Outlook on Student Loans?

CazGreg

Quite surprised to hear this:

National_Debtline wrote: »

This is an interesting question for sure. Our general approach is that we would include it as a debt when calculating the total liabilities for our caller. New-style loans generally look after themselves, and the amount taken would be based upon earnings - as such there isn't much that can be done to change that. Old-style loans are a little different as they would generally be treated on a pro-rata basis with other loans, credit cards or overdrafts.

David.

I've filled out various debt things in the past, and it would never occur to me to put student loan down!

Like most people, although it is 'real' debt, it's never one that is worth worrying about whatsoever. It just sits there in the background. Paying it off early rarely makes sense, although I can understand if you were near the end or earning loads you might want to just get rid of it.

I definitely agree that you can class yourself 'debt free' even if you still have a student loan. I'm certain most people feel the same.

girllikeme1

I graduated in 2002 with debt per my signature below. Now got about £4300 to pay on my student loan. I actually have more than enough in an ISA but chose to keep it there while interest rates were higher than student loan interest.

However now ISA interest is so poor I will pay the loan off just to be free of it. At 34 I'd just rather be rid. Also I'm now working part time having had a baby so I won't earn that much over the threshold and don't want the loan amount to increase with interest.

DD265

I pretty much ignore mine - only paying something like £30pcm anyway so that isn't even the interest!

I would rather pay off my consumer debt (which is the stuff I was stupid enough to get into!) then save up a deposit to buy a house. At that point I guess I'll compare the mortgage to the student loan and compare which to pay off first. Unless I can afford to pay more than the interest it's just not worth it.