Fresh graduates today have an average of $20,000 in student loan debt before they even enter the world of employment. Aside from this, student debts also include the credit card debts and other personal loans. You might be surprised with the advice of many experts that student loans should be tackled last. Compared to your other student debts, student loan debt typically has a lower interest rate and some even have fixed rates.

So before you start tackling your student loan debt, you should consider doing the following first:

1. Set up an emergency fund: if you can set aside at least 5-10% of your net income, you can build a fund which you can rely on in times of unexpected situation like medical emergencies, family troubles or even unemployment. You should at least have an amount three times your monthly expenses.

2. Try to settle all your credit card debts immediately: many students turned to ìplastic moneyí when faced with financial troubles. But the high interest rates charged by credit card companies will leave you with a student debt that could balloon in the next couple of years if you continue to pay just the minimum amount due on your credit cards. You should first pay off the credit card with the highest interest rate and work down to the credit card with the lowest interest rate.

3. Explore the student debt consolidation option: consolidating all your student debt would certainly make your payments more convenient. Aside from having to deal with a single creditor, you would also be remembering only a single due date and a singe amount due. But you must remember that you should never combine your federal student loan debt with your other debt since it could rob you of certain privileges.

As soon as you have rid yourself of credit card and other debt as well as set up a nice emergency fund, you can now start with your student loan debt. It is always recommended that you pay more than the required minimum amount due. If you can, try speaking with your lender to explore other re-payment options. Programs such as an automatic re-payment plan would let you enjoy a 0.25% interest rate break, if you arrange for your lender to take out a fixed amount every month from your checking account. Taking advantage of programs like this would save you considerable amount of money and you would even find yourself debt-free, sooner than you think.