Managing Student Debt
Strategies for Nigerian Students to Stay Financially Healthy
University life in Nigeria is a whole new world of excitement, independence, and sometimes, financial stress. Let’s be real—student debt is no joke. The pressure of managing school fees, living expenses, textbooks, and still having enough left for shawarma once in a while can be overwhelming. The good news? You don’t have to wait until you graduate to get a handle on your finances. With a few practical strategies, you can start managing your student debt now and stay financially healthy.
Here are some key tips for managing student debt effectively while navigating campus life.
1. Create a Realistic Budget and Stick to It (No Matter What)
Budgeting is the foundation of good financial management, but let’s be honest: many students treat budgeting like a boring lecture. The key to financial freedom is creating a budget and sticking to it (yes, seriously).
Start by listing all your income sources, like your monthly allowance, part-time job earnings, scholarships, and that random “Christmas money” from family members. Then, break your expenses into essential (rent, groceries, transportation, school fees) and non-essential (Netflix, outings, shawarma). Prioritize your essentials first to ensure you cover your needs, and whatever’s left can go toward your wants.
Pro tip: Still struggling with unnecessary spending? Try the 24-hour rule: wait a full day before making any non-essential purchase. This simple trick can save you from wasting money on impulse buys.
2. Track Your Spending Like It’s a Sleuth Mission
It’s not enough to just make a budget—you need to stick to it. But how do you know if you’re doing that? The answer is simple: track your spending. You’d be surprised at how small, seemingly harmless expenses—like late-night snacks or that midweek pizza—add up.
Use tools like Goodbudget or Spendee, or even keep a simple notebook, to record your daily expenses. Keeping track helps you avoid financial leaks and stay accountable to your budget.
3. Explore Scholarships and Grants
If you’re not already applying for scholarships and grants, you’re missing out on free money. Many Nigerian students don’t take advantage of these opportunities, assuming they’re only for academic whiz kids. But the truth is, many scholarships are available for a wide variety of reasons, from community service to extracurricular activities.
Set aside time each semester to research scholarship opportunities and apply for as many as you qualify for. You never know—you could get a significant portion of your school fees covered.
4. Side Hustle Your Way to Financial Freedom (Without Sacrificing Your GPA)
Who says students can’t make money on the side? Thanks to the rise of online platforms and the gig economy, there are countless ways to earn extra income without compromising your studies. From freelancing to tutoring or starting a small business, having a side hustle can ease the financial burden of school life.
Just make sure you don’t overcommit. Your education is your priority, so find a balance between work and academics.
Making money while asleep might be the dream, but for now, focus on making money while awake—with your GPA still intact.
5. Say No to Impulse Spending (Your Wallet Will Thank You)
Impulse spending is the nemesis of financial health. It’s that little voice that convinces you to buy a new pair of shoes or eat out with friends when you know your budget can’t handle it. The next time you feel tempted to make an impulse purchase, ask yourself:
Do I really need this?
Can I afford it without borrowing or dipping into my emergency fund?
Is it worth sacrificing something else in my budget?
If you hesitate on any of these questions, it’s best to walk away.
6. Build an Emergency Fund (Because Life Happens)
No matter how well you plan your finances, life has a way of throwing curveballs. Whether it's an unplanned medical expense or an emergency textbook purchase, having an emergency fund can save you from falling into debt. Start small by setting aside a portion of your monthly income, and aim to save enough to cover at least three to six months' worth of essential expenses.
Even if it feels like you’re saving at a snail’s pace, the effort will pay off when an emergency hits.
How SUI Can Help You Manage Your Finances
Student Upkeep Initiative (SUI) offers students access to financial support and resources to help manage their debt and stay financially healthy. With SUI, you can choose from different plans to access monetary grants, resource grants, and other benefits that ease financial pressure:
₦0/Monthly: Free Plan – Offers access to one monetary and resource grant.
₦2,500/Monthly: Silver Plan – Provides access to unlimited monetary and resource grants, along with daily tasks that can earn you ₦5,000 to ₦10,000.
₦5,000/Monthly: Platinum Plan – Includes all the benefits of the Silver Plan, plus access to monthly upkeep applications, internship opportunities, SUI merchandise, and the SUI ambassador program.
These plans are designed to reduce the financial burden on students, offering additional support to help you stay focused on your academic and personal growth.
Conclusion
Managing student debt is a challenge, but it’s possible to stay financially healthy with the right strategies in place. By budgeting wisely, tracking your spending, applying for scholarships, exploring side hustles, avoiding impulse purchases, and building an emergency fund, you can maintain financial stability throughout your university journey. Additionally, leveraging platforms like SUI for grants and financial support can further ease the burden of student debt, allowing you to focus on your education and future success.