estimated monthly federal student loan payment is greater than 11% of your estimated total monthly income. This means you may struggle to pay your loan, and you are more at risk of defaulting on your loan(s).
You have a medium level of burden of debt. This means that your estimated monthly federal student loan payment is 9-11% of your estimated total monthly income. This means you will need to budget properly as you may struggle to pay your loan depending on your monthly expenses.
You have a low level of burden of debt. This means that your estimated monthly federal student loan payment is less than 9% of your estimated total monthly income. You should be able to afford your loan payments depending on your other monthly expenses.
Your level of burden of debt will help you to see how easily you might be able to repay your education loans. It's important to have a good understanding of how you will repay your loans.
Before you borrow money for college, be sure that you have applied for all FREE money first and applied for financial aid. If you still need money after maximizing your federal, state and institutional aid, consider federal loans first which have low, fixed interest rates and multiple repayment options. Be sure to consider all your options before borrowing. If you do borrow, consider making interest payments while in school to save on your overall cost. Consider these strategies to lower your cost of attendance.
If you are in repayment, remember, there are several options for repayment that can make your repayment more affordable for your circumstances. Learn more.