Thread: Investing 102
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Old 01-07-2014, 10:34 AM
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Quote:
Originally Posted by GregWeld View Post
That's not really high rate debt --- so what you have to gauge -- is if you INVEST -- what is your TOTAL RETURN going to look like -- vs -- just paying down the debt and maybe adding some to the principal from time to time as you can.


At 6.8% --- I'd lean toward trying to get total return on my investments. Now if it was above 10% then I'd pay it off asap.
Exactly. I just went through this talk with my wife. She has these law school loans she just wants to pay off ASAP because of the psychological burden she feels they are, but I explained we are certainly paying off the 8 and 10% loans but no way in HE!! we are paying off the 3% and 4% loans which make up a large bulk of it. It's not hard to beat that total return PLUS you have liquidity should you ever need some money.
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