- Part time student jobs - avoid student loans and debt

Student Debt

 

Something that has been synonymous with students since the abolishment of government grants is the dreaded word 'debt'. Student debts seem to be getting bigger and bigger and are becoming something we take for granted before we begin our degrees. However, pretending that the money you borrow is 'not real' or 'doesn't count' can be the start of a downward spiral into further money problems.

Student Loans

 

It's like a dream come true when you begin university - the Student Loans Company offers you thousands of pounds and your bank offers you credit cards and a huge overdraft facility - "great" you think, all of that money equals a lot of fun! However, having a lot of fun and feeling rich for three years of your life is all well and good, but what are you going to do for the other 70 odd years? It's not so fun having to live on the breadline for the rest of your life and having all of your salary taken from people wanting their money back.

According to the BBC, the average student debt in 2006 was £13,252, which was a 5% increase on the previous year and it isn't showing any signs of slowing down.

It is the general view that graduates will earn more than those without a degree - up to 25% more. This may make it seem like the initial debt is worthwhile as while earning a higher salary, you can pay it off and eventually live a richer life. However, there are ways to keep your debts to a minimum before they get out of hand. Once you are in debt, it is not that easy to pay it off - a lot of people who are paying contributions towards their repayment are actually only paying off the interest on the loan, thus not decreasing the debt at all.

The student loan you receive to pay your way through university is not necessarily the only debt that you will incur. Many students reach out for everything they can. Unfortunately, banks are more than willing to hand out overdraft facilities and credit cards to those who will have trouble paying it back for quite some time - i.e. students with no regular income.

Depending on which bank you are with, you may be able to get as much as a £2500 overdraft facility. But before your eyes light up with joy, take a moment to consider just how you plan to pay it back. Remember, once you leave university, interest rates start going up and banks start to want their money back. Imagine you have money going out each month to pay back your credit card, overdraft and student loan (plus any store cards you may have acquired).that's not going to leave much for drinks with your friends is it?

 

Keeping out of Debt

So, how can you keep yourself out of debt? The first step may be to think carefully about how much you borrow in the first place. Sit down with a pen and paper and work out exactly how much you will need to pay your way through university. The thing is about money; once you have it in the bank it's very hard not to spend it! So, work out how much you need and then don't ask for any more.

"But I still want to buy things, go for drinks and have some fun" I hear you say. Of course we wouldn't suggest for one moment that you should give up fun just to keep clear of debt. However, there are other ways to fund your fun times.

Getting a part-time or temporary job is a great way for students to earn the money they need to enjoy themselves - and the best thing is, once you have earned it, it's yours and you don't have to pay it back! You will probably find that your night out with your friends is a much more enjoyable experience when you know that the money you are spending was earned by honest work.

There are many jobs you can do to give you some extra money each week. Jobs don't have to be boring (although I agree, some are) and you may find that you meet some new friends. Great jobs for students include promotional work, mystery shopping (that's right, get paid to shop), TV and film extra work, medical trials and bar work (why not be out with your friends and get paid!)

So, before you become just another statistic on student debt, try and think ahead to keep yourself from borrowing too much money. Where possible, earn your money by getting a part-time job and only spend what you know you can afford - trust us, it will catch up with you in the end!

To find out what student job is right for you, take some time to explore this website and you never know where you will end up!