This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

My Student Loan Story: How I Paid It Off In A Year

Today I pulled out a file in my cabinet that's been gathering dust since 2007:  STUDENT LOAN. In 2007, I paid that sucker off, and I haven't looked back since. Well, except to check my credit report. I wanted to make sure the nightmare was really over, after all.

It wasn't  too much of a nightmare, really. With interest, I owed a little over $12,000. But when you're making $10 an hour and dreaming of moving out of your parents' house, it sure seems like a nightmare.

I graduated in December 2005 and received my “Hey, we're about to start charging you interest” letter five months later. I soon became hell-bent on getting out of debt. At the time, I carried a small credit card debt that originated from a pair of Doc Martens I bought in high school and never wore. It started off as $100 and then quickly spiraled into $900 partially because I only ever paid the minimum amount. I was young, dumb and hid this from my parents, who would've been pissed. They're probably pissed now.

Shortly after graduating, I got my first “real” job. I was salaried, I had health benefits, and I was making more money than I ever had. I got an apartment and was excited to pay off that $900. But the student loan would be kicking in soon. My dad was reading  Dave Ramsey at the time, and he was insistent that I pay off my debt. Between this and the horror stories I'd hear of people's student loan drama, I was encouraged that mine wasn't an overwhelming amount - I could pay it off soon, I thought. Way sooner than the 20 years they'd determined on my repayment schedule.

Paying off student loan debt early isn't for everyone. But I had a private loan that I shouldn't have taken out in the first place. It carried a variable 8 percent interest rate, and at the time, I had no desire to try to out-earn my student loan interest by investing. Most importantly, I just wanted this debt out of my life. So here's what I did.

1 of 4

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
Only $49.95
14-Days Free
14-Days Free
TSLA $153.91 3.80%
YHOO $27.64 3.10%
AAPL $96.25 1.30%
FB $103.02 3.50%
GOOG $699.99 3.20%


Chart of I:DJI
DOW 16,168.81 +154.43 0.96%
S&P 500 1,873.57 +21.36 1.15%
NASDAQ 4,346.2860 +77.5230 1.82%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs