Financial Mistakes Most Millennials Regret Making During College

Getting ready for college could be one of the highlights of your life, personally and professionally. A lot of opportunities open up when you have a college degree. However, it is not without its troubles. When you’re stepping into college, you make tons of mistakes, especially with finances. It’s easy to prioritize the wrong things and ignore the important ones.

Pexels | It’s easy to make financial mistakes during college

If you’ve ever committed a financial mistake during college, you’ll enjoy reading the list below. It includes some of the most common financial mistakes that millennials make during college, and then later regret:

• Not working while in school

Nearly half of the students in a survey believed that they could have taken up some jobs to make money while at college. Doing so could have helped contribute to their daily expenses.

• Taking out too many student loans

It takes the average college student nearly 20 years to pay back their student loans. Most people continue paying their debts for a significant number of years, even after college finishes.

• Studying at a pricey college

About 48% of the respondents believe that they could have studied at a public university or a community college to bring down the cost of their education. The quality of education doesn’t vary that much, and you still learn a lot. Furthermore, if you choose to attend an out-of-state college, your overall expenses shoot up even more.

• Using student loan for other expenses

Many feel that they shouldn’t have used their student loan funds for dealing with other petty expenses like car parking, meals, etc. This could have been avoided by getting a part-time job.

Pexels | Using student loan for other expenses is a blunder

• Private student loan

Private student loans are offered on different terms and conditions. Federal loans usually have a lower rate of interest, but private loans have much higher interest rates. Many people believe taking out a private student loan is the worst thing you could do. 

• Car parking

Driving to the college campus in a shiny new car could seem cool. Still, many students believe that doing so costs more money than spending loan funds on miscellaneous expenses. You don’t have to think only about the car parking charges, but also gas, insurance, and the occasional repairs and services.

• Meal plans

About 30% of the people reveal that during college, they felt paying for a meal plan was not worth it. You should know that while some establishments have compulsory meal plan rules, others are more accommodating. In many cases, it is a better (and cheaper) idea to live somewhere with kitchen access and cook your meals.

Pexels | Do you agree with this list?

Do you agree?

If you’ve already finished college and are still repaying your education loan installments, we’re sure you’ll find a lot of points here to agree with. If, however, you are starting college soon, we hope this list helps you avoid making these mistakes and use your funds diligently.