Yes, it's another student loan related question. I'm still in school right now, but luckily won't ever have to take more loan money since I work at the university and get an awesome discount by which I can afford to pay off tuition on my own. I do however have student loans that I've acquired previous to this job and am trying to come up with a long-term plan for their repayment. I have a total of $14,500 in loans, most of which has been consolidated:
$3,500 @ 6.54%
$11,000 @ 2.875% (consolidated)
About $640 of that is from interest thus far, and now that I've paid off all of my other liabilities over the past year (credit cards, car, etc.), and the student loans are all that's left, I'll be starting to make payments early to start cutting that down.
My question is this...there's no question that I'd like to pay off that $3,500 amount at the higher interest rate ASAP, but is it a bad idea to just wait on the rest and make minimum payments once I'm out of school and invest the extra money I would have sent toward it? I would assume that I can certainly beat the 2.875% interest rate by investing, but it is another creditor that I would owe. I know from what I've read on everyone's opinions that the debt should be my first priority, but would you all agree even with that low of a rate?