Your browser isn't supported
It looks like you're using an old web browser. To get the most out of the site and to ensure guides display correctly, we suggest upgrading your browser now. Download the latest:

Welcome to the MSE Forums

We're home to a fantastic community of MoneySavers but anyone can post. Please exercise caution & report spam, illegal, offensive or libellous posts/messages: click "report" or email forumteam@. Skimlinks & other affiliated links are turned on

    • philip1427
    • By philip1427 15th Apr 19, 1:39 PM
    • 142Posts
    • 26Thanks
    Overdraft Vs Loan? which is best?
    • #1
    • 15th Apr 19, 1:39 PM
    Overdraft Vs Loan? which is best? 15th Apr 19 at 1:39 PM
    Hi all I am looking for some help, hopefully I have posted this in the right place.

    I am medical student from and studying in Northern Ireland. I like to read MSE for money advice but the student loan section doesn't give much advice for others not from England.

    This is my situation....

    I am going into my third year of study. I have 3-4 more years left to do. For my first two years, I have had a part time job earning about 3000 a year. So far, I haven't needed to take out a maintenance loan to cover my expenses but I think doing medicine with a part time job is getting a bit too much for me.

    I don't really know what to do from here...

    I think I have two options. Firstly I can take out a student loan of up to 3750 and pay 1.75% on it. Or secondly I was thinking about taking an overdraft out. Ulster Bank is offering 3000 interest free overdrafts for students. I have some savings and I think with the overdraft and my interest earnings from the bank I could manage to live on that and avoid paying the interest. However should I just take out the student loan and stop worrying about it?

    Also can I pay off the student loan early without any fees and save on future interest?

    Thanks for your help
Page 1
    • zx81
    • By zx81 15th Apr 19, 1:44 PM
    • 21,736 Posts
    • 23,654 Thanks
    • #2
    • 15th Apr 19, 1:44 PM
    • #2
    • 15th Apr 19, 1:44 PM
    I would keep your OD for emergencies only - especially as it can be withdrawn at any time.
    • anto164
    • By anto164 16th Apr 19, 9:53 AM
    • 153 Posts
    • 78 Thanks
    • #3
    • 16th Apr 19, 9:53 AM
    • #3
    • 16th Apr 19, 9:53 AM
    Definitely student loan over overdraft facility.

    Student loans don't really get looked at when you need other finance items when you're out of education, whereas an overdraft will.
Welcome to our new Forum!

Our aim is to save you money quickly and easily. We hope you like it!

Forum Team Contact us

Live Stats

482Posts Today

5,242Users online

Martin's Twitter
  • Have a great Easter, or a chag sameach to those like me attending Passover seder tomorrow. I?m taking all of next?

  • RT @rowlyc1980: A whopping 18 days off work for only 9 days leave! I?ll have a bit of that please......thanks @MartinSLewis for your crafty?

  • RT @dinokyp: That feeling when you realise that you have 18 days of work and only used 9 days of your annual leave! Thanks @MartinSLewis h?

  • Follow Martin