(Closed) The big “D” (debt)

posted 10 years ago in Money
Post # 32
Member
5667 posts
Bee Keeper

Between our two financed cars (ugh…), my student loans (bigger ugh) and a small amount of leftover credit card debt we’re at about $46k. Fiance bought his sports car brand new before we started dating and has a quite a bit left on that. My previously reliable clunker just died a few months ago and I was caught needing something reliable for work. I ended up with a new-to-me-used-car with a loan attached. I don’t have a ton of student loans compared to some, but they’re still a large chunk too.

Post # 33
Member
2408 posts
Buzzing bee

the only debt i have are my student loans [both undergrad and grad]. my car’s paid off and i pay my credit cards off in full every month. the bf doesn’t have any debt though we’re planning on buying him a new car when he moves so he’ll have that. and if he decides to go to grad school we’ll have to add that. but so far, all the debt is mine.

Post # 34
Member
64 posts
Worker bee
  • Wedding: October 2011

I have around $19k in student loans. At the end of this year will probably be around $25k. NZD of course. Student loans are interest free at the moment as long as we stay in the country and the compulsory repayments are peanuts because it’s just based on my income. We haven’t bought a house and he bought his car with cash. So total couple debt is purely my student loan, which to be honest with his income wouldn’t be too hard to have it paid off in a year or so. 

I guess I’ve got it pretty good…

Post # 35
Member
510 posts
Busy bee
  • Wedding: September 2011

When we get married we will have about $450K in debt (student loans).  I’m scared.

Post # 36
Member
3295 posts
Sugar bee
  • Wedding: May 2011

hmmm… we have 3000 in student loans left, a 5000 personal loan (wedding), 3000 in cc debt, 3000 left on my car, dh’s car was paid in cash… and 48000 left on our house!! ๐Ÿ™‚ im hoping to pay off my car in a year and the cc, personal, and student loans within 2 years… and then in baby making time!!! ๐Ÿ™‚

Post # 37
Member
2521 posts
Sugar bee
  • Wedding: November 2013

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@socalmeli:  Do you mind if I ask where you went to school? And I’m assuming you went to medical or law school?

Post # 38
Member
510 posts
Busy bee
  • Wedding: September 2011

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@beekiss:  

Yeah, what’s even more surprising is that I went to a CC for two years, worked my way through undergrad (state school) and came out with only about $15K in loans at graduation.  FI had his undergrad paid for by his parents (thank god, he went to a private school!)

We are both in medical school, I have a half-tuition scholarship for all four years (!) and he worked during his year off and was able to pay for his first year with the money he saved.  We’re actually lucky – if we had both taken out full loans, it would be closer to $700K.  We go to a private school in Cali for med school, but tuition is about the same as it would be at any school (aside from in-state tuition at a public school).  The cost of med school is RIDICULOUS. 

Post # 39
Member
4822 posts
Honey bee

I don’t consider student debt (in general) debt. It is usually at such a low rate that its almost doesnt register. At least mine is.  I could pay it off, but why? I pay 1.25% on interest and I can earn more than that on conservative investing of the same cash. Makes no financial sense

I do have some loans (most of undergrad was paid through scholarships, grants etc) but what I earn with my degree is way more than with out my school name. I wanted an MBA, so I worked at the school I wanted it at and got that for free. Those degrees allow me to make a good income and I feel lucky, but I also planned for it.

Not including student loans, we have one car loan (out of two cars) for about 14K we bought last year. We pay over the amt to pay it off in about 3 years instead of the 5 to save the interest.

I guess technically we have about 1K on an interest free card we got to buy a new matress, but again, its free money to borrow, we could have bought the mattress, but that cash could be invested instead of spent. So we did and are paying off the CC interest free and still earning savings interest. We make money on that deal

Debt is not always bad. Too much debt and ill-thought debt is bad.

Post # 40
Member
2521 posts
Sugar bee
  • Wedding: November 2013

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@lefeymw:  My Fiance and I pay 6.8% on our federal student loans.  The rates on those went up too ๐Ÿ™

Post # 41
Member
4822 posts
Honey bee

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@beekiss: I am guessing that is a newer loan? I don’t know anyone with a rate like that, even my younger sister, but she is now 26. 

I know laws changed, but can you consolidate? That is how mine ended up so low. It started at about 8%

Post # 42
Member
2521 posts
Sugar bee
  • Wedding: November 2013

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@socalmeli:  OMG.  That’s a lot of money.  Good that you got a scholarship!

Post # 43
Member
2521 posts
Sugar bee
  • Wedding: November 2013

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@lefeymw:  Yeah, it’s a newer loan.  It was actually higher three years ago, but they readjusted it in I think 2010 so now all of my loans are at 6.8%.  Not fun.

Post # 44
Member
2450 posts
Buzzing bee
  • Wedding: October 2012

i have about $7,000 myself and he’s bringing about $40,000 in student loans into the relationship. 

i’m totally committed and can’t wait to merge our lives completely together… i’m not looking forward to the effect his credit score will have on mine….

Post # 45
Member
2521 posts
Sugar bee
  • Wedding: November 2013

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@rosworms:  I didn’t think his credit score could affect yours. I thought only financial decisions you two made after you’re married affected your credit score.  Unless he plans on defaulting, I don’t see how you’ll be affected.

Post # 46
Member
5667 posts
Bee Keeper

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@rosworms: His won’t have any effect on your credit score unless you let it (ie you add your name to his loans and he misses payments). It could affect your ability to get a loan or a good rate for a mortgage or car if you list him on it but if your credit and income are strong enough you can avoid that too. Just take it out in your name until he has a chance to rebuild his credit.

 

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@beekiss: Financial decisions after you’re married don’t have to effect it either. ๐Ÿ™‚

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