# Advise me on whether or not to get a Student Loan **URL:** \ **Category:** In My Humble Opinion\ **Created:** [August 22, 2005, 3:28pm UTC](https://boards.straightdope.com/t/advise-me-on-whether-or-not-to-get-a-student-loan/318117 "2005-08-22T15:28:17Z")\ **Posts on this page:** 12\ **Page:** 1
**Author:** ![Mahaloth](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/mahaloth/32/1079_2.png) [@Mahaloth](https://boards.straightdope.com/u/Mahaloth)\ **Post date:** [August 22, 2005, 3:28pm UTC](https://boards.straightdope.com/t/advise-me-on-whether-or-not-to-get-a-student-loan/318117/1 "2005-08-22T15:28:17Z")
I have my Bachelor degree and now must pursue my Masters to maintain my certification in teaching(I’m in Michigan). It’s about a $1,000 a class for me to get my masters. Anyway, here’s the deal. My wife and I have the cash in savings to pay for my first class, but I dont’ have a full-time position, since the market for teachers is bad here. My wife has a job and I’ll be subbing, but money is tight. Should I use my savings to start paying for my masters or not? We were hoping I’d get a job and we could use our savings as a down payment on a house. We can’t get a house since I don’t have a good job, so I’m stuck. What are your experiences with student loans? Is there money available out there I should be aware of(the goverment, etc.). Anyway, I appreciate your help. Feel free to ask questions if you need to. ---
**Author:** ![Eureka](https://avatars.discourse-cdn.com/v4/letter/e/74df32/32.png) [@Eureka](https://boards.straightdope.com/u/Eureka)\ **Post date:** [August 22, 2005, 4:16pm UTC](https://boards.straightdope.com/t/advise-me-on-whether-or-not-to-get-a-student-loan/318117/2 "2005-08-22T16:16:54Z")
My vote: Get the student loan. At the present time you do not have a full time job- and you don’t know when you will get one. Therefore you should have a rainy day fund, and spending that on you education is not the wisest choice you could make. Also, student loans are generally considered “good debt”-- and I think interest rates are often fairly low- but I may not know what I’m talking about so I’ll stop there. The amount of money in question isn’t huge- but I think it is easier to get a loan for education than it is for “general living expenses” or for dealing with a sudden crisis. ---
**Author:** ![Kent\_Clark](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/kent_clark/32/105_2.png) [@Kent\_Clark](https://boards.straightdope.com/u/Kent_Clark)\ **Post date:** [August 22, 2005, 9:32pm UTC](https://boards.straightdope.com/t/advise-me-on-whether-or-not-to-get-a-student-loan/318117/3 "2005-08-22T21:32:02Z")
I’m currently shepherding three children through college at the same time. Get the loan. You’re broke now, but you’re betting your future income will be enough to pay the loan back. If you pay cash now, you’ll be even more broke, and you’ll still have to get a loan at some point down the road. ---
**Author:** ![Khadaji](https://avatars.discourse-cdn.com/v4/letter/k/9e8a1a/32.png) [@Khadaji](https://boards.straightdope.com/u/Khadaji)\ **Post date:** [August 22, 2005, 11:08pm UTC](https://boards.straightdope.com/t/advise-me-on-whether-or-not-to-get-a-student-loan/318117/4 "2005-08-22T23:08:47Z")
I say get it. It will generally be less interest than other loans. I would save the money for when you need a car or something else big, rather than use it now. ---
**Author:** ![BobLibDem](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/boblibdem/32/3149_2.png) [@BobLibDem](https://boards.straightdope.com/u/BobLibDem)\ **Post date:** [August 22, 2005, 11:56pm UTC](https://boards.straightdope.com/t/advise-me-on-whether-or-not-to-get-a-student-loan/318117/5 "2005-08-22T23:56:17Z")
Student loans are wonderful. Low rates, long terms. For your kids, PLUS loans are the way to go. ---
