Why we D August 23, 2017 by Emily 1 Comment. My Debt Was Not Pushing

Today’s post is your own tale on why i did son’t spend down my student education loans during grad college, though I’d the chance to. There are numerous factors you should think about whenever you make your decision of whether or not to reduce student loan financial obligation during grad college. In my own specific situation, based on both the mathematics of this situation and my own disposition, it made more sense to contribute cash to many other financial objectives during grad college.

Once I graduated from undergrad, I experienced $17k of student loan financial obligation, $16k subsidized and $1k unsubsidized. We decided to defer my student education loans within my postbac fellowship and PhD, and I also didn’t spend down my figuratively speaking in that duration. Although my stipend afforded me the flexibleness in order to make progress back at my loans if i desired to, I experienced greater economic priorities than making repayments on financial obligation which was efficiently at 0% interest.

My Debt Was Not Pushing

I’ll make a small edit to my declaration that i did son’t spend down my student education loans in grad college: We kept my $16k of subsidized student education loans throughout my training duration, but We paid down the $1k unsubsidized loan throughout the 6-month elegance duration after my graduation from undergrad. I did son’t just like the reality it was accruing interest, unlike my subsidized loans, therefore I paid it well when i possibly could.

Considering that the remainder of my loans had been subsidized, not just did we not need to make re re re payments in their deferment, they certainly were perhaps perhaps not interest that is accruing. I happened to be money that is effectively borrowing 0% interest. (more…)