5 creative ways to earn extra cash in college

If you are like most college students, you are probably having trouble making ends meet. The price of tuition, books and board have almost depleted your income and you are facing yet another semester eating one meal a day. You are not alone but there are things you can do to put some money back into your pocket. Below are 5 easy and creative ways for you to generate some extra income while in school.

1. Learn to Blog – If you are one of those people that have a knack for writing or maybe you write for the college newspaper, online blogging may be a great way for you to turn your words into cash. Many companies are hiring freelance writers to generate articles, advertisements or any other business related material they may not have the resources to generate themselves. To be able to compete in this market you will need relatively good writing skills and some basic knowledge of blogging software. A quick Google search can turn up hundreds of companies looking for people to write for them.

2. Have a garage sale – Your dad has been bugging you to clean out the garage since before you left for college. Now is the time to surprise him next time you are home on vacation. Items like your old bicycle and sled are just collecting dust. Why not clear out some of this stuff and have a garage sale?

Make sure you get the word out. The best method to advertise your sale is to place flyers around your neighborhood. Make sure that your flyers are easy to read and use a bright colored paper to draw in attention. If you are having a yard sale, make sure you check the weather conditions for the day of the sale.

3. Become a Photographer –Do you like to take pictures as hobby? Are you enrolled in a photography class this semester? Selling your photography can generate some extra income. Advertising companies, PR firms, entertainment companies, etc. are always in need of stock photos. If you are not sure where to start, do an online search for companies looking for photographers.

Richard Wong is a freelance photographer in California.

“I live in Southern California and have spent a lot of time photographing scenic locations in my area as if they were the Yosemite Valley Overlook. As a result, I have generated a healthy revenue stream from shoots that have cost me little in the way of travel costs.”

Here’s a tip: focus more on shots of people and figures. The market is saturated with landscape images.

4. Become an Artist – Do you like to paint or draw? Maybe you do sculptures for friends or you are an actual Art major. If you think other people would pay money to own your work? Maybe it’s time show your art publicly.

Art galleries usually charge a fee to show your work but some smaller places may allow you to show your work free for a limited time. Your college may offer an art showing for student artists and faculty. It is also a good idea to show your work in one gallery for a few days then move it to another. Ebay is also a great place to sell, considering people from all over the world will see your masterpiece.

5. Sell on Ebay – There is so much truth to the saying “One man’s junk is another man’s treasure.” People on Ebay will buy almost anything and no matter how horrid you think that Velvet Elvis you won in Panama Beach looks, someone out there wants it.

A quick look into your parent’s attic can turn up all sorts of little trinkets that you can transform into fast money. Articles like clothing, books, you dad’s old golf clubs and VHS tapes can easily be sold on Ebay. Items including old coins, inexpensive souvenirs or old work out equipment are also good ideas.

Just about any item you can part with will eventually catch the attention of someone who cannot live without it. Even items as ridiculous as a chicken finger in the shape of a chocolate Easter Bunny have sold on Ebay, and some odd items have sold for a hefty price.

Helpful Tip: Make sure that the buyer agrees to pay for shipping on each item you sell.

Sallie Mae reduces rates on private student loan programs

The largest private student loan lender in the nation announced Tuesday that the Smart Option student loan rate will be lowered to between 2.88 percent and 10.25 percent. That is down from the 4.38 percent to 12.88 percent range.

Effective Monday, the new rates are based on the current London Interbank Offered Rate, or LIBOR. Under the Smart Option private student loan program, students pay interest while in college and graduate with debt, but with the prospect of paying off the loans faster, claims Sallie Mae.

"Sallie Mae's Smart Option Loan is a favorable option for families who need to fill the gap in their college funding," says Scott M. Kahan, Certified Financial Planner practitioner and president of the wealth management firm Financial Asset Management Corp. in New York City. "By paying the interest while in school, families can save a lot of money and pay off their debt much sooner. This goes a long way in managing your finances responsibly." 

Sallie Mae’s Smart Reward program will allow Smart Option borrower to eliminate 2 percent of their scheduled in-school interest payments by making a series of on-time payments. Cosigners can now be released from the loan in as little as 12 months after the borrower’s graduation for customers who make their payments on time.

Resource

Student Loans Will Fund Health Care Reform

 The recent passage of health care overhaul legislation makes the federal government the primary piggy-bank of student loans for prospective students, erasing the subsidies paid by the federal government to private student loan providers who previously had been involved in the lending process.

