More on Repaying Your Student Loan
July 11th, 2007
Brad Ford made a great point on my previous post about whether to pay off your student loan or not:
Without factoring in risk, paying off the student loan is an easy decision. Unfortunately, life is not without risk. Two months after you pay down the loan, you absolutely must have $1,000 for an emergency. Without the $1,000 in savings, you might be required to borrow the money at 15% on your credit card. Having cash in hand gives you options and options have inherent value.
He’s right of course - life has a nasty habit of springing the expected on you - and if you haven’t got any emergency savings, it may be best to keep your savings building up rather than paying off the loan earlier than necessary.
Categories: Debt, Loans, Savings, Students
1 Comment on “More on Repaying Your Student Loan”
Papers4You, October 14th, 2007 at 2:04 pm
Earning extra money can never be so easy like what I discovered when I sold my essays http://www.coursework4you.co.uk/sel.htm. The possibility of reducing my student debt is there and I am very glad for it. How I wish I should have done this way much earlier. Things might have been different then.
