Need help with your student loans? This free Sacramento program will help you manage them

Monthly student loan repayments are kicking back into gear in October after a three-year pause, and the Sacramento Financial Empowerment Center is providing residents with free financial planning support.

The city-funded program is open to anyone over the age of 18 that’s looking for financial guidance.

“Our Financial Coaching process, model and outcomes are consistent across all the clients that access our services — post(-)grad clients included,” said Maureen Paley, program manager at the Sacramento Financial Empowerment Center, in an email to The Bee.

The Financial Empowerment Center can help post graduates “reconfigure and reprioritize their monthly budgets,” Paley said.

The U.S. Department of Education paused interest for student loans from March 13, 2020 to Sept. 1, 2023 as part of COVID-19 relief efforts. Payments and interest resumed in October for most graduates with loans.

Attending a public university is typically less expensive than attending a private institution.

Students graduating from California four-year universities between 2019 and 2020 had an average of $21,125 in debt, according to The Institute for College Access and Success.

Roughly 48% of Sacramento State graduates walk away with at least $18,714 in debt, according to The Institute for College Access.

The financial planning support is funded by the city of Sacramento, and is open to anyone seeking guidance on their finances. For post-graduates seeking support, here’s what you should do to get started with the program.

How to sign up

“We advise clients with student loans to first visit studentaid.gov and sign into their accounts so they can understand the student loan repayment options available to them and select one that works for them,” Paley said.

“Once the client has selected an option, the Financial Coaches can help the client rearrange their budgets so they can better make those monthly payments.”

To get started with a financial coach, candidates can fill out an appointment form. There is a team of four full-time financial coaches on staff, which can be found on the city website.