According to Sen. Lamar Alexander, (R-TN) the real purpose of the Obama administration’s plan is to “overcharge 19 million students on their student loans, to help pay for the Democrats’ health care bill.

http://www.heartland.org/healthpolicy-news.org/article/27528/Senator_Says_Feds_Student_Loan_Takeover_Will_Fund_Obamacare.html

Under the current FFEL system, banks make loans to students. While the student is in school, the federal gov pays the interest on those loans. After graduation, the lender collects on the loans. If the loans are in default, the gov picks up the tab. This is great for bankers but bad for the taxpayer.

Under the new system, all new federal student packages will originate through the Direct Student Loan program, moving the loans out of the FFEL program. The Committee on Education and Labor estimates the new program will enable 500,000 students to keep their Pell grants, avoiding the 60 percent cut that was previously expected. However, proponents of the legislation say this is a way to nationalize the student loan industry and to fund health-care reform.


Sen. Alexander said, “This is how it will work: The federal government will borrow money at 2.8 percent and then lend it to students at 6.8 percent—spending the difference on health care and new government programs. In Tennessee, 200,000 students have student loans, so what this latest takeover means is that those Tennessee students will, on average, pay $1,700-1,800 more in interest over 10 years—to pay for the Democrats’ health care bill.

Financial experts who oppose the new bill say the federal gov, instead of lowering costs for students, will use the revenue to fund other gov programs. According to the preliminary CBO estimate produced this morning, the new bill will take $9.1 billion over 10 years from students’ interest payments to fund recently passed health care legislation.

Federalizing College Loans Increase Cost and Raises Tuition

The student loan "take-over" legislation that was signed into law by President Obama on Tuesday could add $52 billion to the deficit between 2010 and 2020 when the cost of the market risk and administration expenses of the loans are taken into consideration.

Savings for taxpayers originating from the new student loan law are about $22 million lower under the “fair-value” figure than they are under the FCRA estimate. This leaves a discrepancy in figures. The savings are smaller on a fair-value basis because that measure, which takes into account the risks associated with those payments, assigns them a lower cost to the government and thus finds a smaller benefit from eliminating them,” said the CBO

http://www.cbo.gov/ftpdocs/108xx/doc10871/BudgetOutlook2010_Jan.cfm

So it's not difficult to see that education costs will not drop. Before signing the new law, President Obama acknowledged that colleges and universities would have to do their part in keeping tuition cost lower. However, when you decrease supply, price rises. When you increase demand, costs rise.

In federalizing student loans, President Obama has erased the incentive to shop for the best prices for higher education. This measure exponentially increases demand for more expensive schools, which in turn will raise tuition and college expenses. This means higher salaries for the professorial class that Obama and this administration really stands behind. The new legislation is more about helping college professors than students trying to fund their education.

Obama's legislation has cut banks out of the student loan process. Revenue for the loans has come either directly from the government or through private financial institutions, which have collected billions of dollars in federal subsidies to protect against default. When students default on government loans, the banks pass the loss on to the consumer.

New Student Loan Bill Increases Dependency On Federal Government

Amidst the student loan bill in Congress and rising tuition costs, many students and parents are not receiving valid information on what this all means to potential borrowers.

To many experts reviewing the bill, increasing the amount of government aid to students is just another part of Obama's overall nanny-state agenda.

The reforms, signed into law by President Obama last month, effectively makes the government the primary lender in federal student loans by cutting out banks as the middleman. The White House has said the changes, which take effect July 1, will save $68 billion over 11 years.

The loan industry estimates that up to 35,000 jobs might be lost by the transfer from FFEL to direct-loan. Members of Congress who represent states that employ a large portion of the industry workforce have opposed the measure for that reason.
http://www.time.com/time/politics/article/0,8599,1924128,00.html#ixzz0mFETEzb4

And of course The White House is not mentioning the downfall to the industry. The middle-man being cut out of Federal funding means loss of competition and loss of jobs. Ending private student lending also would disrupt a relationship many college borrowers prefer because private lenders provide their students with personal service, tailored loan packages and on-campus support.

Students also worry about the Government's ability to handle such a large loan volume. Students at the University of Central Oklahoma in Edmond, Oklahoma have reported that the Gov didn't disperse funds until 1 month after the tuition deadline. Amanda Rogers, a freshman at UCO was asked what she thought of the new student loan guidelines set by the U. S. Government "It seems a little silly to get excited about so-called student benefits when you cannot afford to eat."

Amanda, like many other students are turning to private aid. Interest rates may be a bit higher, but students seasoned by the financial aid process understand that private loans are more tailored to their needs. Some programs take a percentage of the money a student may spend on personal items and apply that the amount they owe. It's like free money.