- My Forums
- Tiger Rant
- LSU Recruiting
- SEC Rant
- Saints Talk
- Pelicans Talk
- More Sports Board
- Fantasy Sports
- Golf Board
- Soccer Board
- O-T Lounge
- Tech Board
- Home/Garden Board
- Outdoor Board
- Health/Fitness Board
- Movie/TV Board
- Book Board
- Music Board
- Political Talk
- Money Talk
- Fark Board
- Gaming Board
- Travel Board
- Food/Drink Board
- Ticket Exchange
- TD Help Board
Customize My Forums- View All Forums
- Show Left Links
- Topic Sort Options
- Trending Topics
- Recent Topics
- Active Topics
Started By
Message
Stundent Loan / SallieMae payments
Posted on 4/14/14 at 3:06 pm
Posted on 4/14/14 at 3:06 pm
My son gets a student loan from SallieMae every semester. I pay his college in-full every semester and the loan goes onto a debit card. I pay Sallie Mae (in small $300-$500 increments) and have a check sent to me for the amount I paid from the debit account. This is no more than trying to build credit for him for use after college. There is no additional money leaving my pocket with the exception of the interest to SalliMae. It is just a big credit building circle (SallieMae money into the debit account, payment from me to SallieMae, reimbursement from the debit account to me via check for the amount I paid SallieMae). My questions are these, is it better to build credit in small payments (to look like a student with a part time job is paying)or is it ok to pay it off every semester to avoid the interest? Does it even matter?
4
Posted on 4/14/14 at 3:16 pm to CypressTiger665
I would just pay it off and not even worry about trying to game his score being how young he is.
Posted on 4/14/14 at 5:11 pm to CypressTiger665
CypressTiger,
I also have student loans through Sallie Mae, and it is my understanding that student loans really do not help your credit much, if at all. I wouldn't even mess with them if you do not have to. I have more than enough to my name, and I have been told it will not really help my credit because it is "not credit based on credit". Now I hope someone can correct me and that I am wrong but I do not think it really helps with credit scores. Sorry.
I also have student loans through Sallie Mae, and it is my understanding that student loans really do not help your credit much, if at all. I wouldn't even mess with them if you do not have to. I have more than enough to my name, and I have been told it will not really help my credit because it is "not credit based on credit". Now I hope someone can correct me and that I am wrong but I do not think it really helps with credit scores. Sorry.
Posted on 4/14/14 at 5:27 pm to CypressTiger665
I would just pay it off. if you really want to build his credit, add him to credit cards you've had the longest. you don't even have to give him the card.
Posted on 4/14/14 at 5:42 pm to mkibod1
quote:
Now I hope someone can correct me and that I am wrong but I do not think it really helps with credit scores
You are wrong. The history of timely payments helps your credit score and standing.
To the OP. I've done something similar with my kids.
Posted on 4/14/14 at 10:24 pm to CypressTiger665
My student loans have helped my credit. I've also had a credit card since my first job and have never left a balance on it, so there's that also.
Posted on 4/15/14 at 9:04 am to VABuckeye
quote:
You are wrong. The history of timely payments helps your credit score and standing.
To the OP. I've done something similar with my kids.
Not necessarily for this type of installment credit
Page 1 of 1
Popular
Back to top
Follow TigerDroppings for LSU Football News