by John Darer® CLU ChFC MSSC RSP CLTC
Important words of wisdom about paying off student loans from financial blogger and teacher Bobby Hoyt, 28 who managed to pay off $40,000 in 18 months. Hoyt tells us how in a great practical article posted on CNBC Money, written by Kathleen Elkins.
- "The reality is, if you have a lot of debt and you want to get rid of it quickly, there's no comfortable way to do that," the 28-year-old teacher-turned-entrepreneur told CNBC. "Cutting back on eating out, or living at home, or not doing all the fun things that your friends are doing is uncomfortable — but you have to realize that it's all temporary."
- Plus, "it's OK to be poor for a little bit," he said. "A lot of people don't realize that. They want to start living the good life immediately, but when you're young it's OK to struggle a bit."
Cashing out your structured settlement to pay off student loans is a bad strategy touted by self-serving settlement purchasers in the hopes of making fat profits. An internet search shows that the predatory call to action by cash now pushers is pervasive
Settlement purchasers who advertise and/or recommend that you should sell structured settlements to pay off student loans
Novation Settlement Solutions April 20, 2016 Novation gives 5 tips including the obvious self-serving one then admits and disclaims... *Novation is not a financial advisor and/or consultant and strongly recommends that you speak to a lawyer and/or accountant before making any significant financial decisions. Prior article on 11/20/2015 paying off student loans as reason to sell structured settlement. given how badly Novation hosed Cedric Martez Thomas I wouldn't trust Novation ever.
- JG Wentworth/Peachtree Financial
- I Settlements/Structured Asset Funding/123 Lump Sum/Star Star Cash
- Eagle Settlement Funding
- Stone Street
The Financial Press generally comes out against selling your structured settlement to pay off debt
- Nerd Wallet Think Twice Before Selling a Settlement
- Suze Orman The Smart Way to Pay Off Debt
- Get Out of Debt Guy
Then there are employee student loan repayment benefits!
Employers Are Helping Millennials Repay Their Student Loans, by Kaytie Zimmerman in Forbes August 23, 2016