**Author:** ![iamthewalrus\_3](https://avatars.discourse-cdn.com/v4/letter/i/258eb7/32.png) [@iamthewalrus\_3](https://boards.straightdope.com/u/iamthewalrus_3)\ **Post date:** [August 23, 2005, 12:23am UTC](https://boards.straightdope.com/t/advise-me-on-whether-or-not-to-get-a-student-loan/318117/6 "2005-08-23T00:23:08Z")
> [@Mahaloth](#): > > Should I use my savings to start paying for my masters or not? We were hoping I’d get a job and we could use our savings as a down payment on a house. We can’t get a house since I don’t have a good job, so I’m stuck. If you forsee getting into more debt before you have the loan payed off, I think you are better off getting a student loan. They are generally at much lower rates (mine are at 3.375%) than you could get for any other kind of loan. Of course, that assumes that you won’t have to pay a higher rate on the mortgage because you already have debt. ---
**Author:** ![capybara](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/capybara/32/202_2.png) [@capybara](https://boards.straightdope.com/u/capybara)\ **Post date:** [August 23, 2005, 12:24am UTC](https://boards.straightdope.com/t/advise-me-on-whether-or-not-to-get-a-student-loan/318117/7 "2005-08-23T00:24:17Z")
Get the loans. I just finished school and consolidated my loans and have a 2.85-3.5% interest rate. I don’t know how much inflation is right now, but at that rate I might be MAKING money. ---
**Author:** ![Mahaloth](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/mahaloth/32/1079_2.png) [@Mahaloth](https://boards.straightdope.com/u/Mahaloth)\ **Post date:** [August 23, 2005, 3:27am UTC](https://boards.straightdope.com/t/advise-me-on-whether-or-not-to-get-a-student-loan/318117/8 "2005-08-23T03:27:50Z")
Thanks for the advice. Anyone have any recommendations on where to get a loan? I mean, are there some really good student loan places(graduate school loans)? I appreciate all the advice. ---
**Author:** ![Milkit](https://avatars.discourse-cdn.com/v4/letter/m/919ad9/32.png) [@Milkit](https://boards.straightdope.com/u/Milkit)\ **Post date:** [August 23, 2005, 3:29am UTC](https://boards.straightdope.com/t/advise-me-on-whether-or-not-to-get-a-student-loan/318117/9 "2005-08-23T03:29:46Z")
Fasfa ---
**Author:** ![capybara](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/capybara/32/202_2.png) [@capybara](https://boards.straightdope.com/u/capybara)\ **Post date:** [August 23, 2005, 3:38am UTC](https://boards.straightdope.com/t/advise-me-on-whether-or-not-to-get-a-student-loan/318117/10 "2005-08-23T03:38:46Z")
Yeah, you just fill out the paperwork that the school’s fin aid dept gives you and the gummint makes you an offer, and banks are forced to comply through them. You don’t have to worry about shopping. ---
**Author:** ![capybara](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/capybara/32/202_2.png) [@capybara](https://boards.straightdope.com/u/capybara)\ **Post date:** [August 23, 2005, 3:40am UTC](https://boards.straightdope.com/t/advise-me-on-whether-or-not-to-get-a-student-loan/318117/11 "2005-08-23T03:40:19Z")
(Oh, that paperwork, in case we lost you, is called FAFSA–federal application student aid something something etc-- you can do it on line these days, or at least after the first paper version; talk to your financial aid guys.) ---
**Author:** ![rbroome](https://avatars.discourse-cdn.com/v4/letter/r/838e76/32.png) [@rbroome](https://boards.straightdope.com/u/rbroome)\ **Post date:** [August 24, 2005, 1:10am UTC](https://boards.straightdope.com/t/advise-me-on-whether-or-not-to-get-a-student-loan/318117/12 "2005-08-24T01:10:14Z")
> [@capybara](#): > > Yeah, you just fill out the paperwork that the school’s fin aid dept gives you and the gummint makes you an offer, and banks are forced to comply through them. You don’t have to worry about shopping. well, not quite. Even under gov’t regulations some banks offer better deals than others. That said, I didn’t go with the cheapest bank for my loans (had 2 kids in college at once for one year. Thank goodness it was only one year), but went with the bank that seemed most knowledgable and convenient. That said, shop around a bit-but don’t look at only price-and get the loans. Try not to ever spend your last savings. You never know what trials/opportunities tomorrow will bring and having the cushion to deal with them is a very comforting feeling. Use that feeling to keep calm and you will be better off.