I have about $19k in student loans (if you include interest, principal balance is under $18.8k). I want to start making additional payments on them to get rid of them quicker. I hate having them linger and can financially afford additional payments.
I do have 2 savings accounts - one for vacations/fun things and the other has enough to cover an emergency fund + savings for eventually a down payment on a house. Even with the additional payments, I am able to put money into savings still monthly.
Whenever I mention wanting to pay student loans off quicker, everyone lectures me about it being a poor financial decision. They keep saying the US government will forgive loan balances and I’m basically throwing money away. My main intent on paying them off is it’s my only debt left and I want to lower my debt to income ratio for a future mortgage.
My question is - am I stupid for paying them off? I’ve lowered my balance already by $2k this year. It’s an alarming number of people in my life who keep saying to stop making extra payments so I want to hear other opinions. Thanks!
Submitted May 13, 2024 at 09:50PM by snoopyvibes https://ift.tt/KFCIphM
