Mapping out a budget for your college years can feel beyond daunting. Those textbooks just keep getting more expensive, tuition keeps going up, housing and food… and then there’s moving. Whether you’re moving into your college housing or leaving the university nest for your first job, you might consider using student loans to finance your moving costs. Here’s why — plus, a few factors to consider when making this decision.
Why you should use your loans to cover moving costs
If you’re moving long distance or even to another country, moving costs can easily reach into the thousands of dollars. On a student budget, that’s a lot. Using your loans will give you the option to pay in installments over a longer period of time rather than ante up the whole lump sum at once.
What’s more, your payment plans will begin after graduation. Although delaying inevitable payments isn’t always the best idea, in this case, we are going on the assumption that you’ll be employed and more financially able to make payments once you’ve completed your education. Still, we know you still want to hire movers on a budget that won’t leave you with more debt than you need!
When you should (and shouldn’t) use your loans for moving
- If you have a job opportunity in a new city after college that doesn’t offer relocation support, consider using what’s left of your student loans. You know you’ll have a steady income shortly, it just hasn’t started yet and your student loans almost always have a lower interest rate than putting moving costs on a credit card! Using student loans for moving abroad is also an option since this type of move can be quite costly.
- If you can comfortably afford to make payments on your student loans once you graduate, adding the cost of your move is unlikely to tip the scales. Learn about your options and get a payment plan in place so you can rest assured your financial ducks are in a row.
- If you are beginning your education or transferring to a new school, that new job might feel a far away. Use your student loans in this instance to help you focus on what matters most: school.
- If using student loans to pay for your move will make your school finances seem stressful, consider another way! Unpakt can help you find student moving services that give you what you need without any additional expensive frills.
Most importantly, make the decision that allows you to focus on your education and sets you up for financial success. Whether you’re using your student loans for moving overseas, moving into your off-campus housing, or moving into your first apartment after school, they can be a helpful boost to get you on your feet.
Now it’s time to take a deep breath and tackle moving that messy room…
