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Paying Off UK Student Loans

Should You Pay Off Your UK Student Loans ASAP?


  • Total voters
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Aug 4, 2021
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I interviewed a UK Doctor last week who talked very candidly about her experiences of poverty as a child. She's now gone on to save over £100k, which as we all know, is a massive milestone in the UK.

Dr. Hung had some very unconventional thoughts about student loans, and I'm really intrigued to hear what others think about this. She said:

- Paying off her student debt more quickly, helped her save £100k much more quickly by investing her money.
- She finds it strange that those going to university these days have a deliberate mentality that they will not pay back their loans.
- Compound interest will work against you when it comes to debt. You will accumulate more and more debt.

You can hear more from Dr. Hung here: https://podcasts.apple.com/gb/podcast/from-poverty-to-%C2%A3100k-dr-hung-66/id1508117788?i=1000533051043
but I'd love to hear your thoughts.

Answer the poll below to give your thoughts on UK student loans.
 

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Smart Finance

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Definitely have to check this one out. See I believe there is no point paying it back ASAP. The way they have set it up there is no point, save money, invest it just pay the minimum on it. I agree that compound interest will work against you in debt in most forums. I just believe the way these loans are set up its barely a loan
 
Aug 4, 2021
8
7
62
Definitely have to check this one out. See I believe there is no point paying it back ASAP. The way they have set it up there is no point, save money, invest it just pay the minimum on it. I agree that compound interest will work against you in debt in most forums. I just believe the way these loans are set up its barely a loan
Her student loan was set up in a completely different way to mine, despite there only being three years between us. One of the defining factors being that it wouldn't be written off until 65 I think .... I wonder whether this gives more incentive to pay off the debt ASAP?
 

Smart Finance

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Her student loan was set up in a completely different way to mine, despite there only being three years between us. One of the defining factors being that it wouldn't be written off until 65 I think .... I wonder whether this gives more incentive to pay off the debt ASAP?
I guess you also got to take into account the way it may effect getting a mortgage or finance. I saw Martin Lewis make comments about student loans/debt. Never went to university so luckly doesn't effect me but still an interesting read.

 

The Dividend Experiment

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I think there is some clause where if you spend a certain amount of years outside the country it gets written off anyway? That might be a myth but that's my plan haha.

Also Money Saving Expert says that you should treat it as more like a graduate 'tax' rather than stress about the debt, I tend to agree with this