Paying off your loans while you’re still in school may seem like a daunting proposition, but with all the student loan horror stories in the news today, it may be your best option. Whether you’re in a four-year program or studying part-time, keeping on top of your loans early can spare you heartache down the road.

Why would you want to start paying off your loans while still in school? Won’t they be more manageable when you’re working a full-time job and not trying to study? Not necessarily – because interest starts accruing early, sometimes while you’re still in school, it may become more challenging to make these payments. Plus, life expenses, such as car payments and insurance, may start to take precedent once you’ve graduated.

Fortunately, there are a few simple tactics and life changes you can make to start paying off your student loans while still in school. Here are a few things you can try:

Consider community college

Although it may feel less prestigious to go to a two-year school instead of a four-year university, it’s well worth investigating because of the money you’ll save. Plus, most local community colleges allow you to transfer your credits to area universities, so you can still graduate with the four-year degree you desire.

Lower your living costs

To make more money to pay back your loans, cut living expenses wherever you can. Although you may crave independence, continuing to live with your parents or another family member, even if you’re paying rent and some expenses, can save you money. Think about finding a job that pays some of your living costs – becoming a resident assistant or building manager can save you cash and looks great on your resume!

Set up a direct deposit

Calculate how much your interest will be each month, then set up a direct deposit from your checking account to your loan provider. If you never see that money, then you won’t be tempted to spend it. Plus, it’s one less thing to worry about while you’re focusing on your studies.

Get a great part-time job

Not all part-time jobs are created equal. Look for a job that’s close to or on campus to save money and time commuting. Consider a job in your library or on campus that respects the fact that you’re a student – many slow part-time jobs will even allow you to study during down time.

Come up with low-cost activities you enjoy

When you’re thinking about spending money on an activity, consider how much interest you could pay off with that money. It’s easier to make financially-savvy choices when you have a list at hand of free or cheap activities that you like, so write down all your options and add to it as you discover new interests. Join a club or two – not only are they usually cheap or free, you’ll often get free food out of the deal.

Paying your way through college isn’t always a scary proposition. It’s a smart financial move that could save you hundreds or even thousands of dollars later in life. Before you take on any student loans, consider finding ways to make payments while you’re still in school. You’ll thank yourself later.

About the Author

Today’s guest article is provided by Carly Lance. She is employed by Personal Bankruptcy Canada, a company of experts in the bankruptcy and insolvency act. She also thinks of herself as a personal finance junkie and loves to blog about saving money, frugal living and getting out of debt whenever she can. She believes a happy life = happy finances.