What I Learned While Paying off my Student Loans

The total amount of student loan debt in the U.S. amounts to a grand total of 1.7 trillion (Forbes). Debt is a crisis in itself, but the fact that student loan debt alone amounts to 1.7 trillion is predatory. Factors that have contributed to consumers becoming prey is: lack of clear information about loans, lack of awareness on the importance of credit, that a loan is not a grant and that the full amount doesn't need to be taken out. The pandemic has done a lot of things, but amongst it is re-evaluating our lives and priorities. 

Throughout my life, I've always been one to be praised for my maturity, responsible nature, level-headedness and calm approach to life. I call it, 'oldest child syndrome'. Yes, I'm all these things and God has definitely blessed me, but am I all the time? Absolutely not. We all have our qualms and know how to put on a facade when deemed necessary. I am anxious Annie at times. When I'm Annie, that leads to impulsive decision making, which transforms me into irresponsible and immature Iris. When I'm Iris, you probably didn't guess, but got my alliteration drift, it leads me to discombobulated Debbie. 

I say all this to say, I wasn't always level-headed when it came to finances. I was the child that, 'Money burned a whole through their pocket'. I just had to buy junk food, shoes, a game or whatever my little heart desired, as soon as I obtained any money. Proverbs 22:6, "Train up a child in the way they should go, and they won't depart from it." I wasn't trained, nor saw what saving looked like growing up. Finances were tight, tight growing up. I know what it's like to struggle. To have to choose between a light bill and car payment, because you need to get to work in order to pay bills. At the same time, don't allow that to grow into a scarcity mindset. Instead, turn it into a lesson and allow it to transform into growth.

Here are 7 things I've learned while paying off my loans:

1. The way those in your environment viewed money, affects how you view money (positively or negatively).
2. Once your mindset changes, everything will fall into place. Ask and believe it. - Mark 11:24
3. As Christians, we're not to be slaves to debt. - Proverbs 22:7
4. It's a mountain, but God moves them.
5. As long as you have the Spirit, God will grant you the Self-control needed to get out of the hole. Self-control is a fruit of the Spirit, and if you have the Spirit you have self-control.
6. Living below my means requires cutting back (less eating out or eating at home prior hanging out with friends, frugal hacks to save on electricity, etc.,).
7. Your hands are as loose as you allow them to be. Steward God's finances well.

The '08 recession, birthed and crystallized the way I viewed company's, money and finances. My mom was one of many that were laid off, and it took almost two-years for her to acquire another job. In the meantime, she acquired her nail tech license. Unfortunately, our home was foreclosed and we were on the verge of homelessness. Glory to God for acquiring a nice apartment for us to live in, in the nick-of-time. 

When I started my first job, as a freshman in college, I was able to practice what was crystallized. I spent my first couple of paychecks, because you know how it is when you first make your own money. I remember talking with a friend, and they were like I want to save x amount by this time. Just hearing that further influenced how I viewed money. My dad would share and help me, which further influenced how I viewed money. Needless to stay, I started building my credit and saving. By the time I transferred to University of Louisville to finish my last two years, I saved about $3,000. I saved that in about a year and a half making around $10 an hour, plus tips. #restaurantlife

Fast forward to 2019, a graduation and $15,191 worth of student loan debt later. If you want the true student loan debt amount, subtract $3,995 (loan taken out for a U of L service learning trip to Ghana). God allowed me to acquire a job in October of 2019 and I made my first payment in December of 2019. By that time, the grace period ended and interest began to accumulate. I then owed a little over 16k. I made triple to quadruple the payment amounts for the loan with the highest interest, and made the minimum on all of the others, until the CARES Act was passed in March.

From that point on, I stopped making payments and went back to aggressively saving. Prior to COVID forbearance via the CARES Act on federal student loans, I had a goal during my first payment to finish paying off my loans by Summer 2021. The CARES Act being passed was a blessing that helped me meet that goal prior to the Summer.

On May 7, 2021, I made my first payment since forbearance and last payment. I am FREE from student loan debt, and praise God for helping me to remove this burden. In the words of Dr. MLK Jr., "Free at last, free at last. Thank God almighty, I'm free at last!" I literally told a friend that, this is how I'd feel afterwards, and I do lol.

My Anthem

Debt Freestyle by Beleaf

***Expect a video of me dancing to this to celebrate.

Be encouraged. There are so many resources via blogs similar to mine, podcasts, books, etc.,. The most powerful source that you should consult with first, is God himself. Pray to him, to increase fruits of the Spirit as you tackle debt. That you'd steward the finances He entrusts you with, as He sees fit. That He'd grow your faith, time in the Word and the way you view money to advance His Kingdom.

All the Love,

Shania M. ♡