Your weekly money scoop: Student loan edition

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Your weekly money scoop: Student loan edition


We're serving you our weekly bite-sized roundup of the stories you need to know. This week's is a special student loan edition.

What's mine is yours... and that could include the responsibilities of managing student debt. One author shares his view on what to think about if you're marrying someone with student debt. As with most things, there are upsides and downsides. The bottom line? Ask yourself what you can live with, and talk openly with your partner about it.

Student debt may be tied to lower grades for college students, according to a study by the National Bureau of Economic Research. The research tracked two groups of students -- one that received grants exclusively to cover their college tuition, and one that mainly received loans. The researchers found that the grant students got "significantly higher" GPAs. The study looked at grades from nearly 20 years ago, but the theory is that students who receive grants feel more pressure to perform well.

Student loan scams are on the rise. Scammers are promising students lower payments or total loan forgiveness in exchange, typically, for an upfront fee and hidden monthly fees. In reality, they're charging student borrowers for government debt relief plans that borrowers can sign up for on their own -- for free. Be wary of companies offering to make your debt go away -- if anything, they might just do the opposite.

Public college tuition is soaring. A ProPublica report found that the average cost of in-state tuition and fees for public colleges increased 80 percent from 2000 to 2014. Here's a look at the ten public universities whose tuition has increased the most since 2000. The tuition increase for number one on the list? 3,437 percent. No, that's not a typo.

You're probably cringing now, so to end on a positive note...

The student becomes the teacher -- and then schools his student debt. Meet Bobby Hoyt, a teacher who paid off his $40,000 student loan debt in 18 months. How? He cut back on five main things and was able to contribute 75 percent of his paycheck toward paying off his debt. In his words, "Cutting back is uncomfortable -- but it's all temporary."

And that's the scoop this week -- see you next week for more.

About the Author: Mika Bhatia is a Staff Writer for Credit Karma. She's worked in financial services and tech, and has now found the perfect union of the two at Credit Karma. When she's not busy coming up with credit-related analogies, she's most likely supporting the Warriors, enjoying a fine cup of British tea or doing yoga (goal: completing a headstand without toppling over). Follow her at @MikaBhatia!

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