Quote:
Originally Posted by aggieAXO
Interest rates are better these days-I have a friend that only has a 2.1% interest on her school loans and has no plans on paying it off any time soon (she graduated in 2002). I had an 8.9% interest rate (went to 7.9% after 4 years of automatic deduction with no missed payments). After paying on my debt for 8.5 years I had paid 60,000$ total with only 10,000 of that going towards the principal. I felt like I was getting no where. One of my collegaues that graduated a few years before me had an interest rate of over 11%.
I can say that my life has changed completely since I got rid of the debt-I am a much happier person and will be able to go part time in a few years  .
ETA I was on the 30 year Sallie Mae plan. I hate Sallie Mae. |
If obsessed over it, I'd be happier having it paid off too. Those loans don't even factor into my thoughts on a monthly basis. It comes out automatically from my checking account. It's part of life as much as paying for water, gas and electricity. I don't think about those things either. I can't see how my life would change one iota if I paid off my debt. My credit score wouldn't change. I already have enough money to spend and save for retirement. That money is my education payment and a heck of a cheap one at that.
P.S. And I pay two of them every month since my husband has an equal amount of debt. Debt is just a number if you have greater potential. If you let the fear of debt, like the fear of anything else in life, take over your life, it can become irrational. Money doesn't make you happy.