I'm a student who receives my full loan but has no need to spend it. Is the small difference between the interest paid on and then taken off worth keeping it? (It is a NET gain)


Oh! let us never, never doubt,
What nobody is sure about!

well in New Zealand there is no interest on the loan. So its worthwhile for us to do it, if we can.

I'm not sure if your loans have interest on them. If they do, work out the percentage the interest on your loan is being charged at and compare to what you're getting at the bank for your money sitting there. Remember the amount you have on loan is probably greater than what is saved, so do your maths from there. Chances are the loan interest rate will be higher than the interest rate you're getting from the bank.

If thats the case then its not worth it. Unless you bet it or put it in the stockmarket or something.


Go the Hurricanes!

Hi cj chris. According to moneysavingexpert.com
"The current top savings account rate of roughly 6.3% interest, is higher than this year’s student loan rate of 4.8%"

So you would be making money off the interest if you invested wisely. HSBC's savings account has an interest rate of about 5.50% so you could put the money in there and have access to it in case you need it.
Another idea would be to put it in an ISA with a rate of 6.35%. Either way you would be making money off other peoples money