I am a college student, and I already have about 40k in student loan debt. I am in a situation where I really need to move (its stressful where I live and I need a new environment). There is no one that I can live with, and I only work part time (its hard to go to school full time, work full time, and keep grades up). Is it a dumb idea to take out 15K in private student loans to get an apartment and pay the rent for a year and utilities? Also, I don't have any credit card debt or anything, and I have someone who is willing to put his name on the loan application as well. What are your opinions???
2007-02-18 06:52:36 · 5 answers · asked by Mary Rashelle 2 in Business & Finance ➔ Personal Finance
It sounds like you are in a situation that is not good for you, your living situation. .. . Your lucky you have someone that is willing to help you get the loan. I would personally do it, you have to, you need to be somewhere sane to be able to keep up with school and put that FIRST. I think having your own place will be better in the long run for you. And if you already have 40K in student loans, i mean how much is 15K really gonna hurt, you know your gonna be in debt anyway while your going to school. I think the best thing for you to do right now is to concentrate on your school work and get out of that stressfull situation!
Good luck Sweetie
2007-02-18 07:00:30 · answer #1 · answered by ♣Kellina♣ 5 · 2⤊ 0⤋
Hmmm, that's a tough one. I decided my last year of college to move to Manhattan and got myself into some major debt. Although mine was all bad credit card debt. Student loans are nevr a bad debt to have, given you actually finish college. They have low intrest and they aren't reflected poorly in your credit report. Are you moving to a new school or just out of the particular house you are in? Are dorms an option? One thing I did was get a nanny position that gave me free room and board plus salary. And the kids were school aged so I was able to go to school during the day while they were in school.
In the end I don't think it's a bad idea to take out a private loan if you make a promise to yourself to be on a super tight budget and save every penny you can from your part time job and at the end of the year pay off as much principal as you can. You might be surprised to see that if you make a good budget you might be able to pay room and board on your part time salary.
2007-02-18 15:11:33 · answer #2 · answered by hsh1975 1 · 1⤊ 0⤋
Listen, I don't think it would be dumb to take an extra $15k out in loans. However, I think it'd be kinda foolish, because, you're a college STUDENT, unless you have a rich aunt or uncle, I'd psay off the $40k first before you go racking up more debt. C'mere for a minute and let me share a little secret with you, if ya keep piling debt on your back, it's gunna be hard to pay it off.
2007-02-18 15:05:57 · answer #3 · answered by Brainz 2 · 0⤊ 0⤋
I think it depends on whether or not your education depends on it. If your education, or your grades and therefore your future, depend on this loan and the living situation it will provide for you, then I would say it is perfectly justifiable. If it's something that can wait a year until you.ve finished school, I would say forget about the loan.
2007-02-18 14:59:04 · answer #4 · answered by Anonymous · 0⤊ 0⤋
Go for it especially if someone will cosign for you, but dont end up ruining their credit by not making payments on time.
2007-02-18 14:59:47 · answer #5 · answered by Akbar B 6 · 0⤊ 0⤋