I’ve written about this topic before. Back when I first got my student loan notice, I didn’t owe the original $26,720 that I frequently mention here on the blog. I used student loans to finance my education and living expenses, and actually left school with a whooping $42,000 in student loans. Fortunately, some internet sleuthing revealed and very poorly publicized incentive to New Brunswick graduates. Since I was such a good student and graduated on time, the NB government forgave $16,000 of that debt, bringing my total owing down to a much more manageable $26,000 (plus interest). You can read the whole story here.
What I blogged about back in July of 2012 is still true today. Government incentives are a great resource for people looking to unburden themselves from student loans a little faster. Due to this, I’ve kept my eyeballs peeled (what a gross expression) for additional incentives that would help me pay off my student loan debt even faster. That’s when I came across an incentive offered by the New Brunswick government for
student loan holders (A reader just informed me: This rebate is for anyone who paid tuition, not just people with student loans) working in this province and paying income tax. Again, it was terribly publicized, but once I found it, all of the relevant information was there. Basically it’s a rebate on my income tax payable up to $4,000, every year for 20 years or until I’ve claimed $20,000.
I couldn’t claim it last year because I had no income tax payable. This year, however, even though I got a monster tax return, I still ended up paying $1,929.25 in income tax to the NB government, and they were kind enough to approve my application and give it back to me. The hoops I had to jump through were a bit annoying (sealed copy of transcript, a long application, tax forms, etc) but the result is totally worth it!
I’ll give you one guess as to what I did with that rebate when it hit my account yesterday.
The Student Loan Slaughter Continues
In the past I’ve split my windfall money between spending, saving, and debt repayment. I didn’t do that this time. Instead, I made a $1,929.25 payment to my student loans, bringing my balance owing down to a ridiculously low $1,092.00. Boom.
I don’t even know what to say to that. Wait, I do.
I’ll say that I’m now in the four digit range for total debt owing. ($8,768), and that I’ve paid off $11,600 in debt since January 1st.
I’ll say that I’m still planning another $600 in payments this month, not including freelance income.
I’ll say that I’ll definitely have this paid off before my wedding, maybe this month depending on freelance income (wanna hire me?).
I’ll say that I need to get in touch with the company my car is financed through because I’m gonna be making some extra payments on that baby soon!
Seriously, just speechless. I’ve been working towards getting this gone for so. freaking. long. I can’t believe it’s so close.