To what degree can you "abuse" your student loans?
I know the "crushing student loan" and "ramen noodle" memes, but could you in theory use your loans to buy a car and pay yourself a salary?
A person that is wise with money can see that the interest rates and conditions of which you have to pay off these loans are MUCH more favorable than any traditional loans you can get, isn't exploiting this a good idea... especially if you're going to study a profitable career?
I currently use my surplus loans (~4500 a year) and invest them. I've been doing this since freshman year and I've already made enough to cover the interest accrued and then some.
The crippling student debt is because the average student is a rube.
There's no reason why you can't even turn a profit with your leftover funds. I'd say take as much student loans as you can within reason if you have a clue about investing.
Try to get a $20k+ loan as a middle class 20-something the bank will fucking laugh in your face. Student loans are your best bet to start your nestegg.
I don't know if buying a car is ever a wise investment but if you need one, a student loan is like buying one cash... which is the next best thing.
>>1112356
What determines how much loans you receive, and in what form are your surplus loans usually given in?
Is this legal?
>>1112356
I heard about a guy who just kept going back to school. He kept taking out loans and living on the loans. Essentially they will never need to be paid back.
He ended up with like 12 degrees.
>>1112809
I was thinking about doing this. I'm about 10 years away from social security. Is there a downside to going to school until I retire? Would I have to pay it back if I never get a job?
>>1112356
Depends in what country you live in. In Germany your entire capital is capped at 7500€ if you're getting federal student loans. You can also get private ones, but they have higher interest rates: 3.5% vs. 0%. I guess you could only pull this off in specific nations. The general strategy is just to save as much of those loans as you can and try to pay back everything in one go. Many banks give you refunds then and you save additional 2k or something.
>>1112377
>interest accrued
we got interest free loans in nz plus living allowance of 175 a week, I feel sorry for you burgerlanders
>>1112825
What the shit, 0%?? I'm stuck here paying fucking 6% PER loan. They're eating me alive, haven't been able to pay them in a while. They used to be at 3% until congress decided to double them and half the loans for wallstreet. Wunderbar....
>>1112853
Ah yes, the government here is shit but at least they are generous for bright people of poor background. The debts are interest free and limited to 10,000€. The only prerequisite is that your parents don't have a combined income of 40k or so. And your net worth must not exceed 7.5k, so there's that. It has up and downsides.
>>1112377
>investing loan money
Not a horrible idea but so fucking risky. Hope they are in low risk investments. Lots of people have ended up ruined doing what you're doing bro. Be safe.
>>1112860
When I read his post I got whiplash from shaking my head so hard.
>>1112860
>private loans
Lolno, I use the money that the government gives me. I got a bunch of scholarships and go to a high ranked state school, so I only need government loans to cover the rest of my tuition. Since my parents are broke and have bad credit, I get extra loans.
>>1112834
You also live in New Zealand
>>1112356
>but could you in theory use your loans to buy a car and pay yourself a salary?
a salary? do you even know how a loan works?
>>1112356
>To what degree can you "abuse" your student loans?
To the highest extent. It's a loan and you can do whatever you want with it as you please. You'll just still have to pay it back.
Bernie supporters are literally giving him their student loan money to help his campaign. I never knew anyone that stupid with money but us millennials are coming of age so i'm sure i'll see more of it.
