The cost of a college education will continue to rise, so for most students, paying for school outright is just not possible. However, financial aid and student loans can be daunting and confusing. Consider this advice from Citibank to keep your education loan habits responsible.

“Even with savings, gifts from family, and scholarships and grants, you may find that you need additional funding to pay for your higher education. Student loans can make up the difference between what you have and what you need to make your college dream a reality. Unlike scholarships and grants, however, borrowed money must be repaid, most often with interest, regardless of whether you complete your education or not.

Borrow Only What You Need
While you may qualify for more, borrow only the amount you need. Loans are your responsibility and you are expected to repay them. When you repay your loan on time, you create and build an excellent credit history. This will help you in your future when making purchases such as a car or a home.

Here are some helpful points to consider:

• Estimate the amount of debt you can afford – don’t get in over your head.
• Understand your borrowing agreement fully – including all interest calculations.
• Stay on schedule – remember your excellent credit history is at stake.

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