dear sir dave
I graduated from college 6 years ago with a degree in Business Administration. Currently, I earn about $40,000 a year from my data analytics job and have $155,000 in student loan debt. Do you have any recommendations for refinancing student loans to reduce interest rates and monthly payments?
Austin
dear austin
I don’t mean to be mean here, but what the hell are you doing with data analysis that pays so poorly? Most people I know in the area earn more than that. And I need to start making even more money to pay off my $155,000 student loan.
First of all, you shouldn’t look at this in terms of what you can do to make it more manageable. I don’t want to give this nightmarish Sallie Mae a haircut and then tell her to sit in the corner. You want her to leave! Now, there’s nothing inherently wrong with refinancing to lower interest rates or pay less if done the right way. But most of the time, it will leave you in debt forever. I need a better plan.
Instead, shift your main goal from there to paying it off as soon as possible. This means that a huge amount of payment will be made against the principal. That probably means adding an extra job or two. Because at the moment you’re facing a problem I call “shovel-to-hole ratio”. The hole you’re in is big, and that hole is $155,000. And you’re working with a $40,000 shovel.I need a bigger shovel, and many You need to do the extra work instead of trying to keep these loans like pets. What is the quickest, legal, ethical and maximum money you can make in a short period of time?
On the professional side, you might consider looking for a job at another company, Austin.you the way If you’re in a data analytics job and you’re making just $40,000 a year, you’re underpaid.
Good luck!
