Goodbye, Student Loans! ??

by Kelsey Alpaio, Senior Associate Editor

"Here’s that diploma you worked so hard for! That will be $200,000 please."?

This is what it felt like graduating from college in the United States. I’m actually one of the lucky ones — I left school with only $25,000 in student loans. But at the time, that felt like an insurmountable number.?

When I landed my first job, my salary was $34,000 a year. I was happy to be employed in the field of my choice, but terrified about the costs of living in a big city. As I was rounding up pennies to put towards rent, groceries, and a little fun in my early 20s, I watched the interest on my loans surpass the minimum monthly balance I was able to pay. For years, I told myself not to worry — I would deal with it later, when I made more money. I knew that my debt was mounting. But what was I supposed to do?

As I grew in my career, I made an effort to be more intentional about my loans (even though it made me incredibly anxious to even think about them). I followed a budget. I paid off the high-interest ones. I could see the light at the end of the tunnel.?

That’s when the pandemic hit. As a result of the economic downturn, the U.S. government paused all interest and required payments on federal student loans. For the last two and a half years, I haven’t paid a single cent towards them. And just a few weeks ago, it was announced that anyone who makes less than $125,000 a year will have $10,000-$20,000 of their student loans forgiven by the government.?

I have about $14,000 left, and I’m expecting all of it to be wiped away in just a few weeks. After years of worrying about payments and interest, it will just be…. gone. Like I said, I’m one of the lucky ones.?

I’m balancing feelings of shock and excitement at the news, but it feels unfair to celebrate when I know that most people won’t be granted the same relief. Many people have spent years paying off their loans with no help. Others will still have thousands to pay.

I know that it can feel like there’s no hope when it comes to your student loans, but you don’t have to let them control you, your life, or your career — you’re in control.

Here is an article on how to think about your student loans and personal finances: A Guide to Paying Off Your Student Loans ASAP by Alisa Barcan.

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