I think the student loan is a good tool if it helps you achieve your goals.
Just as the mortgage question is rarely an either/or question, I think there are several aspects to the student loan question as well.
What I wonder about is taking on loans (with "cheap money") but still buying all the latest consumer gadgets and going on trips on spring break, et'c... Is financing the purchase of a vacation or an iPod for 10 or 15 years (even at 3%) a good deal? How often do savvy kids use the absolute bare minimum and then invest what is left over ( assuming there is a little left over)?
When the kids graduate college, conventional wisdom is keep the student loan for as long as possible and invest the difference (assuming a low interest rate). But, with some of these back breaking payments that ties up a lot of cash flow, I am wondering how many folks have anything left over to invest? If they do have money left over, I am wondering how many folks actually make investments?
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