How To Pay Off Your FEE-HELP Debt (Quickly)

Wondering how to clear that FEE-HELP debt? Have some free advice.

The hardest and yet sometimes easiest way to pay off your FEE-HELP debt is to make certain sacrifices, like skipping that weekly, expensive fast food meal, or not buying that item of clothing you definitely don't need.

Cutting out the small yet expensive things in your life can lead to a surprisingly fuller bank account which can help you when paying off your FEE-HELP debt.

Paying off your FEE-HELP debt early is also advisable.

Whether your FEE-HELP debt has interest or not, it is always good to get rid of a debt as soon as you can.

If your FEE-HELP loan has interest, a simple way to avoid having to pay an extra $30 000 in interest is by paying a little more than the required weekly/fortnightly payment. As little as $50 extra can spare you thousands of dollars in interest; enough to buy that new computer or even a deposit for a house.

If your FEE-HELP loan doesn't have interest well, lucky you. Still, you shouldn’t leave paying off your loan for too long.

Making a plan early on to commit to paying off your FEE-HELP debt in small chunks can help you to gain finance management skills and an awareness of your expenditure. Make sure that once you commit to a payment plan for you loan, you don't cop out and start missing payments because there was a cute dress on sale, or a massive party you just had to go to.

If you start missing your payments early, you will very quickly make bad habits for yourself and not commit to paying off your loan.

Getting rid of your FEE-HELP debt early on gives you a lot more freedom in later life, like the freedom to make that trip overseas without being focused on your debt and budgeting, the freedom to take a lower paying job you are passionate about, and the freedom to apply for loans in later life for assets such as your first house. It even helps when you need that monetary boost from the bank and require the impressive financial history to support it.

So, as hard as it is to budget and limit yourself, especially at uni, always make a plan to pay off your FEE-HELP debt. Even if it means the smallest payment per week, it is better than having the burden of a large, long lasting debt.

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