It’s official! Nathan and I are now student loan debt free! (Well technically I’ve merely scheduled the final payment…but it should go through tomorrow!) So we like to joke that we now own our brains…and the knowledge within!
It’s not fun to have tens of thousands of dollars in debt…especially when I’m not teaching at the moment, and Nathan is not currently working in his field of study. We wanted to get those babies paid off as quick as possible so we sent in extra every time we could. We have spent almost all of our tax refunds for the last six or or so years on the loans. And we’ve received some help in generous gifts toward the loans from others.
We have been saving for quite awhile without any real idea of where the saved money was going to go. We had quite a large chunk left on the loans….and with a baby on the way it took awhile to make the decision to use a large chunk of savings to pay off the loans. But we aren’t earning anywhere near 5.8% on our saved money in the bank (or 4.75% on the other loan for that matter)… and that is what we were paying in interest. That combined with the fact that we’ll have over $200 more to work with each month when don’t have to make payments anymore…we figured it was worth it.
It feels good to be debt free…well except for our mortgage, anyway. 🙂