EMERYVILLE, Calif., March 14, 2018 /PRNewswire/ --Making small, incremental changes in financial habits could add up to big payoffs down the line. Whether it's spending, saving, or both, small shifts in practices could gather momentum for something rewarding. These small steps towards great financial habits can even happen when someone has student loans. American Financial Benefits Center (AFBC), a private document preparation company which assists student loan borrowers with applications and recertifications for federal repayment plans, encourages borrowers to consider implementing incremental changes.
"Spending your money when you have disposable income or getting another credit card when you are offered can be tempting, so having a plan in place is important," said Sara Molina, Manager at AFBC. "Especially when you have student loans."
Some folks have issues saving the cash they have, and end up spending it on eating out or expensive hobbies. Others may be enticed by credit card offers or increased credit limits, financing impulse purchases they could do without, then racking up interest. (To be clear, some people are unable to save money because of low income and are forced to put things like emergency home repairs or medical bills on credit cards. We're talking about people who do have enough income to cover their bills.) These habits may be so ingrained that it's hard to see a way out of them.
Experts recommend creating smaller, achievable goals to lessen the growing pains of habit formation. In fact, many individuals surveyed cited that "enjoyment" was a key factor in determining whether they are successful in forming certain habits. So, while going out to a eat a few less times a month may not make a huge dent in spending, building on that gradually could amount to thousands of dollars saved per year.
Where do student loans factor in to incremental change? Federal student loan borrowers have options when it comes to student loan repayment, and many enter into income-driven repayment plans (IDRs) because the plans often lower monthly payments. Borrowers who are no longer giving so much income to student loans may be free to pursue other financial goals.
AFBC clients have received assistance in applying for and recertifying their repayment plans of choice. AFBC clients and all borrowers in IDRs might want to enact incremental changes to better their financial situation. Additionally, AFBC clients who wish to make any changes in repayment plans can consult with AFBC for assistance with an application as part of the company's services.
"AFBC is here to support our clients as they navigate their financial lives," said Molina. "We specifically provide support related to federal student loan repayment plans, but we encourage our clients and all borrowers to pursue goals related to their entire financial situation."
About American Financial Benefits Center
American Financial Benefits Center is a document preparation company that helps clients apply for federal student loan repayment plans that fit their personal financial and student loan situation. Through its strict customer service guidelines the company strives for the highest levels of honesty and integrity.
AFBC is a member of the Association for Student Loan Relief (AFSLR), and each representative on the phone has received the Certified Student Loan Professional certification through the International Association of Professional Debt Arbitrators (IAPDA).
To learn more about American Financial Benefits Center, please contact:
American Financial Benefits Center
1900 Powell Street #600
Emeryville, CA 94608
SOURCE American Financial Benefits Center