Student loan or not?

I have two friends. One is considering taking out a student loan to pay on a $5000 credit debt. I think it a good idea because the student loan has a lower interest rate, plus the payment will be deferred until 6 months after graduation. There is no penalty for early payment as well. She might get a job after graduation where they have student loans waivers.





My other friends stated that to pay a debt with a debt doesn’t make since.





What do you think?

Student loan or not?
Your friend should take out the student loan (is it a subsidized, unsubsidized?). That way, they don't have to worry about paying off their credit card every month with insane interest rates.





Also, once they start paying off their student loan, they can deduct the interest on their tax return (you cannot deduct credit card interest, but you can deduct student loan interest).
Reply:First, the friends are smart enough to know that paying off a debt with a debt is dumb. Secondly, while the student loan is deferable %26amp; she "may" get a waiver, she could also be stuck with it for a long, long time. Credit card debt, though getting harder to do, is still clearable with bankruptcy. Student loans will follow you to the grave if not paid off. You can file bankruptcy every 10 years %26amp; they will still show up if not paid off or waived. Here is a crazy idea for your friend wanting the student loan. GET A JOB %26amp; LEAVE THE STUDENT LOANS FOR THE PEOPLE WHO NEED THEM TO GET AN EDUCATION! Just my two cents.